2026 Government R&D Budget Overview
The 2026 government Research and Development (R&D) budget totals KRW 30.5 trillion. This represents an approximately 5% increase over the previous year, with concentrated investment in national strategic technologies and future growth engine areas.
Investment in the 12 national strategic technology areas—including semiconductors, secondary batteries, AI, bio, and quantum technology—has expanded by more than 15% year-on-year, and the basic research budget continues to grow steadily.
Key Investment Directions
Ministry-Level R&D Budget Analysis
The government R&D budget is distributed across major ministries including MSIT, MOTIE, MSS, and the Defense Acquisition Program Administration. From the SME perspective, the MSS and MOTIE budgets have the most direct impact.
MSIT focuses on basic research and fundamental technology development, while MOTIE concentrates on technological innovation in industrial settings. MSS specializes in SME-dedicated R&D support, operating the R&D programs most accessible to small and medium enterprises.
Budget by Ministry
Sector Investment Trends
Analyzing the 2026 R&D budget by sector reveals the promising technology areas that SMEs should focus on. Planning R&D projects in fields where government investment is concentrated can improve selection prospects.
The AI and data sector shows the highest growth rate with budgets increasing more than 25% year-on-year. The semiconductor sector has also seen expanded investment in advanced packaging and materials localization, while the bio-health sector is seeing concentrated investment in new drug development and digital healthcare.
Implications for SMEs
Analyzing the direction of government R&D investment provides important insights for SME R&D strategy development. Pursuing technology development aligned with government policy directions increases the probability of being selected for support programs.
SMEs can effectively build competitiveness by identifying niche technologies within national strategic technology areas that large corporations do not address. Additionally, technology development linked to cross-cutting policies such as digital transformation and ESG can simultaneously increase relevance to multiple support programs.
KITIM's Support
The Korea Institute of Technology Innovation Management (KITIM) closely analyzes government R&D policy trends and supports the development of customized R&D strategies for SMEs. By matching a company's technological capabilities with government investment directions, KITIM helps plan optimal R&D projects and accompanies companies from application through selection. Set your technology development direction in alignment with government R&D investment trends through KITIM's strategic consulting.