Global chip boom drives South Korea's tax revenue to a record high.

South Korea expects its national tax revenue to surge to a record high this year, underscoring the windfall from the semiconductor industry and bolstering President Lee Jae-myung's ambitious investment plans. Data from South Korea's Ministry of Economy and Finance show that the country's tax revenue is projected to reach 478.6 trillion won in 2026, up 28% year-on-year. That figure would be 63.2 trillion won higher than the estimate in this year's supplementary budget, driven by better-than-expected revenue from chip profits, special dividends and stock trading. The forecast means South Korea's annual tax revenue will exceed the 400 trillion won mark for the first time, about 21% above the previous record set in 2022. Compared with last year, tax revenue has increased by 104.7 trillion won, indicating that the artificial intelligence boom is reshaping South Korea's national finances and its export-oriented economy.