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South Korea Unveils $14B Sovereign Fund to Back AI, Data Centers
['Aminu Abdullahi']
TechRepublic
The South Korean government said Friday it plans to establish a new strategic investment account within the state-run Korea Investment Corporation (KIC) with at least 20 trillion won, or about $14 billion, in initial funding.
The fund is expected to begin operations next year after lawmakers consider amendments to the Korea Investment Corporation Act.
“The government has been planning a new strategic fund since last year and has been coordinating and developing the plans with relevant ministries,” the Finance Ministry said, according to Bloomberg.
The approach could make South Korea a more attractive partner for global AI and infrastructure investors, but it also increases the government’s exposure to sectors that remain volatile.
Also read: Samsung Heavy Industries plans to commercialize a floating AI data center platform by 2028 as land, power, and cooling constraints reshape infrastructure planning.