With "Aftermath of Moon Administration's Debt Party... Fiscal Rules Must Be Legislated"

The People Power Party pointed out that the national debt increased significantly during the Moon Jae-in administration and argued for the necessity of legislating a 'fiscal rule' to manage the national debt ratio within an appropriate level.

Handonghun, the leader of the People Power Party, is speaking at an emergency policy meeting held at the National Assembly on the 21st for the introduction of fiscal rules. Photo by Kim Hyunmin

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On the 21st, Choo Kyung-ho, the floor leader of the People Power Party, said at the "Emergency Policy Meeting for the Introduction of Fiscal Rules," "I believe we are bearing the aftereffects of a debt spree during the five years of the Moon Jae-in administration," adding, "This time, I hope there will be significant progress in legislating fiscal rules for the future generations and the country, with cooperation between the ruling and opposition parties." He continued, "Many members of the People Power Party have legislated fiscal rules, but they were repeatedly thwarted by the Democratic Party," emphasizing, "It's not about not spending money. It's about spending properly, recognizing that taxpayers' money is precious, and using it appropriately."

Song Eon-seok, chairman of the National Assembly's Planning and Finance Committee and a member of the People Power Party, said, "Since the founding of the nation 70 years ago, the national debt has accumulated to 600 trillion won, but it increased by 400 trillion won during the five years of the Moon Jae-in administration," adding, "They make excuses blaming COVID-19, but after calculation, only 100 trillion won was due to COVID-19, and the remaining 300 trillion won increased due to other issues." He continued, "According to international organizations overseas, if our fiscal soundness collapses, the country's credit rating will collapse," adding, "It's not always best to save the budget unconditionally, but I hope the overall soundness policy is not compromised."

Choi Sang-mok, Deputy Prime Minister and Minister of Economy and Finance, explained, "Since the current government took office, it has been making efforts to manage the national debt ratio at around 50% of the Gross Domestic Product (GDP) while providing maximum support for necessary areas such as welfare for the vulnerable and the livelihood economy," adding, "To support such government efforts and secure fiscal sustainability, institutional reform through the legislation of fiscal rules is urgent."

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