Is the Korean Economy on the Brink of Collapse?…Choo Kyung-ho's Point-by-Point Rebuttal

Lee Jae-myung, Party Leader: "South Korea's Economy Seriously Ill"
Choo Kyung-ho: "Yoon Government Created 620,000 Jobs... Too Many"

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho on the 14th systematically refuted the 'economic crisis theory' advocated by opposition figures including Lee Jae-myung, leader of the Democratic Party of Korea, by citing various economic indicators. Leader Lee also reiterated his demand for a supplementary budget, claiming that the Korean economy is "on the verge of sinking" based on forecasts from international economic organizations.

Deputy Prime Minister Choo Kyung-ho delivered a presentation on "Recent Economic Situation and Response Directions" at the People Power Party study group 'People's Sympathy' held at the National Assembly Members' Office Building in the morning. He argued that compared to the late Moon Jae-in administration, consumer prices, employment rates, unemployment rates, exchange rates, and stock prices have stabilized under the current government.

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho is giving a lecture on "Recent Economic Situation and Response Measures" at the People's Power Party's Public Sympathy Study Meeting held at the National Assembly Members' Office Building on the 14th. Photo by Kim Hyun-min kimhyun81@

Deputy Prime Minister Choo said, "(Consumer prices) recorded the lowest level in 20 months at 3.2% in May," adding, "Ruling party members need not be intimidated about inflation." He also stated, "Currently, the unemployment rate is at an all-time low, and employment is at an all-time high. Usually, previous administrations created 200,000 to 300,000 jobs if they performed well, but the Yoon administration has increased jobs by an average of 620,000 annually since its inception. Personally, I think it's almost too many."

He continued, "When the Yoon administration started, the dollar exchange rate was 1,274 won, and yesterday (the 13th) it was 1,271 won. During that period, U.S. interest rates rose more than tenfold, but the exchange rate was actually controlled better," adding, "The stock market is also better than when the previous administration handed it over to us. The market is very stable."

He also rebutted the opposition's criticism during the previous day's government questioning session, where they labeled the Yoon administration's economic performance as an 'F grade.' Deputy Prime Minister Choo said, "Whenever they speak, they say the economy is collapsing and give it an F grade, but I hope they look at the indicators before speaking," emphasizing, "At least when discussing the economy, it should be done objectively. Constructive discussions and alternatives arise when we talk about what needs to be improved and what is lacking in this situation."

Regarding the supplementary budget proposed by the opposition, he firmly stated, "I have said several times that there is no intention to have a supplementary budget." Although there is a 34 trillion won tax revenue shortfall this year, he said it will be resolved with existing resources.

He expressed confidence in economic recovery, saying, "Fortunately, semiconductor specialized institutions and companies forecast that the semiconductor market, which has struggled in recent years, will start to recover after the third quarter," and "The general assessment is that it will definitely improve next year."

On the other hand, the opposition continued to emphasize the economic crisis and urged the formation of a supplementary budget.

Lee Jae-myung, leader of the Democratic Party of Korea, said at the Supreme Council meeting held at the National Assembly that day, "While the global economy is recovering, the Korean economy is seriously ill," pointing out, "The Organization for Economic Cooperation and Development (OECD) publicly expressed concern that while the global economy is improving, the Korean economy is slowing down. Our economy is on the verge of sinking." He added, "It is common sense for the government to take the lead as a (economic crisis) firefighter," and "Bold fiscal spending is needed to alleviate the suffering of people's livelihoods and lay the stepping stones for recovery," urging once again the formation of a supplementary budget.

Lee Jae-myung, leader of the Democratic Party of Korea, is speaking at the Supreme Council meeting held at the National Assembly on the 14th. Photo by Kim Hyun-min kimhyun81@

Park Kwang-on, the floor leader, also said at the meeting, "The business sentiment outlook of companies has been negative for 15 consecutive months, and the corporate business survey index for the second quarter is the lowest since the IMF crisis," emphasizing, "The cost of living, which is a condition of people's lives, has surged sharply; instant noodle prices have skyrocketed the most, and milk prices recorded the largest increase since August 2014. Especially, energy prices are threatening the livelihoods of self-employed people." Floor leader Park said, "The government's blunt statement yesterday during the government questioning session that there will be no supplementary budget is equivalent to confessing that there is no countermeasure," and "By neglecting the suffering of the lower, middle, and vulnerable classes, the government has effectively abandoned its role, so a supplementary budget to minimize the shock of the economic crisis is absolutely necessary."

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