[2025 National Audit] Lee Chang-yong: "Real Estate Market Overheating Must Be Curbed Through Comprehensive Policy"

"The Bank of Korea will not fuel the real estate market"
Policies needed to reduce Seoul influx, address regional education gaps

Lee Chang-yong, Governor of the Bank of Korea, emphasized that overheating in the real estate market must be addressed through a comprehensive policy approach.

Lee Chang-yong, Governor of the Bank of Korea, is responding to a lawmaker's question during the National Assembly's Planning and Finance Committee's audit of the Bank of Korea held at the Bank of Korea in Jung-gu, Seoul on the 20th. Photo by Yonhap News

On October 20, during the National Assembly's Planning and Finance Committee audit of the Bank of Korea, Governor Lee responded to questions from lawmakers, including Park Dae-chul of the People Power Party, regarding the real estate market. Governor Lee stated, "The real estate issue has become too complex to be solved by a single policy," and added, "While the recent (October 15) measures will need some time before their effects can be seen, if there is no change in the current overall direction, the impact on our society-such as the ratio of real estate prices to income, concentration in the Seoul metropolitan area, and household debt-will be significant."

He also said that from the Bank of Korea's standpoint, it would not fuel the real estate market by increasing liquidity. Governor Lee added, "Whenever there is a policy change, supplementary measures are needed for those who may be adversely affected."

Governor Lee agreed with Democratic Party lawmaker Park Hong-geun's point about the regional education gap affecting housing prices, stating, "No matter how many houses are built in Seoul, if the influx of people into Seoul continues, supply will never catch up. While we need to increase supply, policy efforts must also be made to reduce the population influx into Seoul. Only then can we stabilize real estate prices."

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