Thirty-seven investment firms, including corporate venture capital (CVC), will invest 86 billion won in promising technology development projects at 32 domestic small and medium-sized enterprises (SMEs).

The Ministry of Trade, Industry and Energy announced on the 15th that it had selected 32 small and medium-sized enterprises as targets for investment-linked R&D support, and that it would support private-sector-led technology development by matching 81.2 billion won in government research and development (R&D) funds over the next three years in addition to 86 billion won in private investment.

The projects selected this time were selected through an open competition process, and in addition to core industries such as semiconductors and displays, many new growth fields such as bio and aerospace were included, indicating that private investment companies are showing high interest in these fields.

In the bio sector, we support technological independence in areas such as membrane manufacturing technology for pharmaceutical manufacturing processes and polymer materials for messenger ribonucleic acid (mRNA) delivery, while in the aerospace sector, we promote technological independence in areas such as the development of ultra-low temperature propellant tanks and alloy materials for launch vehicles.

In particular, private investment in small and medium-sized enterprises with excellent technological capabilities continues to expand, with the amount of private investment per company increasing from KRW 1.19 billion in 2020 to KRW 2.68 billion in 2023, the largest increase ever.

The 116 small and medium-sized enterprises that have received support over the past three years have received a total investment of KRW 473 billion, including approximately KRW 186 billion in private investment and approximately KRW 287 billion in government R&D investment. Of the 116 companies that received support, 45 companies have successfully attracted approximately KRW 300 billion in follow-up investment, serving as a growth ladder for small and medium-sized enterprises.
<br /> The Ministry of Trade, Industry and Energy plans to expand private investment by providing R&D support to companies with excellent small and medium-sized enterprises (SME) technologies, while also continuously strengthening the SME cooperation ecosystem by designating SME specialized complexes and expanding cooperation models between supply and demand companies.