Choo Mi-ae: "If the Greenbelt is Released, It Will Become a Speculation Zone... Need to Consider Separating Financial and Real Estate Policies"

Minister of Justice Advises on Real Estate Policy
"If Greenbelt is Released, Seoul Will Become a Speculation Zone"
Calls for Separation of Finance and Real Estate Sectors

[Asia Economy Reporter Minji Lee] Choo Mi-ae, Minister of Justice, has weighed in on the Moon Jae-in administration's real estate policy, arguing that the Greenbelt should not be lifted.

On the 18th, Minister Choo wrote on Facebook, "The fundamental cause of (Seoul's housing prices not stabilizing) lies in the fact that finance and real estate are intertwined as one."

Minister of Justice Choo Mi-ae is listening to Prime Minister Chung Sye-kyun's opening remarks at the Cabinet meeting held via video conference between the Seoul Government Complex in Jongno-gu, Seoul, and the Sejong Government Complex on the 14th. Photo by Hyunmin Kim kimhyun81@

She analyzed that since the Park Chung-hee era of developmental dictatorship, the development of land along the Han River in Seoul and in Gangnam involved collusion between corrupt powers and conglomerates engaging in land speculation, bringing in financial institutions and creating a distorted system.

Minister Choo continued, "As a result, if real estate prices collapse, it causes financial insolvency, and when corporate and household debts materialize, the economy collapses," adding, "This creates a real estate shackled economy where no effective policies can be implemented."

She asserted, "The Korean economy is one where finance dominates real estate," and "Even people without money feel anxious unless they borrow to chase real estate."

Regarding the lifting of the Greenbelt, she expressed a negative view. Currently, the Democratic Party of Korea, the government, and the Blue House are moving in unison to lift the Greenbelt in Seoul and the metropolitan area. She wrote, "If money concentrates on the limited resource of land, the nation's vision and competitiveness will be lost," and "The Greenbelt must not be lifted to turn Seoul and the metropolitan area into a speculative arena attracting money from across the country."

On these issues, Minister Choo advocated for a 21st-century policy of separating finance. She said, "Just as the 20th-century separation of industry and finance was devised to prevent financial dominance over industry, I propose a 21st-century 'separation of finance' policy to prevent financial domination over real estate."

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