President Moon: "We must establish household debt management measures in preparation for the possibility of rising market interest rates"

[Image source=Yonhap News]

[Asia Economy Reporter Lee Ji-eun] On the afternoon of the 28th, President Moon Jae-in discussed the 'Second Half Economic Policy Direction' at the Expanded Economic Ministers' Meeting and urged the preparation of household debt management measures in anticipation of a possible rise in market interest rates.

President Moon held the Expanded Economic Ministers' Meeting in the Sejong Room on the first floor of the Blue House main building that afternoon and stated, "We must establish measures to stably manage household debt in preparation for the possibility of rising market interest rates in the future."

He emphasized the importance of managing household debt as the Bank of Korea suggested the possibility of raising interest rates within the year due to the recovery of the real economy. President Moon also instructed, "We must ease the burden on ordinary citizens through proactive efforts to stabilize prices, and especially around Chuseok, please closely monitor to prevent a sharp rise in living costs from now on."

The meeting proceeded with President Moon's opening remarks, followed by Deputy Prime Minister for Economy Hong Nam-ki's report on the economic policy direction for the second half of the year, and discussions among attendees. In his opening remarks, President Moon emphasized the swift implementation of the second supplementary budget (추경), and in his closing remarks, he urged, "Once the supplementary budget bill is submitted to the National Assembly, please cooperate well between the ruling party and the government to ensure it is reviewed as quickly as possible," and added, "The government should prepare well so that it can be executed immediately once passed by the National Assembly."

President Moon praised the economic team's efforts during the crisis in the first half of this year, saying, "Our economy has set a good direction with the promotion of the Korean New Deal, fostering three major new growth industries, the 2050 carbon neutrality declaration, and the reconstruction of shipbuilding and shipping," and added, "Enhancing social inclusiveness has been a great strength in overcoming COVID-19."

Yoon Ho-jung, the floor leader of the Democratic Party who attended the meeting, emphasized "the need to steadfastly pursue expansionary fiscal policy and innovative inclusive strategies," and said, "I hope the economic policy for the second half of the year will be in the direction of 'reading the shadows of those unknown and solving them.'"

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