[2020 National Audit] Lee Ju-yeol "Need to Review Whether Monetary Policy Committee Member Recommendation System Is Necessary"

October 16 National Assembly Planning and Finance Committee 'Bank of Korea Audit'

[Image source=Yonhap News]

[Asia Economy Reporter Jang Sehee] Lee Ju-yeol, Governor of the Bank of Korea, expressed the view that it is necessary to consider whether a recommendation system for Monetary Policy Committee (MPC) members is needed.

On the 16th, during the National Assembly's Planning and Finance Committee audit, in response to a question from Kim Ju-young, a member of the Democratic Party of Korea, asking his opinion on including members representing workers and ordinary citizens in the MPC, Governor Lee replied, "I am cautious about including representatives of specific groups," adding, "The current MPC members are experts on the overall economy, including the labor market."

This statement is interpreted to mean that even though the current MPC members are not labor representatives, they have a high level of understanding of the overall situation.

Governor Lee stated that rather than including representatives of specific sectors in the MPC, it is necessary to review the current recommendation system. He added, "It would be better to first examine whether a recommendation system for MPC members is actually needed."

Meanwhile, the Bank of Korea's MPC consists of seven members. Excluding the ex officio Governor and Deputy Governor, the remaining five members are appointed by the President upon recommendation from five institutions: the Minister of Economy and Finance, the Governor of the Bank of Korea, the Chairperson of the Financial Services Commission, the President of the Korea Chamber of Commerce and Industry, and the Chairman of the Korea Federation of Banks.

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