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flag South Korea overhauls key agencies to boost transparency and fiscal growth, shifting budget control and prosecutorial powers.

flag South Korea’s National Assembly passed a major government reform law, restructuring key agencies including the finance ministry and prosecutors’ office. flag The prosecution service will lose investigative powers to a new independent body but keep indictment authority. flag The finance ministry’s budget drafting role will transfer to a new office under the prime minister, launching in January 2026. flag The Ministry of Trade, Industry, and Energy will split its energy division, merging it with the environment ministry. flag The reforms aim to enhance transparency, balance power, and support an expansionary fiscal policy, with the 2026 budget projected to grow at its fastest rate in four years.

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