President Moon's New Year's Address: The Paradox of the Keyword 'Certain Change'

War on Real Estate Speculation, Kim Jong-un's Mention of Return Visit, Growing Burden as Expectations Rise... Need to Deliver Government Performance Felt by the People

[Asia Economy Reporter Ryu Jeong-min] "Our government will also do everything possible to promote North Korea-US dialogue." The statement made by President Moon Jae-in in his New Year's address on the 7th signals a change in actions related to the situation on the Korean Peninsula. Moreover, the very mention of North Korean State Affairs Commission Chairman Kim Jong-un's reciprocal visit is an important point to watch.

Although it was based on the premise of joint inter-Korean efforts to create conditions for the reciprocal visit, it hints that another historic event may occur in 2020. The noteworthy aspect is that President Moon's New Year's address is the result of a focus on the 'keyword effect.' A key official from the Blue House emphasized, "He mentioned definite change six times."

The definite changes that the public can feel include the improvement of the stalled inter-Korean relations. The mention of Chairman Kim's reciprocal visit emerged as a core keyword in President Moon's New Year's address. The problem is that the Blue House's imprinting effect could lead to the 'paradox of keywords,' which imposes political burdens.

President Moon mentioned the "border area cooperation projects" and said, "I believe Chairman Kim also shares the same will." In the tense situation on the Korean Peninsula, the political stance of the inter-Korean leaders is intertwined with a high-level political judgment that goes beyond a personal trust relationship between individuals. It is difficult to guarantee whether Chairman Kim will support the 'peace timetable' led by President Moon without a firm promise regarding the security of the North Korean regime.

President Moon emphasized the role in promoting North Korea-US dialogue, but it remains to be seen whether the US will agree to South Korea's actions aimed at improving inter-Korean relations. In this regard, it is noteworthy that Chung Eui-yong, Director of the Blue House National Security Office, arrived in Washington DC on the 7th (local time) together with Choi Jong-geon, Secretary for Peace Planning at the Blue House.

Director Chung is scheduled to hold high-level security talks among South Korea, the US, and Japan. There is also a possibility of a separate meeting with Robert O'Brien, US National Security Advisor at the White House. Given that Secretary Choi, who is very interested in inter-Korean economic cooperation, accompanied him, attention is focused on whether the New Year's address content will become a topic of discussion.

Another keyword that drew intense interest in President Moon's New Year's address was the war against real estate speculation. President Moon declared, "We will never lose the war against real estate speculation," leading to expectations of high-intensity additional measures. Although the Blue House cautioned against overinterpretation, the market is paying close attention to the president's message.

On the 7th, citizens are watching President Moon Jae-in's New Year's address in the Seoul Station waiting room. Photo by Kang Jin-hyung aymsdream@

The Blue House has sent a message to officials with two or more houses to dispose of all but one. This is a strategic move to convey where the president's intentions lie to public officials in government ministries, including the Blue House. In fact, some Blue House aides are reportedly taking action by putting their houses on the market. While this behavior serves as a warning effect to keep public officials away from the temptation of real estate speculation, it is far from a fundamental solution.

Real estate is a market heavily influenced by investors' 'psychological' variables. The government's aggressive drive could ironically amplify expectations for real estate, resulting in investments flocking to so-called 'profitable apartments.' If the government restricts loans, cash-rich buyers may gain an advantage in competing to purchase apartments in preferred areas such as Gangnam, Seoul.

The war against real estate speculation is not as easy as it sounds to produce results that meet the public's expectations. If it does not lead to tangible outcomes, President Moon's New Year's address could be criticized as mere political rhetoric.

This content was produced with the assistance of AI translation services.