The South Korean government's budget for next year will focus on revitalizing the local economy and maintaining growth. 

Guidelines for the central administrative and fund managing agencies' budget formulation and fund management for the year 2020 were decided by the Cabinet on Tuesday.

The decision to push for aggressive fiscal policies to boost the competitiveness of key industries and expand exports comes amid rising uncertainties in the global economy and falling local exports.

The government plans to increase spending towards research and development in the semiconductor and automobile industries and encourage innovative growth through smart factories and deregulation.

Expanding the social safety net will be another focus of budget formulation by supporting people in low-income brackets increase their base income.