South Korea, Indonesia Finalize Reduced KF-21 Jet Development Contribution

South Korea and Indonesia have finalized a revised agreement reducing Indonesia's financial contribution to the KF-21 Boramae fighter jet development project from around 1.6 trillion won to 600 billion won. This modification follows Indonesia's delayed payments and a request to lower its share in exchange for reduced technology transfer, which South Korea approved last year. The agreement, signed during the Indo Defence exhibition in Jakarta, resolves tensions caused by an incident in which Indonesian engineers were accused of attempting to steal classified KF-21 data, although they were later cleared of charges. Indonesia has already paid about 400 billion won and is now proceeding with administrative steps to pay the remaining amount. The scope of technology transfer and conditions, including the provision of a prototype aircraft, will be negotiated after the project's development phase concludes. Both countries expressed optimism that the renewed cooperation will accelerate defense industry collaboration and project progress.