The Korean venture capital market has grown dramatically in recent years, starting from a negligible base in the early 1990s and almost tripling between 1998 and 2001. Korea now ranks among the leading OECD countries in venture capital investment as a share of GDP. Korea weathered the severe financial crisis of 1997-98 to face the challenge of reducing the influence of large corporations (the chaebol) and augmenting the role of technology-oriented small firms. The government jump-started the venture capital market in 1998 through direct infusion of equity capital, generous tax incentives and equity guarantees, and the designation of certain small firms as “venture businesses”. Concerns relate to the need to further privatise the venture capital system and to increase the supply of investment-ready small firms. This paper analyses trends in Korean venture capital markets and makes policy recommendations which have been developed through an OECD peer review process ...
Venture Capital Policies in Korea
Working paper
OECD Science, Technology and Industry Working Papers
Share
Facebook
Twitter
LinkedIn
Abstract
In the same series
-
24 October 2024
-
16 October 2024
-
15 March 2024
-
Working paper2 February 2024
Related publications
-
30 July 2024
-
Country note10 July 2024