Government approves 5.12 billion won contingency fund as U.S. raises H-1B visa fees to $100,000

The South Korean government finalized the allocation of contingency funds for promotional activities aimed at attracting overseas talent, on the 14th, amid the U.S. significantly raising fees for professional visas (H-1B). President Lee Jae-myung presided over a Cabinet meeting at the Yongsan presidential office on the same day and deliberated and approved five legislative bills, including a 5.12 billion Korean won-scale '2025 General Accounting Contingency Fund Expenditure Plan,' 14 presidential decree bills, and three general agenda items.

The contingency fund expenditure plan, which passed the Cabinet meeting threshold, reflects changes in external conditions, such as President Donald Trump's large-scale crackdown on illegal immigrants and raising the H-1B visa issuance fee from the existing $1,000, approximately 1.4 million won, to $100,000, approximately 140 million won. Leveraging the Trump administration's visa fee hike, the government decided to use contingency funds for promotional activities to attract overseas research talent.

The government also approved the 'Enforcement Decree of the Special Act on Compensation for COVID-19 Vaccination Damage,' which includes specific procedures and payment criteria for compensation claims related to COVID-19 vaccine damage set to take effect on the 23rd. It specifies the scope of medical professionals and pharmaceutical experts eligible to be appointed as members of the COVID-19 Vaccination Damage Compensation Committee and the Re-examination Committee. The related special act passed the National Assembly plenary session last April.

A partial amendment to the 'Enforcement Decree of the Act on the Designation and Operation of Peace Economy Special Zones' was also approved, adding Gyeonggi Gapyeong-gun and Gangwon Sokcho-si to the Peace Economy Special Zones. The Peace Economy Special Zones aim to create regionally specialized industrial complexes in areas adjacent to North Korea, for balanced national development and realizing inter-Korean economic cooperation. To date, 15 cities and counties, including Gimpo, Paju, Dongducheon, and Pocheon in Gyeonggi Province, and Cheorwon and Chuncheon in Gangwon Province, have been designated as Peace Economy Special Zones.

South Korea Allocates Funds for Overseas Talent Amid U.S. Visa Hike