BMW Group Korea announced Thursday that it will set up BMW Korea Future Fund, the first social contribution foundation operated by a foreign carmaker in South Korea.

The foundation will be established by BMW Group Korea and the seven official dealers later in the year with an initial investment of 3 billion won ($2.7 million), 2 billion won of which will be raised by the dealers and BMW Group Korea. The company plans to operate a 2 billion won fund for the foundation’s activities in its first year, and increase the operating funds to about 5 billion won over the next three to four years. Additional funds will be raised by BMW Group Korea and the dealers, and by BMW and Mini buyers, the company said.

According to the company’s plans, when a customer chooses to donate 30,000 won when purchasing BMW or Mini vehicles, BMW Korea, BMW Group Financial Services Korea and the dealer will each donate the same amount to the foundation.

The foundation’s funds will be used to support education and research and development concerning environmental issues. The fund will also be used to support exchange between Korea and Europe, and various programs aimed at promoting sharing, the company said.

By Choi He-suk (cheesuk@heraldcorp.com)