Projects subject to foreign investment

• 01Projects to attract foreign capital

  • Foreign investment zones (complex or individual) designated or desired for designation
  • Eastern Coast Free Economic Zone, East Sea Free Trade Zone
  • Special zones for the Winter Olympics, areas subject to immigrant investor plans for real estate, etc.
• 02Private capital investment project within the districts(province, cities, and counties)

  • Idle national and public land sites that need development or planned for development
  • Agricultural and industrial complexes for sale or under construction
  • Projects reflected in regional development plans, mega-regional development plans, etc.

  ※ Clusters, development promoted districts, abandoned mine areas, new development areas, enterprise cities, specialized complex, innovation valleys, industrial parks, etc.

• 03Innovative enterprises (related organizations) in the district that wish to attract investments

  • Companies that need to attract financial investments for M&A, technology transfer, R&D investments, and fund investments

• Investor
  ① Report a foreign investment
  (KOTRA, Foreign exchange bank)
• ② Transfer investment amount (Foreign exchange bank)
  Issuance of a certificate for custody of stock subscription payment (upon registration of incorporation) and foreign exchange certificate (upon registration of investment company)
• ③ Registration of incorporation
  (Court registry office)
• ④ Report of incorporation and registration of business
  (Tax office where the head office is located)
• ⑤ Transfer of prepaid capital to the company's bank account
  (Foreign exchange bank)
• ⑥ egistration of foreign investment company
  (Agency initially reported)

Incentives

Table of Investment Target Projects by Type

Item	Complex type	Individual type
Overview	Move in to a designated industrial complex	Proceed with designation procedures in the desired area or in accordance with the application
Occupanccy qualifications	Manufacturing FDI 10 million USD ↑ Logistics FDI 5 million USD ↑	Manufacturing FDI 30 million USD ↑ Tourism FDI 20 million USD ↑ ogistics, SOC development projects FDI 10 million USD ↑ Advanced R&D 2 million USD More than 10 Masters with more than 3 years of research experience Designated individual foreign investment by 2 or more The total amount is more than the investment amount for each business (industry)
Current status	Munmak Foreign Investment (December 9, 2013)	LEGOLAND (April 29, 2014)
Tax-relief	Tariffs, VATs, special consumption taxes: Exempted 100% for five years Refer to the acquisition tax and property tax subsidy support system	Tariffs: Exempted 100% for five years Refer to the acquisition tax and property tax subsidy support system
Rent reduction	Exceptions for leasing of national and public property: More than 30% of foreign investment shares & maintained for 5 years from the date of private contract Rent: 1% of the land price/year
	Rent reductions [100%] (New growth and path-breaking technology industries) Exceeding 1 million USD, (Manufacturing industry) Exceeding 2.5 million USD & hired more than 200 employees [90%] (Manufacturing) Exceeding 2.5 USD million & hired fewer than 200 employees [75%] (Manufacturing) Exceeding 5 million USD	Can be leased in a form of private contract [National and public land] 100% exempted when investing more than the minimum amount for each industry
Miscellaneous support	Infrastructure support, such as port/road/water system/railway/communication/electrical facilities, etc. (less than 50% of the construction cost of the relevant project) Exempted from traffic congestion charges

Immigrant Investor Plan for Real Estate

Residential qualification (F-2) is granted to foreigners who invest more than a certain amount in designated real estate, Permanent residency (F-5) is granted to investors, their spouses, and unmarried children who maintain the investment for 5 years

① Pyeongchang Alpensia: May 1, 2013 ~ April 30, 2023, more than 500 million KRW
② Districts in Jeongdongjin, Gangneung: February 1, 2021 ~ December 31, 2024, more than 700 million KRW

Designation Procedures by System

• Submission of designation plan and feasibility report
  (Company)
• 지Review of designation plan
  (Gangwon-do)
• Request for evaluation of the designation
  (MOTIE)
• Review of suitability
  (MOTIE)
• Evaluation by the working groups of the Foreign Investment Committee
• Evaluation and notification of results by the foreign investment committee
• nnouncement of designation
  (Gangwon-do)

• ①
  Announcement of projects
  Central or Local Governments
• ②
  pplication for designation
  Central government, Citiy and Province → Ministry of Justice
• ③
  Preliminary evaluation and factual survey
  Ministry of Justice
• ④
  Selection of targets for comprehensive inspection and inquiry of opinions, etc.
  Ministry of Justice → Relevant organizations
• ⑤
  Presented in the Investment Immigration Conference
  Ministry of Justice and relevant authorities
• ⑥
  Decision and announcement of results
  Minister of Justice