South Korea is intensifying its global venture capital strategy. With the launch of the H2 Global Fund 2025 round, KVIC is channeling ₩768B (~$560M) into overseas-managed funds that must be reinvested in Korean startups. For founders, investors, and policymakers, the launch represents a broader commitment to positioning Korea as a future top-tier player in the global venture landscape.
KVIC Opens H2 Global Fund 2025 with ₩768B (~$560M) Capital Injection
Korea Venture Investment Corp. (KVIC) has announced the opening of its 2025 second-half Global Fund deployment, committing ₩768 billion KRW (~$560 million USD) through the country’s Fund-of-Funds (Mother Fund) program.
The new round is expected to catalyze the creation of at least ₩2 trillion KRW (~$1.46 billion USD) in new venture capital funds, amplifying Korea’s effort to anchor overseas VC investment directly into domestic startups.
The Global Fund—formally part of Korea’s Fund-of-Funds Global Program—operates on a simple but powerful principle: when KVIC invests in an overseas venture capital fund, that fund is obliged to reinvest at least the equivalent amount into Korean startups.
Since its launch in 2013, this framework has mobilized ₩12.3 trillion KRW ($9.4B USD) across 74 funds worldwide, channeling capital into 654 Korean startups.
The Global Fund: Track Record of Driving Korean Unicorn Growth
The Global Fund has played a central role in Korea’s unicorn startup ecosystem. Investments made under this scheme have supported several successful companies such as Bucketplace, Moloco, and Rebellion, which went on to achieve unicorn status.
By combining public capital with the networks and expertise of overseas VC managers, the program has become a key driver of Korea’s broader venture investment growth.
KVIC CEO Lee Dae-hee emphasized the fund’s ecosystem role, noting,
“The Global Fund has been central to the rise of domestic unicorns, serving as a vital bridge between Korean startups and global investors. We will continue leveraging the program to strengthen overseas capital attraction and global expansion for Korean ventures, positioning Korea among the world’s top four venture ecosystems.“
Call for Fund Managers in H2 Global Fund 2025
For the second-half program, KVIC has opened applications for new global fund managers.
- Application Period: September 5–19, 2025
- Evaluation Process: Document review, on-site due diligence, and investment committee screening
- Final Selection Announcement: Early December 2025
The selected fund managers will be required to reinvest at least 1x KVIC’s commitment into Korean companies, ensuring that the ₩768B injection translates into tangible capital inflows for the domestic startup scene.
Strategic Significance for Korea’s Venture Capital Policy
This H2 Global Fund 2025 deployment complements the ₩2.4 trillion program launched earlier in the year by the Ministry of SMEs and Startups (MSS), which selected 13 overseas VCs to operate specialized funds in AI, climate tech, and secondary investments.
By staging multiple Global Fund deployments within the same year, Korea signals its intent to strengthen its venture capital policy and accelerate startup global expansion, even amid tighter global liquidity and VC pullbacks in major markets.
Strengthening Korea’s Position in the Global VC Arena
The Global Fund 2025 framework underscores Korea’s ambition to become the fourth-largest global venture powerhouse. By embedding mandatory domestic reinvestment conditions into cross-border funds, Korea reduces barriers for overseas VC participation while guaranteeing that capital reaches domestic founders.
For Korean startups, the benefits extend beyond capital. The Global Fund opens doors to global investors, international networks, and scale-up pathways that have long been challenging to access. With H2 applications now open, attention is turning to which global players will align with Korea’s next phase of venture growth.
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