Yi Whan-woo is a Korea Times journalist primarily covering finance. He writes in-depth articles on macroeconomy and financial markets and previously covered sports, politics, diplomacy and inter-Korean affairs, among others. Feel free to contact him at yistory@koreatimes.co.kr.
Finance minister emphasizes 'sound fiscal policy' for next year's budget
Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho speaks during a meeting between the government and the ruling People Power Party (PPP) concerning next year's budget bill at the National Assembly on Yeouido, Seoul, Wednesday. Yonhap
By Yi Whan-woo
By Yi Whan-woo
The government is on track to make an overall shift to what it calls “sound fiscal policy,” in contrast to the previous administration's expansionary fiscal policy, which it criticizes for significantly increasing the national debt, according to Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho, Wednesday.
“The sound fiscal policy will be the major trait of the first annual budget plan under the Yoon Suk-yeol administration,” Choo said during a meeting between the government and the ruling People Power Party (PPP) concerning next year's budget bill at the National Assembly on Yeouido, Seoul.
“Total spending for 2023 accordingly will be far lower than that of 2022, so that we can improve problems associated with fiscal balance and the national debt,” he said, stressing that “strict management of financial soundness” will be observed during Yoon's term.
Choo noted the government still prioritizes welfare for low-income households and the socially disadvantaged, saying that an expansion of public assistance will be “made possible through belt-tightening restructuring.”
Concerning the key points of the planned budget bill for next year, Choo said there will be expanded support for young people and the socially vulnerable, enhanced investment support to develop core strategic technology in the semiconductor sector and an expanded disaster response system.
The details discussed at the meeting will be reflected in the budget plan, before the bill is submitted to the National Assembly on Sept. 2, according to Choo.
“The government will do its best to seek the understanding and cooperation of the Assembly during the Assembly deliberation process so that the budget bill can be passed before the statutory deadline,” he said.