South Korea’s Ministry of Planning and Budget on Tuesday proposed a record $597.8 billion (820.9 trillion won) budget for 2027, raising spending 12.8% as a semiconductor-driven revenue surge gives the government room to expand investment while improving its headline fiscal position. Total revenue is projected at $641.4 billion (880.8 trillion won) and national tax receipts at $425.6 billion (584.4 trillion won), while the managed fiscal deficit is forecast to narrow to 0.1% of GDP and the debt ratio to fall to 48.3% from 51.6%.

The plan creates a $118.3 billion (162.3 trillion won) Future Response Fund using tax revenue above