by Park Eugenie
by Park Jaehyun
Published 13 Feb.2024 11:31(KST)
Updated 13 Feb.2024 15:12(KST)
Hwang Geon-il, the newly appointed member of the Monetary Policy Committee (MPC), identified household debt as the most significant domestic factor and global economic bloc formation as the key external factor affecting our economy.
On the 13th, upon his inauguration, Hwang met with reporters at the Bank of Korea headquarters in Jung-gu, Seoul, stating, "Unlike in the past, I believe economic fragmentation is the biggest cause of uncertainty in external conditions," and added, "From an overseas perspective, the domestic household debt issue is important."
He was reserved about the impact of the interest rate differential between Korea and the U.S. on the exchange rate. He explained, "The exchange rate is influenced by many variables," and continued, "Fundamentally, interest rates are taught to be the biggest variable, but in reality, various other factors often act in combination."
Regarding the recent problems arising in real estate project financing (PF), he acknowledged, "It is true that difficulties are centered around the secondary financial sector," but added, "Since institutions including the Financial Supervisory Service and the Bank of Korea are responding diversely through various fund formations, I believe the situation will gradually improve."
He also mentioned strengthening communication. Hwang said, "I think I am here because I hope for diversity in the MPC," and stated, "I will do my best to communicate as much as possible going forward."
Recommended by Financial Services Commission Chairman Kim Ju-hyun, Hwang graduated from Busan Daedong High School and Yonsei University with a degree in economics, and entered public service through the 31st Administrative Examination. He is an 'international finance expert' who has served as head of the Foreign Exchange System Innovation Team at the Ministry of Strategy and Finance, economist at the European Bank for Reconstruction and Development (EBRD), minister-counselor at the Korean Embassy in the U.S., director of the International Finance Bureau at the Ministry of Strategy and Finance, and international economic management officer.
He will succeed former member Park Chun-seop, whose term runs until April 20, 2027, and will participate in the Bank of Korea MPC meeting on the 22nd to decide the base interest rate.
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