Investment framework and opportunities in South Korea
Procedures Relative to Foreign Investment
- Freedom of Establishment
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Guaranteed
- Acquisition of Holdings
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Possible
- Obligation to Declare
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A foreign investment must be reported under the Foreign Investment Promotion Act (FIPA) or the Foreign Exchange Transaction Act. A fast registration process is available for foreign direct investment (FDI) under the FIPA. To apply, an FDI needs to:
- invest at least KRW 100 million;
- acquire at least 10% of voting shares of a Korean company, or own shares of a Korean company and dispatch or appoint an executive officer to or at such Korean company.
- Competent Organisation For the Declaration
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Invest Korea
- Requests For Specific Authorisations
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Most sectors of the economy are open to foreign investment, with the exception of a few key sectors, for example: telecommunications, broadcasting, publishing, banking, naval, aviation, agriculture, natural resources. In these sectors foreign ownership is limited to a percentage ceiling, or subject to regulatory approval for reasons of national security, protection of critical technologies, and so on.
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Latest Update: May 2025
South Korea: Investing in South Korea
