Seoul: The government is set to enhance its public procurement programs for innovative artificial intelligence (AI) products developed by local companies, as part of a strategic initiative to bolster the growth of the sector, announced Finance Minister Koo Yun-cheol on Friday.

According to Yonhap News Agency, Koo detailed the government's plan during a meeting with executives from AI and robotics companies. The meeting focused on evaluating the market entry and growth processes of innovative firms within the AI industry, as stated by the finance ministry.

"Public procurement will serve as a catalyst for AI innovation, transforming people's lives and helping companies expand into global markets," Koo emphasized, highlighting AI as a core strategic sector poised to shape the nation's future.

The initiative includes the introduction of an exclusive review committee in September, aimed at fast-tracking the entry of high-performing AI products into the public procurement market. Furthermore, the government mandates that at least 50 percent of components in designated innovative products must be domestically produced, strengthening the local supply chain ties.

The government also plans to continue expanding pilot purchases of innovative products, with an increase in the budget from 52.9 billion won (approximately US$36.8 million) in 2025 to 83.9 billion won in 2026.