President Lee Jae-myung is defending South Korea’s record 820.9 trillion-won 2027 budget, which raises spending by 93 trillion won, or 12.8%, and includes a 162.3 trillion-won Future Response Fund for semiconductors, artificial intelligence, young adults, regional development, education and talent. The People Power Party opposes what it calls debt-fueled populism and is seeking cuts variously described as 30 trillion won in its newer plan and 134.3 trillion won in total fiscal improvement, including the cancellation of uncommitted fund resources, program reductions and interest savings. It proposes redirecting funds toward employment, income and livelihoods, care, public safety and youth support, while using 104 trillion won in fund resources to reduce national debt. The Democratic Party of Korea supports the fund as strategic investment, but the National Assembly Budget Office has warned that temporary tax revenue, recurring commitments, proposed authority to reallocate 30% without parliamentary review and possible reductions in local grant taxes could create longer-term fiscal burdens.