The government finalized its 2027 Fiscal Year Budget Proposal at a Cabinet meeting on September 1, setting a major expansion in defense and veterans’ spending. The budget for introducing core self-defense forces will rise from 18.6 trillion Korean won this year to 21.3 trillion Korean won next year. A new nuclear-powered submarine project will receive 100 billion Korean won, targeting launch in the mid-2030s, while KF-21 fighter jet mass-production funding will increase from 1.4 trillion Korean won to 3.3 trillion Korean won. Spending on unmanned-integrated systems using artificial intelligence (AI), robots and drones will rise 50% to 1.2 trillion Korean won, including sharp increases for drone operations, detection, interception, surveillance, explosive-disposal robots and autonomous mine detection. The proposal also raises support for junior officers and reserve forces as military manpower declines, while increasing veterans’ compensation, medical-care funding and hospital capacity.