SEOUL, Jan. 13 (Xinhua) -- The South Korean government announced on Tuesday its plan to invest 97.8 trillion won (71.2 billion U.S. dollars) in three core industries over the next five years.

    According to the Ministry of Knowledge Economy, the country selected green technology sector, high-tech convergence and value-added industries as the three core industries with 10 underlying projects.

    "The key industries were selected to allow the country to become a leading player instead of just following in the footsteps of others and have the greatest impact on advancing the economy to the next level," said Lee Dong-geun, head of the ministry's growth industry office.

    Lee added that the fund will be used to support various high risk research and development endeavors that companies may not otherwise engage in and to help companies sell high-tech goods by creating a market.

    For green technology sector, funds will be used to promote development of technologies for reusable energy, reduce greenhouse gas emissions, energy efficient automobiles and advance application of light emitting diodes, the ministry said.

    For high-tech industrial convergence, the government will make efforts to merge the broadcast and telecommunications sectors and promote next generating information technology, robotics applications, new industrial materials and biotech-medicare advances, it said.

    The ministry added that master plan also calls for funds and resources to be allocated for the contents-software area so as to expand the value-added services sector.

    Out of the total investment the government will directly inject 7.3 trillion won (5.31 billion U.S. dollars) while the private sector is to invest remaining 90.5 trillion won (65.89 billion U.S. dollars), said the ministry.

    Meanwhile, the ministry said that if development of new growth engines and R&D proceed on schedule, the total increase in value-added production is expected to reach 694 trillion won (505.24 billion U.S. dollars) in 2018, while number of new jobs will increase by 3.52 million and exports will be bolstered by 920 billion U.S. dollars.