Shin Hyunsong: "I Do Not Agree with the 'Pragmatic Hawk' Label... Policy Should Consider Economic and Financial Conditions"

Bank of Korea Governor Nominee Faces Parliamentary Confirmation Hearing

Shin Hyun-song, nominee for Governor of the Bank of Korea, denied the assessment of being a "pragmatic hawk" (someone who prefers monetary tightening) on April 15, stating, "It is not desirable to divide policy stances into hawks and doves." He emphasized that rather than responding to inflation solely by raising interest rates, it is important to use appropriate methods that take into account the overall economic and financial environment.

At the parliamentary confirmation hearing that morning, Shin made this remark in response to a question from Assemblyman Jin Sung-joon of the Democratic Party of Korea, saying, "I do not agree with the assessment of being a pragmatic hawk."

When Assemblyman Jin asked about Shin's previous comment in a media interview—"It is better to overreact with interest rate hikes than to underreact when dealing with inflation"—Shin explained, "At the time of the war in Ukraine in 2022, inflation in major economies was rising to double digits, so I believed it was right to take a preemptive response."

He further emphasized, "It is not appropriate to always respond with the same tools and methods. Policy must be conducted with a comprehensive consideration of economic and financial conditions."

Meanwhile, regarding concerns about prolonged geopolitical risks due to the war in the Middle East, Shin stated, "If these risks are reflected in expected inflation and core inflation, and lead to a general increase in prices, the role of monetary policy becomes necessary."

Shin Hyun-sung, nominee for Governor of the Bank of Korea, is attending the confirmation hearing held at the National Assembly's Planning and Finance Committee on the 15th, responding to questions from the members of the assembly. 2026.4.15 Photo by Hyunmin Kim

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