▲ The Ministry of National Defense headquarters in Yongsan, Seoul (Yonhap)

By Kim Seung-yeon

SEOUL, Sept. 1 (Yonhap) -- The defense ministry said Tuesday it has proposed an 8.2 percent increase in the 2027 budget, seeking to accelerate its push for the transfer of wartime operational control (OPCON) from the United States, and modernizing forces and capabilities amid a demographic cliff.

The proposal calls for a budget of 73.27 trillion won (US$53.5 billion), up 5.57 trillion won from 67.7 trillion won in 2026, the ministry said.

"It is focused on strengthening our military's self-reliant defense capabilities and pivoting from manpower-heavy forces to a technology-centered military, in response to a rapidly changing security environment and a shrinking pool of conscripts," the ministry said in a release.

In particular, the proposed budget aims to help secure key military capabilities required for the OPCON transition from Washington, an initiative that the Lee Jae Myung administration seeks to achieve before its five-year term ends in 2030 or at an earlier date.

The proposed budget will also support efforts to acquire nuclear-powered attack submarines, dubbed the Jang Bogo N project, as Seoul has initiated talks with Washington to build the key warships under a bilateral trade and security agreement.

The draft budget will be spent to facilitate the development of KF-21 homegrown fighter jets, a centerpiece of South Korea's air defense assets, amid growing overseas demand for South Korean defense products.

As part of efforts to respond to a decline in the pool of conscripts, the ministry plans to use the proposed budget for the transition of forces into an artificial intelligence (AI)- and unmanned system-driven structure, with a focus on upgrading drone and anti-drone capabilities.

The sectoral budget for forces operations has been set at 50 trillion won, a 5.9 percent increase from this year, with 22.7 trillion won allocated for defense capability enhancement, marking a 13.8 percent on-year increase.

The budget for the military manpower administration sector has been set at 524.9 billion won, a 1.4 percent increase from 2026, according to the ministry.

(END)

[ⓒ K-VIBE. 무단전재-재배포 금지]