Hong Nam-ki "Green New Deal Requires Clear Goals and Means... Will Invest 3.8% of GDP by 2025"

Special Session Held Ahead of P4G Seoul Summit
Opening Speech Emphasizes Private Sector Participation and Fairness

Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, is delivering a welcome address at the P4G Green New Deal Special Session held on May 25 at Dongdaemun Design Plaza (DDP) in Seoul.

[Sejong=Asia Economy Reporter Kim Hyunjung] Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, stated on the 25th that clear goal setting and means are necessary for carbon neutrality, and to this end, he announced plans to invest 73.4 trillion won, equivalent to 3.8% of the domestic gross domestic product (GDP) by 2025, in related projects. He particularly emphasized private sector participation and fairness in the process of implementing the Green New Deal.

Deputy Prime Minister Hong made these remarks in his opening address at the ‘Green New Deal Special Session for Green Growth and Global Goal 2030 Solidarity (P4G)’ held via video conference that evening. The special session, co-hosted by the Ministry of Economy and Finance and the Green Climate Fund (GCF), involved domestic and international experts and relevant ministries ahead of the first-ever 4PG Seoul Summit to be held in Korea on the 30th and 31st.

He introduced, "Korea is a manufacturing and export-oriented country with a high proportion of high-carbon industries, but under the clear goal of achieving carbon neutrality by 2050, scenario work such as raising the 2030 Nationally Determined Contribution (NDC) is underway." He added, "We will integrate information technology (IT) into smart and eco-friendly manufacturing," and explained, "By 2025, we will invest 73.4 trillion won, which is 3.8% of GDP, in Green New Deal projects such as green infrastructure, renewable energy, and green mobility."

Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance (right), attended the P4G Green New Deal special session held on the 25th at Dongdaemun Design Plaza (DDP) in Seoul, and took a commemorative photo with Ban Ki-moon, Chairperson of the Global Green Growth Institute (GGGI) (left), before their meeting ahead of the event.

He also emphasized the necessity of private sector participation and fairness for the success of the Green New Deal. He said, "P4G is an international consultative body with a convergent nature involving both public and private sectors," and added, "Domestically, we are creating a Korean New Deal Fund worth about 4 trillion won starting this year to encourage private participation. We also plan to establish a climate response fund next year to support companies’ greenhouse gas reduction and carbon-neutral future technology development." He continued, "Fairness must be considered to prevent the emergence of marginalized groups and regions," and stated, "Korea supports the transition of industries shrinking during the carbon neutrality process to alternative and promising sectors and is also strengthening reemployment support."

On the same day, Deputy Prime Minister Hong discussed support measures for developing countries in response to climate change and support plans for related companies’ overseas expansion with Ban Ki-moon, Chair of the Global Green Growth Institute (GGGI) General Assembly, and Yannick Glemarec, Secretary-General of the GCF. In particular, they agreed to expand overseas Green New Deal projects involving Korean institutions, which currently total about $2.3 billion across eight projects under the GCF, and to increase the number of Korea’s GCF accreditation institutions (currently one, the Korea Development Bank).

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