South Korea plans to establish a $300 million global fund of funds (K-VCC) in Singapore to support promising startups in artificial intelligence and deep technology sectors in both countries.
Minister of SMEs and Startups Han Sung-sook announced the initiative at the Korea-Singapore AI Connect Summit held in Singapore on June 2, with the fund targeted for completion by 2030. The minister's visit was coordinated with President Lee Jae-myung's state visit to Singapore.
The summit drew approximately 150 participants, including President Lee, Minister Han, business leaders, investors, researchers, and government officials from both nations. Attendees discussed cooperation strategies to lead the global AI market and achieve mutual prosperity.
Fund formation will begin in the second half of this year. The government plans to invest in promising AI startups from both countries and gradually expand the fund's size.
During her Singapore visit, Minister Han also held meetings with Korean financial executives working locally, Korean entrepreneurs and experts based in Singapore, domestic and foreign venture capitalists, and Enterprise Singapore officials.
At the financial executives meeting, Han met with branch managers of major Korean banks, the Korea Investment Corporation's local director, and Korean employees at major Singaporean banks. They discussed Singapore's financial and investment trends as well as venture investment cooperation between the two countries.
At the entrepreneurs meeting, Han met with three locally-based startups and representatives from global companies including Google and Infineon Technologies to learn about Singapore's startup ecosystem.
Han also met with Lee Chuan Teck, chairman of Enterprise Singapore, to discuss startup development linked to AI initiatives.
"Singapore is the optimal gateway and partner for our ventures and startups to go global as a global financial hub," Han said. "We will strengthen the venture and startup partnership between the two countries and support our ventures and startups to smoothly expand globally."