Hong Nam-ki Urges to Overcome Fear of New Coronavirus and Resume Consumption Activities (Update)

[Image source=Yonhap News]

[Asia Economy Reporter Jang Sehee] Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, addressed the economic slowdown caused by the spread of the novel coronavirus infection (Wuhan pneumonia), stating, "The government is fully committed to thorough preemptive quarantine measures, and since confirmed patients are managed within the government’s quarantine system, we ask the public to overcome excessive fear and anxiety and continue normal economic and consumption activities."

On the same day, Hong held a meeting on economic ministers’ response to the novel coronavirus and an economic revitalization countermeasure meeting at the Government Complex Seoul, saying, "Due to the novel coronavirus situation, there has been a sharp decline in inbound tourists, difficulties in travel, accommodation, and dining industries, and a contraction in consumption at department stores and traditional markets, resulting in an overall economic activity slowdown."

He particularly noted, "A significant portion of this is due to excessive fear and anxiety."

Regarding the January employment trends, Hong emphasized, "The number of employed persons in January increased by 568,000 compared to the same month last year. Considering the recent expansion of the decline in the working-age population, which makes employment growth difficult, this result is very meaningful."

He also explained, "Employment rates rose across all age groups except for those in their 40s, and the decline in the employment rate for the 40s slowed significantly from 0.6% to 0.2 percentage points."

As characteristics of the employment improvement trend, he cited ▲ manufacturing employment increasing for the first time in 22 months ▲ the number of employed persons in their 30s increasing for two consecutive months.

However, Hong observed, "Due to the recent impact of the novel coronavirus situation, there is a possibility of effects on employment in the service sector and others. Given that structural slowdown factors such as population will continue to operate, uncertainty may increase."

At the meeting, progress and future plans for discovering investments worth 100 trillion won across three major sectors?private, private investment, and public?were reviewed.

The government plans to proceed smoothly with projects such as the Incheon Global E-commerce Logistics Center and the Pohang secondary battery materials factory, while additionally discovering new projects worth 15 trillion won.

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