Korea projects state-run firms' combined debt to hit $728.6 bil. in 2030

The government on Tuesday projected the combined debt of state-run firms to reach 997.4 trillion won ($728.6 billion) in 2030, calling for comprehensive efforts to improve their financial health. The Ministry of Finance and Economy unveiled the projections in its 2026-30 financial management plan for 37 state-run firms. The plan outlines investment plans for policy projects specific to each institution and self-help measures to improve their financial conditions. Under the plan, the combined debt of the 37 firms is expected to increase by 219.1 trillion won from 778.3 trillion won this year to 997.4 trillion won in 2030. Their combined debt-to-equity ratio is expected to rise 8.4 percentage points from 208.2 percent to 216.6 percent over the period. The increase is expected to be driven mainly by Korea Land & Housing Corp., a state-run housing developer, whose debt is projected to rise from 197.5 trillion won to 372.8 trillion won over the period. Its debt-to-equity ratio is expected to rise from 250.6 percent to 351.2 percent. "With the financial conditions of public institutions expected