Anna Jiwon Park has been covering the politics at The Korea Times since the summer of 2024, when she joined the press pool for the Office of the President in Korea. Prior to that, she spent about five years reporting extensively on financial markets, regulatory authorities and the financial industry. She joined The Korea Times in 2019 after spending eight years as a broadcast journalist at Arirang TV, Korea’s leading global broadcaster, covering politics, defense and culture.
President withdraws nomination of budget minister candidate
Lee Hye-hoon attends a confirmation hearing on her nomination to lead the budget ministry at the National Assembly in Seoul, Friday. Korea Times photo by Choi Ju-yeon
By Anna J. Park
Lee Hye-hoon failed to meet public expectations: presidential office
President Lee Jae Myung withdrew the nomination of budget minister candidate Lee Hye-hoon on Sunday amid an outpouring of allegations, including staff mistreatment and an unlawful apartment purchase.
The withdrawal came just 28 days after she had been selected as the inaugural head of the Ministry of Planning and Budget, and only two days after the National Assembly held her confirmation hearing following a series of delays due to bipartisan conflicts.
From the outset, her nomination to join the liberal administration carried both promise and apprehension: She was a veteran economist, yet a former three-term lawmaker from the conservative main opposition People Power Party (PPP). With her withdrawal, Lee’s first effort to recruit a figure across party lines on a pragmatic basis has faltered.
Senior presidential secretary for political affairs Hong Ihk-pyo told reporters that the president said the nominee had failed to meet the public's expectations due to multiple allegations.
“President Lee Jae Myung listened carefully to the diverse opinions from all sectors of society regarding Minister of Planning and Budget nominee Lee Hye-hoon, and closely observed the parliamentary confirmation hearings and the public’s evaluation afterward,” Hong said in a briefing.
“Although the nominee served three terms as a National Assembly lawmaker for a conservative party, regrettably she did not meet the standards of the public as the budget minister of the Lee government.”
Hong Ihk-pyo, senior presidential secretary for political affairs, speaks during a press briefing at Cheong Wa Dae in central Seoul, Sunday. Yonhap
Hong emphasized that, despite Lee Hye-hoon’s case, the president’s core goal of promoting national unity through cross-party appointments will continue.
“President Lee’s commitment to unity — his determination to broadly appoint capable individuals with expertise from all sectors of society, rather than relying solely on people from a particular political camp — remains unchanged,” Hong said.
As a result, the top post at the budget ministry, vacant since its launch on Jan. 2, is likely to remain empty for the time being. The administration must now identify a candidate who can withstand the rigorous scrutiny of confirmation hearings.
Both the ruling and opposition parties said the withdrawal was the right decision.
“We humbly accept the withdrawal of the nomination. The party will strive for a great leap forward for Korea based on national unity," Park Hae-cheol, spokesperson for the ruling Democratic Party of Korea, said in a press briefing.
The PPP, which had called the nominee — its former member — a "betrayer" for accepting the ministerial post offer from the liberal government, said the withdrawal is “an entirely natural and common-sense result,” adding that none of the suspicions raised so far have been resolved.
“It was an apparent failure in personnel vetting,” PPP floor leader Rep. Song Eon-seog said. “I hope the president will apologize to the public and reform the vetting system.”
President Lee Jae Myung speaks during a town hall meeting at the Ulsan Exhibition and Convention Center in Ulsan, Friday. Yonhap
On Dec. 28, 2025, the president announced the nomination of Lee Hye-hoon as part of an effort to promote bipartisan unity and pragmatic, merit-based appointments.
However, immediately after her nomination, she faced accusations of mistreating her aides during her time as a lawmaker, with recordings of her abusive remarks being disclosed.
Soon, additional allegations surfaced: Her family improperly gained an advantage in points-based housing applications for an upscale apartment in southern Seoul in 2024 by listing her married eldest son as a dependent, violating the subscription system; and her eldest son’s admission to Yonsei University under a controversial “social contributions” track drew allegations of preferential treatment, as Lee Hye-hoon's spouse was a senior administrator at the school.
The nominee presented her explanations at the confirmation hearing, but failed to win public confidence.
Since the launch of the Lee Jae Myung administration last June, this is the second ministerial nomination the president has withdrawn, following the withdrawal of Lee Jin-sook's nomination to lead the education ministry in July.
Lee Jin-sook was embroiled in controversy over allegations of academic plagiarism and issues surrounding her two daughters’ early overseas education.