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■ Based on Foreign Investment Promotion Act, Gwangju Metropolitan City Ordinance on Investment Promotion and Enforcement Regulations of Gwangju Metropolitan City Ordinance on Investment Promotion

■ Eligible companies for incentives

  • Companies that have signed MOUs with Gwangju Metropolitan City.
  • If the foreign investment accounts for more than 30% or the largest shareholder is a foreigner.
  • If the foreign investment is more than KRW 100 million.
  • If a newly established or relocated company meets one of the following categories:
    - More than 20 full time employees with an investment over KRW 2 billion
    - More than 50 full time employees
    - Companies certified with Inno-Biz with more than 15 full time employees and over KRW 1.5 billion of investment
    - Headquarters, research centers or businesses in cultural industry with more than 10 full time employees and over KRW 1 billion of investment

■ Subsidies

  • Industrial site location subsidy : Within 20 percent of the sale price (the recipient cannot select the region and receive a second subsidy)
  • Equipment investment subsidy : Within 5 percent of equipment investment over KRW 2 billion
  • Regional elective subsidy : Within 10 percent (up to KRW 200 million) of the foreign investment that is more than USD 1 million
    ※ Applicable within the budget

■ Period of application : Within two years since the initial date of business (plant registration date, etc.)

■ Subsidy limits : Up to KRW 5 billion per company

  • (Large-scale invested companies or conglomerates may be provided with more than KRW 30 billion after consent from the city council)

■ Notifications

  • A performance guarantee insurance must be submitted to guarantee the investment plan and obligatory period of business.
  • The City shall cancel or demand refund of subsidies if the recipient minimizes or closes its business or moves to other cities or provinces within five years since the initial date of business.
 
 

 

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