A view of the 3rd policy committee meeting on foreign direct investment (FDI) in which officials of the Ministry of Trade, Industry and Energy (MOTIE) huddled with officials from 17 metropolitan province and cities as well as free economic zone authorities at Seoul Peyto Hotel on Sept. 6. (Photos: MOTIE)

Director General for Cross-border Investment Policy Lee Ho-joon at the MOTIE presides over the quarterly policy committee meeting on FDIs.

The Ministry of Trade, Industry and Energy (MOTIE) held the 3rd policy committee meeting on foreign direct investment (FDI) with 17 metropolitan province and cities as well as free economic zone authorities at Seoul Peyto Hotel on Sept. 6.

Director General for Cross-border Investment Policy Lee Ho-joon at the MOTIE presided over the quarterly policy committee meeting on foreign direct investment. The meeting was designed to work out ways of promoting cooperation between the MOTIE and local governments with the goal of attracting FDIs worth more than $20 billion for the fourth consecutive year by maintaining the increase momentum for luring FDI.

The third rendition of the policy committee meeting of this year took stock of 68 projects the ministry and local governments are seeking to attract. Participants discussed how to fix stumbling blocks they experience, IR plans for the second half of 2019 and how to improve incentives to boost FDIs. The 68 projects include 17 projects in the Dongnam Sphere, 16 projects in the Chungcheong Sphere, 11 projects in the Daegyeong Sphere, eight projects in the Honam Sphere, and five projects in the Seoul metropolitan area.

Policy consultative meetings have taken place to find out stumbling blocks in the way of attracting FDI since 2017. In 2017, 67 stumbling blocks were excavated, and 53 cases were fixed. So far this year, eight stumbling block cases were explored, and four were fixed.

While delivering a speech at the meeting, Dir.-Gen. Lee stressed the need for seeking new strategies to attract FDI to cope with such outside and inside environmental changes as the industry paradigm shift, caused by the advent of the 4th Industrial Revolution, the spread of protectionist moves and the overhaul of incentives to attract FDI. He also emphasized the need of the establishment of new roles by foreign investment companies, which greatly contribute to the national economy.

Figures released by the MOTIE showed that foreign investment companies in Korea accounted for 20.2 percent of the nation’s exports, 12.0 percent of sales, and 5.7 percent of employment in 2016.

The ministry plans to retain the increase momentum on the back of achievements that have been made in the recent three years by launching diverse activities to lure FDIs like the holding of the Foreign Investment Company Day on a quarterly basis, “Foreign Investment Caravan” and the Invest Korea Week. Foreign Investment Company Day events are designed to boost the morale of foreign investment companies and share information by holding foreign investment seminars and ceremonies to award prizes to companies who have contributed to attracting FDI.

Foreign Investment Caravans will be operated in the Daegyeong Sphere in October and the Honam Sphere in December. The event will be designed to eliminate difficulties foreign investment companies experience in the course of investment and encourage them to make more investments.

The Invest Korea Week will be held from Nov. 6 through Nov. 8. The ministry will invest foreign investors in cooperation with local governments and related organizations to publicize Korea’s investment strengths and investment opportunities.