The Ministry of SMEs and Startups (Minister Han Seong-sook, hereinafter “MSS”) announced on Wednesday the launch of the Second Basic Plan to Promote Women-Owned Businesses (2025-2029), a comprehensive five-year roadmap designed to support women entrepreneurs from startup to growth and global expansion.
The plan, established under Article 5 of the Act on Support for Female-Owned Businesses, is a legally mandated framework renewed every five years. It outlines the government’s medium- to long-term direction to foster women’s participation in entrepreneurship and to create an enabling ecosystem for women-led innovation.


➊ Strengthening Women’s Entry into Emerging and High-Tech Industries
MSS will reinforce policy support to ensure women-led businesses can play a central role in innovation and technology. The Ministry plans to identify and nurture FemTech (Female Technology) startups that improve women’s health and quality of life through AI and advanced technologies, while also promoting entrepreneurship in women-friendly sectors such as beauty (cosmetics) and food technology (FoodTech). Support will also extend to innovative small business owners in lifestyle and cultural industries, helping them grow into promising enterprises.
Through initiatives such as the “Startup 1000+ Project for Cutting-Edge Industries”, MSS will encourage women entrepreneurs to take on new challenges in advanced and emerging fields. The Ministry will also introduce dedicated R&D programs for women-owned enterprises and expand open innovation platforms that foster collaboration between established women entrepreneurs and early-stage startups.
To accelerate digital transformation, MSS will implement industry-specific digital adoption programs – including smart services, smart shops, smart factories, and smart manufacturing systems – empowering women-owned firms to adapt to the AI and data-driven era.

➋ Expanding Customized Support for Women’s Entrepreneurship
MSS will broaden the base of women’s entrepreneurship through customized programs that address each stage of growth. Specialized initiatives will target female university students, prospective founders, and career-interrupted women, offering training, business idea commercialization programs, and national startup competitions to identify promising women entrepreneurs.
The Women’s Enterprise Support Centers will be expanded as regional hubs for women-led businesses, working in cooperation with Startup-Centered Universities to strengthen youth entrepreneurship. Additionally, local creators – women with regionally inspired business ideas – will receive tailored support to develop sustainable community-based enterprises.
To inspire future women leaders, the Ministry will introduce mentoring and career-exploration programs, including CEO lectures and company field visits, and establish a new program connecting experienced women entrepreneurs as mentors to guide new founders.
 
➌ Supporting Innovation and Scale-Up for Women-Owned Enterprises
To help women-owned businesses achieve sustainable growth, MSS will annually allocate KRW 10 billion (approx. USD 7 million) to the Women Entrepreneurs Fund, while expanding networks between promising female-led startups and institutional investors through investment briefings and mentorship programs. Additionally, MSS will provide policy financing and credit guarantees totaling approximately KRW 5 trillion (USD 3.6 billion) per year exclusively for women-owned enterprises.
To facilitate global expansion, women entrepreneurs entering emerging overseas markets will receive support for promotion, technology development, and participation in international exhibitions. The Ministry will also grant additional evaluation points for women-owned companies applying to export voucher and other global business programs.
To boost branding and market access, MSS will help women-led firms join major online platforms and organize Women’s Enterprise Expos to showcase products. The Ministry will further expand public procurement of women-owned products from KRW 12.1 trillion in 2024 to KRW 20 trillion by 2029, while issuing procurement guidelines to simplify purchasing processes for public agencies.
MSS will also improve the employment environment in women-owned enterprises by strengthening the talent-matching system between companies and skilled women professionals, including science and technology talent.
 
➍ Building a Women-Friendly Business Environment
MSS will enhance support for female CEOs balancing management with maternity and childcare responsibilities. This includes expanding access to Yellow Umbrella Mutual Aid childbirth loans and maternity allowances for self-employed women, while automatically extending incubation periods for female founders in business incubation centers during maternity leave. The Ministry also plans to establish women-friendly integrated workspaces that combine entrepreneurship, employment, and childcare services under one roof.
Women-owned companies that demonstrate exemplary leadership in job creation and gender-inclusive management will receive recognition and incentives. In addition, employers hiring substitute workers during maternity leave will be eligible for government subsidies.
To strengthen inclusive growth partnerships, MSS will launch the “With Women Business (W+) Program”, offering mentoring and networking opportunities for migrant women entrepreneurs and providing rental deposit support for women heads of households starting small businesses.
 
➎ Enhancing Institutional and Infrastructure Support for Women-Owned Enterprises
 
MSS will broaden the legal definition of women-owned enterprises to include agricultural and fishery cooperatives, currently excluded under the Commercial Act. To improve the efficiency of public procurement, the Ministry will revise regulations to shift from separate mandatory purchase ratios for goods, services, and construction to a comprehensive ratio based on total procurement volume.
The Ministry will also conduct regular surveys and policy research to identify new challenges, improve systems, and establish data-driven, tailored policy designs for women entrepreneurs.
Kim Jung-joo, Director-General for SME Strategy and Planning, emphasized,
“Women-owned businesses are vital drivers of innovation and a new growth engine for overcoming Korea’s low-growth and demographic challenges. Through the Second Basic Plan, we will implement annual action plans and actively support women so they can fully realize their entrepreneurial potential.”