Korean government has established a long-term strategy for land development, which is mainly divided into two sub-strategies: the Hub of Northeast Development(selection and concentration) and the New Administrative Capital Construction(decentralization and equilibrium). Free Economic Zones(FEZ), the most critical program of the Hub of Northeast Development Strategy, ultimately aims at realizing a financial and physical distribution hub in Northeast attracting foreign enterprises and capital.
This Free Economic Zones has been performing based on Act on Designation and Management of Free Economic Zones. Korean government selected Incheon, Busan-Jinhae, and Gwangyang Bay as Area Free Economic Zone and total cost of investment for constructing infrastructure in these three FEZ is 42,832.9 billion won. A huge amount of budget has already been executed in FEZ for more than three years. Therefore, it is meaningful for the National Assembly to assess the implementation processes of FEZ and to suggest some solutions for existing problems.
This report researches on the level of satisfaction and acknowledgment of residents, public employees and enterprises over Free Economic Zones. The results are as follows. First, residents are barely aware of the aims of EFZ. Second, public employees working in these areas hardly satisfy themselves with a slow progress of FEZ. Lastly, enterprises in FEZ are neither aware of nor satisfied with the government policies trying to attract foreign capital. Therefore, this report concludes that Korean government should advertise FEZ more actively and improve business environment to attract foreign investors more.