The South Korean government will designate 10 cities as major startup hubs by next year to promote balanced regional growth and create jobs for young people. It plans to first name four cities housing major science institutes this year, followed by six more outside the greater Seoul area in 2027.
The Ministry of Economy and Finance announced the plan on Friday, April 24. It aims to address the concentration of startup infrastructure in Seoul, which has led to population outflows from other regions due to insufficient industrial facilities.
This year, Daejeon, Daegu, Gwangju and Ulsan -- cities housing major science institutes -- will be designated as startup hubs. The government plans to develop specialized industries, such as robotics in Daegu, artificial intelligence (AI) and smart energy in Gwangju, and future mobility in Ulsan.
The initiative targets fostering five cities in the global top 100 startup list by 2030. South Korea ranks No. 20 worldwide in startup ecosystem competitiveness, according to StartupBlink, but has only three cities in the top 500. The United States leads with 137, followed by Britain with 34, Germany 27, China 26 and Japan six.
A comprehensive support package will include R&D, investment, networking and regulatory streamlining, while turning the cities into education hubs for young entrepreneurs. The ministry will also aid rural areas in developing culture and tourism businesses and offer benefits to non-metropolitan companies in public procurement bids.
