Choi Sang-mok Deputy Prime Minister Nominee: "I Will Create a Dynamic Korean Economy"

The Core of the 2nd Economic Team is 'Dynamic Economy'
Accelerating Structural Reform and Deregulation
From Science and Technology Catch-up to Leading Type
Korean Economy Still in 'Kkotsaem Chuwi'
Stable Perceived Inflation is Key to Livelihood Warmth

Choi Sang-mok, the nominee for Deputy Prime Minister for Economic Affairs and Minister of Strategy and Finance who will lead the second economic team of the Yoon Suk-yeol administration, emphasized that “we must dramatically increase the dynamism of our economy.” This is interpreted as a determination to continue reforms centered on the private sector and the market, but at a faster pace.

The core of the second economic team is a 'dynamic economy'... accelerating structural reforms

Choe Sang-mok, the nominee for Deputy Prime Minister and Minister of Economy and Finance, is answering questions from reporters at a press briefing held at the Seoul Credit Guarantee Foundation in Jung-gu, Seoul, on the 5th. Photo by Kang Jin-hyung aymsdream@

On the 5th, the day after being nominated as Deputy Prime Minister for Economic Affairs, Choi held a meeting with reporters covering the Ministry of Strategy and Finance at the Seoul Jung-gu Community Finance Promotion Agency and named ‘dynamic economy’ as the most important keyword for the Yoon Suk-yeol administration. He said, “For a free market economy to create added value, constant innovation must occur,” adding, “Fair innovation activities centered on the private sector and the market enable quality jobs.”

He clearly stated that the speed of structural reforms and regulatory dismantling must be increased to realize a dynamic economy. Choi said, “The economy must have dynamism to circulate,” and added, “For innovation to occur, market-centered innovation activities, which our government considers most important, must take place. To do so, deregulation, fostering of science and technology and advanced industries, which can be considered fundamental, and structural reforms in education and labor must be implemented.”

He further mentioned, “There must be freedom of movement between generations and social classes,” emphasizing that “this itself guarantees dynamism.” This means that not only the birth and growth cycles of companies but also the social and class mobility of individuals must be free for the dynamism of the Korean economy to increase.

Regarding criticism that the pace of structural reforms has been slow since the launch of the Yoon administration, Choi said, “I think the pace will pick up once conditions are met.” He evaluated, “Changing dynamism requires changing laws in the National Assembly, so it takes time in any government,” but added, “I think the Yoon administration has set the direction for structural reforms well.”

From follower to leader in science and technology... structural reforms heading in the right direction

Choi Sang-mok, the candidate for Deputy Prime Minister and Minister of Economy and Finance, is delivering opening remarks at a press briefing held at the Seoul Credit Guarantee Foundation in Jung-gu, Seoul, on the 5th. Photo by Kang Jin-hyung aymsdream@

Choi also shared his thoughts on the ‘challenging research and development (R&D)’ recently mentioned by President Yoon. He questioned, “Is Korea’s science and technology at a world-class level?” and self-assessed, “It has been an effort in science and technology aimed at catching up and industrial development.” He then said, “Now it must shift to a leading type. It must move toward qualitative growth.”

He elaborated that policies must change significantly to achieve this. He said, “R&D receives 37 to 38 trillion won in fiscal support, which is about the second highest in the world relative to GDP,” and pointed out, “It is time to reflect on this. Questions arise about what the government’s role in R&D support should be.” Choi believes that rather than quantitatively expanding the science and technology budget, support should focus on research difficult for the private sector to conduct, basic and core technologies, and participation in global joint research.

Regarding the controversy over budget cuts, he said, “There were many small-scale distributed R&D budgets, and there was criticism that researchers’ employment might become unstable,” adding, “We decided to supplement this during the budget formulation process, and I think structural reforms will proceed in a good direction.” He also said, “We will carry out various reforms, including reducing preemptive regulations on preliminary feasibility studies, reflecting the aspirations of the science and technology community.”

Korean economy still in 'early spring cold snap'... price stability needed for livelihood warmth

Choe Sang-mok, the candidate for Deputy Prime Minister and Minister of Economy and Finance, is attending a press briefing held at the Seoul Credit Guarantee Foundation in Jung-gu, Seoul on the 5th. Photo by Kang Jin-hyung aymsdream@

He described the current state of the Korean economy as an ‘early spring cold snap.’ Although the harsh winter of high interest rates and high prices has passed, the economy has not yet fully recovered to the point where it can be called spring. Choi said, “I personally judge that it is an early spring cold snap situation where warmth has not yet spread due to differences in recovery speed between sectors,” but added, “We must focus on stabilizing prices, economic recovery, and livelihood stability to overcome the early spring cold snap.”

He pointed to prices as the key economic sector for livelihood stability. Choi said, “The price stability currently being discussed is the real felt price,” emphasizing, “It is important in terms of warmth for people’s livelihoods.” When asked about price policy, he said, “The fundamental cause of this crisis is a supply chain crisis,” and added, “It is very important that we generally lower inflation expectations. We have no choice but to pursue structural efforts together during this opportunity.”

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