South Korea Plans Sejong Relocations and Public-Institution Overhaul by 2033

  • South Korea plans to establish a presidential office in Sejong by August 2029 and relocate 350 public institutions beginning in 2027.
  • Public Institutions DIET 2026 targets 109 institutions, including five power generators, two energy companies, four port authorities and Korea Coal Corporation.
  • An additional National Assembly building is due in Sejong by 2033 as the government addresses capital-region concentration, demographic decline and infrastructure needs.

South Korea is advancing a second phase of public-institution relocation from the greater Seoul area, including a presidential office in Sejong by August 2029, an additional National Assembly building by 2033 and the relocation of 350 public institutions beginning in 2027. Separately, Public Institutions DIET 2026 targets 109 institutions for structural reform, consolidation or integration, spanning energy, ports, rail, housing and coal as well as agencies under the Ministry of SMEs and Startups. Under that ministry track, the Korea SMEs and Startups Distribution Center and Public Home Shopping are to merge into a tentatively named SME Marketing Promotion Corporation, three facility-management subsidiaries are to combine into an SME and Venture Management Corporation, the Korea Institute for Small Business and Startups is to move to the National Research Council for Economics, Humanities and Social Sciences, and the Korea Business Incubation Association is to be absorbed into the Korea Institute of Startup and Entrepreneurship Development. The government says the plans will cut capital-region concentration, support regional growth and make public institutions more competitive amid technological, demographic and economic pressures, including rising electricity demand from artificial intelligence and semiconductor factories.

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