Park Hongkeun and Shin Hyunsong Hold First Meeting: "Strengthening Fiscal and Monetary Cooperation"

First-Ever Meeting Between Minister and Bank of Korea Governor

Park Hongkeun, Minister of Planning and Budget and the nation's top budget official, and Shin Hyunsong, Governor of the Bank of Korea and the nation's top monetary authority, agreed on May 14 to work together for the harmonious implementation of fiscal and monetary policies and structural reforms as the Korean economy undergoes structural changes.

On the morning of May 14, Minister Park visited the Bank of Korea in Jung-gu, Seoul, and held a meeting with Governor Shin. This is the first meeting between the minister in charge of the budget and the governor of the Bank of Korea, including during the former Ministry of Planning and Budget era from 1999 to 2008.

In his opening remarks, Minister Park stated, "This is a crucial time for cooperation between the Ministry of Planning and Budget, which designs national future strategies, and the Bank of Korea, which leads macroeconomic stability. Let us actively work together to enhance future growth potential and resolve structural issues while harmoniously managing fiscal and monetary policies."

Governor Shin responded, "The complex challenges and structural issues facing our economy cannot be solved by the efforts of a single institution. It is important for us to communicate and collaborate. While the Bank of Korea will continue to operate policies for price stability and financial stability, we will also persist in conducting research and making recommendations to enhance growth potential."

During this meeting, Minister Park and Governor Shin exchanged views on their perceptions of the recent economic situation, discussed policy response measures, and talked about ways to overcome structural challenges.

They reached a consensus that, as uncertainties are intensifying due to the situation in the Middle East, leading to sustained high oil prices and increasing inflationary pressure, and as difficulties in vulnerable sectors are mounting, policy efforts should be focused on stabilizing prices and supporting vulnerable groups to protect people's livelihoods.

Minister Park introduced the government's plan to establish a mid- to long-term national development strategy to address the five major structural challenges—AI transformation, demographic changes, climate crisis, polarization, and regional extinction—and expressed hope for close cooperation with the Bank of Korea.

Governor Shin also said, "Structural issues are important factors influencing the long-term conditions for monetary policy, so we will seek ways to actively contribute based on the Bank of Korea's research capabilities."

With this meeting as a starting point, both institutions agreed to regularly share their perceptions of the economic situation and key issues and to continue mutual cooperation.

Before the meeting began, Minister Park presented Governor Shin with a pine tree bonsai and said, "Just as the pine tree's roots and trunk cannot touch but still need each other—reflected in the characters for 'pine' (Song, 松) and 'root' (Geun, 根) in our names—let us continue our unchanging relationship of cooperation between our two institutions."

Hongkeun Park, Minister of Strategy and Finance, and Hyunsoong Shin, Governor of the Bank of Korea, shake hands before their meeting on May 14 at the Bank of Korea in Jung-gu, Seoul. 2026.5.14 Photo by Jinhyung Kang

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