KOTRA President Kwon Pyung-oh.

The government announced a scheme to spur the exploration of the overseas smart city market. (Photo: MOTIE)

The government has begun supporting Korea’s drive to export smart cities outfitted with advanced systems. It will plunk down 500 billion won and build a smart city international collaborative regime, spearheaded by Korea.

These are some of the steps to boost the overseas smart city market that the government announced during an external economic ministers’ meeting on July 8. A “smart city” refers to a city in which the application of advanced technologies such ICT and big data can realize zero-energy buildings and integrated controls. The government has designated and nurtured smart cities as one of eight leading innovative growth projects.

In order to ensure the systematic support of the implementation of overseas investment development projects, the government is working on raising 1.5 trillion won in a global plant, infrastructure and smart city (PIS) fund in cooperation with the private sector by the end of this year. Out of the total, 500 billion won will be poured in the implementation of overseas smart city projects.

Programs have been arranged to promote collaboration among large- and small-sized companies for smart city market exploration. If large- and small-sized companies join forces in overseas smart city market exploration, they will be given incentives such as preferential interest rates targeting SMEs - interest rates between 0.3 and 0.1 percentage points lower.

Korea will build “Korea Smart City Open Network” (K-SCON) for countries which are interested in Korean-type smart cities. The government plans to designate the themes “urban development” and “transportation” and the scope of participants via a first contest scheduled for 2020. Korea and other participating countries will conduct prior feasibility studies and establish master plans via cost sharing before the implementation of the projects.

The Korea Trade-Investment Promotion Agency (KOTRA) plans to open smart city order support centers at 30 places across the world to provide support to Korea’s exporting of smart city projects. Korea Overseas Infrastructure and Urban Development Corp. (KIND) also plans to inaugurate three overseas infrastructure support centers to assist the implementation of local smart city projects.

The government will host the World Smart City Export in September, which will highlight exhibitions, conferences, company explanation sessions and events inviting foreign buyers in order to provide support for overseas smart city market exploration. It plans to nurture the expo one of the world’s three biggest smart city events.

The government plans to concentrate its capabilities to win the South Saad Al Abdullah New City project in Kuwait. Korea plans to hold joint economic committee meetings with Kuwait. The Korean government also plans to hold similar meeting with major countries of the ASEAN.

Park Han-jin, head of KOTRA’s China Regional Headquarters, speaks at a Korea-China smart city forum and consultative meeting in Xian, Shaanxi, China, on July 4. (Photos: KOTRA)