President Yoon Suk Yeol announced a comprehensive support program for the nation's semiconductor industry worth 26 trillion won, or around 19 billion U.S. dollars, encompassing finance, infrastructure, research and development, and support for small- to medium-sized enterprises(SMEs).

Presiding over a meeting to discuss economic issues on Thursday, Yoon first pledged to establish a 17 trillion won financial support program for the sector at the state-run Korea Development Bank(KDB) to help prevent businesses from facing liquidity issues while investing in facilities.

He promised to extend an existing sunset tax credit provision for semiconductor companies so that they do not experience difficulties in R&D and facilities investment.

The president vowed to accelerate the planned creation of a semiconductor mega cluster in southern Gyeonggi Province, with the government and the public sector taking responsibility for related infrastructure such as electricity, water supply and road construction.

He also pledged to establish a one trillion won fund to bolster the semiconductor ecosystem to support domestic fabless firms and materials, parts and equipment businesses grow to rank among world-leading companies.