The government is pursuing a “Korean-style Artificial Intelligence (K-AI) Package” project, under which it will lend funds to developing countries at low interest rates while bundling and providing Korea’s artificial intelligence (AI) technologies, data centers, and power facilities as an integrated package. The plan is intended both to support industrial development in developing countries and to expand overseas opportunities for domestic AI companies.

On the 20th, Vice Prime Minister and Minister of Economy and Finance Koo Yun-chul (photo) stated at a Meeting of Ministers on External Economic Affairs held at the Government Complex Sejong that “to enhance the growth potential of developing countries and contribute to realizing a basic AI society globally, the government will promote a K-AI package based on concessional Official Development Assistance (ODA).” Concessional ODA is a form of support in which the government lends funds needed for the economic and social development of developing countries over the long term at low interest rates.

The K-AI package is expected to be structured so that, in addition to building infrastructure such as hospitals and power plants in developing countries, it will bundle and provide the AI technologies, data centers, and power supply facilities necessary for operating those facilities. Cited examples include constructing dams or water supply facilities while simultaneously installing AI systems to manage water usage and water quality, and building the data centers and renewable energy generation facilities needed to run those systems. AI technology support will be centered on seven sectors in which Korea has strengths: water resources, healthcare, energy, transportation, agriculture, culture, and education.

Project funds will be raised mainly through the Economic Development Cooperation Fund (EDCF). The EDCF is a fund through which the Korean government provides long-term financing at low interest rates to help developing countries promote industrial development and improve living environments.

The meeting also discussed current trade issues with the United States and the status of ongoing investments. Vice Prime Minister Koo said, “Our government is reviewing the commercial soundness and other aspects of U.S.-bound investment projects,” adding, “We will place national interest as the top priority and work closely with the U.S. side to manage Korea-U.S. trade relations in a stable manner.”

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