Incheon Free Economic Zone I ncheon, a prospering port city on Korea's western coast, is at the heart of the country's master plan to become a Northeast Asian business and logistics hub. On August 11, 2003 the government designated Incheon as the nation's first free economic zone to attract foreign investment and to promote multinational businesses.    Incheon Free Economic Zone(IFEZ) with total area of 51,739 acres consists of three different areas: Songdo, Yeongjong, and Cheongna. Its vision is to transform these areas into the logistics, international business, and leisure and tourism hub of the Northeast Asian region.    Geographically, it is ideally located to be equipped with air & sea ports and tourism & leisure facilities along with state- of- the- art infrastructure and a foreigner- friendly living environment, most befitting the goal of a Free Economic Zone. Advantages of IFEZ    Compared with other cities in Northeast Asia and other Economic Zones in Korea, Incheon has many competitive advantages:    • The Center of Northeast Asia    The first advantage of IFEZ is that Incheon is ideally located in the heart of Northeast Asia and is sure to serve as a bridge like other international cities such as Hong Kong and Singapore. Incheon has the best geographical position to access the major cities of Northeast Asia because it is close to China, with its huge market of 1.3 billion people. In addition, 51 cities with a population of over 1 million are within a three- and- a- half hour flight of Incheon.    • Multi- port Incheon    The second advantage of IFEZ is that Incheon has the world class marine and air transport facilities including the Port of Incheon, with a 120- year history, as well as Incheon International Airport, which ranks third globally in cargo volume and tenth in passenger use, offering the "Sea & Air Intermodal Logistics System" on the basis of the state- of- the- art infrastructures. It will enhance the businesses working in IFEZ competitiveness.    • Rich Human Resources    The third advantage of IFEZ is that Incheon neighbors the high- tech manufacturing complexes of Incheon and Seoul metropolitan area, bringing industrial linkage effects in addition to better conditions to secure manpower in such cutting- edge industries as IT and BT, compared with other neighboring rival regions. IFEZ Development Plan    IFEZ covers an area of 51,739 acres, consisting of the three areas of Songdo, Cheongna, and Yeongjong. With projected population of almost 500,000, the total development cost will be approximately US$15.36 billion (14.7 trillion won) ranging from the year 2003 to 2020. Phase 1 is to be completed by 2008 and the entire project to be finished by 2020.    • Songdo District    Songdo District, spanning 13,162 acres, will be developed as "an international business and cutting- edge industrial city." The area includes the International Business District, knowledge- based industrial complexes, including the Techno Park, IT/BT complexes, and Global Academic Village.    • Yeongjong District    Yeongjong District, including Incheon International Airport, will serve as a "hub for air logistics of Northeast Asia," covering total area of 34,183 acres and developing into a self- sufficient city, which will provide the multiple functions for international tourism, air logistics, industry and residential living.    • Cheongna District    Cheongna District will be transformed into an "international tourism and leisure complex." Spanning the total area of 4,419 acres, it will be developed into a planned Asian village, international finance center, a theme park, a golf course, a floricultural complex, and an R&D center for GM Daewoo, among other things. The district commenced construction in July 2006, with completion targeted for 2012. Development Strategy of IFEZ    IFEZ vision is to create a Northeast Asia hub city with optimum working and living environment for businesspeople in the global market. To achieve our vision, we are planning these strategies: Ubiquitous City, Eco- friendly City, and Hi- tech new transportation city. Current Accomplishment and Investment    As of August 2006, we have signed 42 agreements worth $28.2 billion, including 15 investment contracts worth $26 billion, 9 MOUs worth $1.7 billion, and 8 LOIs worth $0.5 billion.    Recently, Portman company(based in U.S.A) decided to develop District 6.8 in Songdo area(1,569 acres), worth $11 billion dollars, and will build 151- story twin buildings (610 m.).    Moreover, on September 11 this year, Morgan Stanley Real Estate and Gale International have reached an agreement under which Morgan Stanley will fund $350 million of foreign direct investment for Gale's mammoth New Songdo City development project in IFEZ.    Apart from the foreign investment, there are 36 IT&BT companies working in IFEZ and numerous R&D institutes in Songdo Technopark. In January we agreed to accommodate Yonsei University campus in Songdo. Future of IFEZ    Incheon FEZ will emerge as a center of logistics, information technology, bio technology and tourism to become a hub of international business by 2020.    The Incheon FEZ is expected to serve as an ideal future city for future generations that can play the role of a gateway to Seoul metropolitan city and Northeast Asia and function as a new model of Korean economic development.