Government allocates 343.5 billion won for planned relocations to Sejong and innovation cities

  • Government plans to move central agencies to Sejong and over 350 institutions to innovation cities.
  • 343.5 billion Korean won is included in next year’s proposal for relocation-related spending.
  • Relocation destinations and the public institution list are scheduled for finalization within the year.

The government’s budget proposal for next year includes 343.5 billion Korean won for plans to move central administrative agencies to Sejong and more than 350 public institutions to innovation cities nationwide. Of that amount, 270.7 billion won comes from the Future Response Fund for rental fees, moving expenses and employee support, while 72.831 billion won is separately provided through the Special Account for the Construction of the Administrative City for new buildings in Sejong. The government said on September 2 that the Ministry of Justice and the Ministry of Gender Equality and Family would begin moving to Sejong in the first half of next year, with the Prosecutors’ Office and National Police Agency to follow after new buildings are completed. The relocation list and destinations for public institutions are due to be finalized within the year. Critics have questioned National Assembly oversight of the 162.3 trillion-won Future Response Fund, which allows the government to change up to 30% of project expenditure after legislative approval without seeking additional approval. Employee incentives and support for education, healthcare and other living conditions remain at the proposal stage, and officials expect costs could rise after relocation targets and support measures are finalized in the fourth quarter.

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