Seoul: The chief of the country's financial regulator announced on Tuesday that authorities are set to double their support for artificial intelligence (AI) firms. Lee Eog-weon, chairman of the Financial Services Commission (FSC), emphasized the necessity of channeling more risk capital and policy loans into promising AI startups during a meeting with leaders from AI-focused companies, including FuriosaAI, Upstage Co., and LG AI Research.

According to Yonhap News Agency, the FSC has reported that a total of 2 trillion won (approximately US$1.36 billion) has been invested in AI startups and related projects this year. This investment represents 24 percent of the total 8.4 trillion won investments made by the state-private investment fund, the National Growth Fund.

Earlier this year, the fund's investment deliberation committee made a decision to invest 560 billion won in Upstage Co., marking it as the second direct investment from the fund. Additionally, the committee has approved an allocation of 640 billion won to AI chip startup Rebellions Inc. and a 400 billion-won equity investment in a construction project aimed at building an AI computing center in South Jeolla Province.

The National Growth Fund, launched late last year, is designed to support startups in key strategic industries such as AI, biotechnology, and semiconductors. The government has plans to raise up to 150 trillion won from both private and public sectors and intends to operate the fund over the next five years.