Seoul: Prime Minister Kim Min-seok on Monday vowed the government would use taxpayers' money responsibly after the Cabinet approved guidelines for next year's budget that underscores its expansionary fiscal policy to foster new growth engines.

According to Yonhap News Agency, the government's fiscal plan submitted to the National Assembly sets spending for next year at 764.4 trillion won (US$503 billion), marking a 5 percent increase from 728 trillion won in 2026.

The prime minister pledged to allocate taxpayers' resources prudently through an unprecedented restructuring of expenditures. "The 2027 budget is significant as it will be the first budget fully overseen by the current administration," Kim stated at an extraordinary Cabinet meeting.

Kim emphasized the importance of drafting the budget with a focus on future investments aimed at a major shift in the national growth strategy under an expansionary fiscal policy stance. He urged the Cabinet to be well-prepared to advance key policies, including those promoting balanced regional development, and to undertake economic readiness checks and safety inspections following the June 3 local elections.

Kim stressed the necessity to ensure the continuity of state affairs despite the elections. The budget guidelines also include measures to build an innovative economy adaptable to industrial shifts, such as the transformation brought by artificial intelligence, while fostering advanced industries as new growth drivers.

Additionally, Kim announced plans to support victims of "jeonse" home rental scams, a system unique to Korea where tenants provide landlords with a large returnable deposit instead of monthly rent.