The government is moving to raise the SOC project threshold for mandatory feasibility studies to speed up infrastructure development. Currently, government-funded social overhead capital projects require these reviews if the total cost exceeds 50 billion won. Authorities now want to double that limit to 100 billion won, making it easier for smaller projects to proceed quickly.
During an economic ministers’ meeting led by Finance Minister Koo Yun-cheol, officials outlined the proposal, which will require parliamentary approval. Under the new rule, projects would only face mandatory feasibility studies if the total cost reaches 100 billion won or more, or if government funding exceeds 50 billion won. This marks the first adjustment to the system since it began in 1999.
In addition, the government aims to accelerate the execution of this year’s 26 trillion-won SOC budget. The finance ministry is also reviewing changes to evaluation criteria to encourage balanced growth between the capital region and other areas. Proposed updates include increasing the weighting for projects outside the capital and revising the framework for assessing feasibility.
Minister Koo stressed that infrastructure remains concentrated in the capital, which worsens regional disparities. He stated that the plan will help redirect resources and development toward underrepresented areas. As part of the approach, the government will create housing demand in provincial regions by purchasing public land and offering tax incentives.
President Lee Jae Myung has consistently pledged to prioritize balanced regional growth. He has emphasized that more budgetary support will go to areas outside the capital region to address economic gaps.
The proposed SOC project threshold change would give local governments more autonomy in launching infrastructure initiatives without prolonged review processes. By reducing delays, the administration hopes to deliver quicker benefits to communities, stimulate economic activity, and improve public services.
Overall, the move signals a strategic push to align infrastructure spending with regional equality goals, while streamlining procedures for smaller-scale projects.
