Gov't to Foster Culture & Tourism
as Growth Engine Sectors
Seeking to exempt value added tax on tourist hotels

The government plans to foster culture, tourism and leisure-sports sectors as next-generation strategic industries that will drive the national economy with the goal of raising the per capita national income to $30,000.
In his report to President Roh Moo-hyun, on July 6 in Yongpyong, Gangwon Province, Minister of Culture and Tourism Chung Dong-chea unveiled the ambitious C-Korea 2010, a strategic plan designed to develop Korea into a culture powerhouse. The C-Korea plan, based on 3Cs - Contents, Creativity and Culture - calls for raising aggregate sales in culture, tourism and leisure-sports industries to 225 trillion won by 2010 with the projected annual average growth rate of 11.5 percent, 1.5-fold of the nominal gross domestic product (GDP) growth rate of 7.7 percent.
MCT Minister Chung said his ministry is seeking to exempt the value added tax imposed on tourist hotels as part of its efforts to increase Korea's price competitiveness, lagging behind that of neighboring rival countries, with the goal of attracting 10 million inbound foreigners per annum.
In an effort to spread hallyu, Korean Wave, all the raze in Asia, to the world, Minister Chung said the government will set up 15 Korea Plazas, centers for marketing and displaying hallyu-related items, in such foreign countries as Latin America and Eastern Europe.
The government plans to expand tourism resources tailored to each region's characteristics to divert Korean tourists from overseas to domestic destinations and accept 10 million inbound foreign visitors. It will increase the number of tourist accommodation facilities from current 62,000 rooms to about 100,000 rooms by 2010. The ministry plans to convert motels into low-priced and middle-level priced tourists hotels.
Gangwon Province Gov. Kim Jin-sun gave a briefing to President Roh on his province's bid for the 2014 Olympic Winter Games. President Roh said even he as the Chief Executive would spare no efforts to bring the 2014 Olympic Games to PyeongChang on top of realizing the Northeast Asia tourism hub project.
President Roh stressed the need for taking a concept of symbolizing the integration of South and North Korea in the bid for bringing the 2014 Games. nw

President Roh Moo-hyun is briefed by Gangwon Province Gov. Kim Jin-sun on PyeongChang's bid for the 2014 Olympic Games in Yongpyong on July 6.