South Korea Unveils 2027 Youth Budget Plan to Combat Economic Vulnerability

President Lee Jae Myung unveiled the government's 2027 budget plan for young people on Friday during a Youth Budget Unboxing event at the presidential office. The plan allocates 43.3 trillion won, which is a 53.5 percent increase from the 28.2 trillion won earmarked for related projects this year. The government intends to provide tailored fiscal support across different life stages, focusing on employment, housing, asset building, and marriage.

President Lee described young people as the most vulnerable generation due to shrinking opportunities and slowed economic growth. He stated that the government has a responsibility to ensure opportunities are commensurate with effort and emphasized the need to increase the overall economic pie. The budget includes specific measures such as a university internship semester program for academic credit, expanded public housing near transportation hubs, and low interest loans for unemployed youth starting businesses.

Financial support for families includes subsidies for children born in 2027 in eligible regional areas. Under one illustrative scenario, a child could receive 15 million won at birth and 14.4 million won in monthly childcare subsidies through age one. Total benefits and savings could reach 140.57 million won by age 18 and 195.82 million won by age 34, including full tuition support at eligible national universities outside the Seoul metropolitan area.

To address job market challenges, the government plans to train 300,000 skilled workers in emerging sectors by 2030, with a focus on artificial intelligence. A new platform called Youth Playground will offer mentoring, and the Jump Up program will help employees move from smaller companies to larger businesses. The government aims to create 200,000 jobs in the private and public sectors for those trained under these programs by 2030.