Eun Sung-soo: "Assuming Losses for All New Deal Funds Is Excessive... Tax Input Is an Incentive"

Eun Sung-soo, Chairman of the Financial Services Commission

[Asia Economy Reporter Kim Hyo-jin] Eun Sung-soo, Chairman of the Financial Services Commission, expressed on the 6th that regarding the policy-type New Deal fund supporting the 'Korean New Deal,' "It is an excessive assumption that all funds incur losses and that taxes are injected."

Chairman Eun made this remark during a congratulatory speech at the 'Digital Sector New Deal Investment Briefing' held at the KDB Industrial Bank IR Center in Yeouido, Seoul, stating, "We will strive to ensure that the benefits exceed the total funds invested."

He also explained, "Injecting taxes in the form of subordinated burdens into the fund is not with losses in mind, but rather an incentive to encourage private sector participation, considering the long-term and infrastructure investment nature."

Chairman Eun said, "The policy-type New Deal fund is not created by the government, but is formed through a process where investors take the lead, listen to explanations about projects at investment briefings, and various investment proposals are made."

He added, "The government cannot pre-determine the New Deal fund's projects, scale, or timing," and urged, "Investors should maintain continuous interest and actively participate in the fund formation process by communicating actively with the industry, Growth Finance, and the Industrial Bank."

Chairman Eun further requested, "Asset managers and investors should thoroughly manage risks using professional investment techniques such as diversified investment and market selection functions to operate without losses."

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