South Korea’s Financial Services Commission will expand the National Growth Fund to 200 trillion won from 150 trillion won and supply up to 10 trillion won to national strategic technologies. It will broaden support to future strategic industries including aerospace and raise annual direct equity investment support to at least 5 trillion won. The commission also plans KOSDAQ market restructuring, tighter limits on duplicate listings, a shift to T+1 stock settlement and other measures to enhance shareholder value and governance.

South Korea is pushing to shorten the settlement cycle for stock sale proceeds to T+1 from the current T+2, aiming to reduce settlement risk and boost market liquidity. The Financial Services Commission said it discussed modernising trading and settlement infrastructure and plans to release a detailed roadmap in October. Korea Securities Depository will pilot T+1 settlement for unlisted shares and fractional investment OTC trades by year-end. The exchange also plans to extend trading hours and discuss AI-based market surveillance upgrades.