Response to aging society, competition in advanced industries essential for long-term growth: committee
Pahk Jae-wan, head of the mid-to-long term strategy committee under the Ministry of Economy and Finance, presides over a committee meeting held at the government complex in Seoul, Feb. 19. Yonhap
Korea's long-term growth strategy committee on Wednesday advised the government to devise strategies to respond to the aging society, growing global competition in advanced industries and the global transition into a low-carbon economy as part of efforts to foster sustainable growth of the country's economy.
The strategies were discussed in a meeting of the committee under the Ministry of Economy and Finance, according to officials. It marks the first time the committee has announced a long-term strategy for the economy since 2017.
The committee cited a change in demographics, transition into the digital economy and climate change as major factors to determine the long-term growth of the economy.
To respond to such trends, the committee said the government needs to draw up support plans for the fast aging population, including more jobs for seniors, and push for a raise in the old-age threshold.
It also recommended creating more "practical" and "effective" measures to boost the country's fertility rate, which is one of the lowest in the world.
The measures could include a family allowance, improvements in child care services and various benefits for different types of family, not only married couples, according to the committee.
The long-term strategy should also include securing talent for the advanced industries, where major global economies are in fierce competition, the committee said.
Korea should attract prominent talent from overseas by creating a special visa program and restructuring its immigration system, and promote reshoring of Korean talent currently working in foreign countries, it added.
The committee also said the country should work to create an innovative ecosystem for future industries by facilitating investments in venture companies, strengthening the role of universities in industrial development and helping the digital transformation of small companies.
The committee called for more support for companies' carbon reduction efforts and expansion of carbon emission-related markets, such as carbon credits and climate finance.
The finance ministry said it plans to review the recommendations and devise strategies to foster the country's sustainable growth later this year. (Yonhap)