The South Korean government announced on the 6th a comprehensive transformation of its national asset management system, expanding coverage from real estate to include intellectual property, securities, equity stakes, and virtual assets under a unified 'national asset' framework. The reform addresses limitations of the existing National Property Act, enacted in 1950 with a real estate-focused structure, which the government deemed inadequate for efficiently managing diverse modern asset types. The initiative aims to manage national property exceeding 1,400 trillion won through integrated oversight, establishing a National Asset Management Committee with private sector participation and building an AI-powered database.
Government Revises National Property Act into Asset Basic Act
The government presented the 'National Asset Management System Grand Transformation (K-Asset Innovation Project) Direction' at an emergency economic headquarters meeting and economic/structural innovation ministerial meeting held on the 6th. The existing National Property Act will undergo comprehensive revision into the National Asset Basic Act. The revised legal framework shifts from the ownership and preservation-focused 'national property' concept to 'national asset' emphasizing active operation and value creation. The new law will establish integrated legal foundations covering tangible assets such as land and buildings, intangible assets including intellectual property rights and software, and financial assets such as bonds and stocks.
Four Core Asset Categories Receive Customized Management Systems
The legislation will include separate chapters for four core asset groups—real estate, intellectual property, securities and equity stakes, and virtual assets—with tailored regulatory systems covering acquisition, management, and disposal. For real estate, the government will systematically identify idle assets and establish management systems enabling joint utilization with local governments, while consolidating scattered national property development guidelines to clarify development targets and methods. Intellectual property management will introduce new valuation methods, with the establishment of a 'National IP Bank' presented as an example for mandatory registration of state-owned intellectual property and management of usage contracts and revenue distribution. Securities and equity stakes will be managed in an integrated manner from acquisition to disposal. Virtual assets will be explicitly designated as national asset management targets in the law, with disposal procedures specifying that government-acquired virtual assets will be auctioned immediately after acquisition in principle, while allowing divided auctions when market disruption concerns exist.
National Asset Management Committee and KAMCO Expansion Announced
A National Asset Management Committee will be established to oversee national asset policy. The committee represents an expanded reorganization of the existing National Property Policy Deliberation Committee and will deliberate and decide on comprehensive national asset plans, basic directions for asset operation, and appropriateness of special provisions. Each central government ministry will designate a 'National Asset Officer' with overall responsibility for identifying the status of assets under their jurisdiction and ensuring compliance with related laws. Prior and post controls on various special provisions regarding national property will be strengthened. The government plans to expand the role of Korea Asset Management Corporation (KAMCO) by reviewing measures to broaden the scope of national asset consignment operations and transfer or consolidate management and disposal authority to KAMCO.
AI-Based K-Asset Cloud Database Scheduled for 2027 Launch
The government will pursue phased construction of a pan-government database for national asset utilization. Within this year, asset information held by national and local governments and public institutions will be linked to the digital Budget and Accounting System (dBrain), with AI-based work support functions prepared. Subsequently, for active asset utilization and development, the government plans to newly construct 'K-Asset Cloud,' a dedicated national asset database, in 2027. The government outlined plans to use AI to analyze real estate information and legal regulations to identify high-value assets and derive optimal utilization plans. A regular management procedure connecting national asset supply and demand will be introduced annually.
KDI-Led Task Force Targets Year-End Legislation Draft
The government will operate a joint public-private task force led by the National Treasury Director of the Ministry of Finance and Economy. The Korea Development Institute (KDI) will serve as the overall research institution with the goal of preparing drafts of the National Asset Basic Act and subordinate legislation within the year. The government emphasized that "the current National Property Act is a property management system premised on the fact that most national property was real estate 70 years ago" and stated that "redesigning the national asset management system that can fully accommodate enlarged and diversified national assets is urgent to maximize national wealth creation."
FAQ
What did the South Korean government announce on the 6th regarding national asset management?
The South Korean government announced on the 6th a comprehensive transformation of its national asset management system, revising the National Property Act into the National Asset Basic Act. The reform expands asset coverage from real estate to include intellectual property, securities, equity stakes, and virtual assets, establishes a National Asset Management Committee with private sector participation, and plans to build an AI-based 'K-Asset Cloud' database by 2027.
How will virtual assets be managed under the new National Asset Basic Act?
Virtual assets will be explicitly designated as national asset management targets in the law. The government established disposal procedures specifying that government-acquired virtual assets will be auctioned immediately after acquisition in principle. When market disruption concerns exist, divided auctions will be allowed.
What is the timeline for implementing the K-Asset Cloud database?
The government will link asset information from national and local governments and public institutions to the digital Budget and Accounting System (dBrain) within this year, with AI-based work support functions prepared. The dedicated national asset database 'K-Asset Cloud' is scheduled for construction in 2027.
