The government and the ruling Democratic Party have agreed to revive tax exemption benefits for holders of stock options as part of efforts to revive a start-up boom.

The Democratic Party's chief policy-maker Representative Kim Tae-nyeon said the agreement was reached during a meeting Wednesday that included discussions on measures to create an ecosystem for innovative entrepreneurial ventures.

Stock options are a form of reward often exercised by start-ups to encourage their employees to work harder in order to get lucrative returns on the companies' success. Tax breaks on stock options were abolished in 2006.

The government and the party also agreed to expand tax benefits for investors, while making it easier for the public to invest in start-ups through public funds.

Kim said both sides decided to focus their energy on policies that will help boost new, innovative small companies.