What did Finance Minister Lee Hyoung-il promise businesses about Korea’s business environment?

Lee Hyoung-il said the government would listen to businesses, coordinate with relevant ministries and promptly address hurdles identified through company recommendations. He also pledged to revitalize the business environment by lifting unnecessary regulations.

Why does Lee Hyoung-il say Korea’s growth potential is under pressure?

Lee identified a shrinking working-age population and stagnant productivity as structural challenges weakening Korea’s growth potential. He also cited persistent disparities and growing pressure on people’s livelihoods from rising consumer prices.

How will Korea’s three-megaprojects initiative support investment?

The initiative centers on developing the artificial intelligence industry and is intended to encourage forward-looking investment. The government also plans to support innovation and improve the business environment by removing unnecessary regulations.

Finance minister pledges to create favorable biz environment amid challenges

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Summary

Finance Minister Lee Hyoung-il said Wednesday that Korea will create a favorable business environment to support growth while addressing structural challenges. He said the economy has gained momentum from the global semiconductor upcycle, but a shrinking working-age population, stagnant productivity and rising consumer prices continue to weigh on growth potential. Lee pledged to coordinate with ministries on business recommendations, while the government’s three-megaprojects initiative centered on artificial intelligence will promote investment and deregulation.

Key Facts

Lee Hyoung-il met representatives of Korea’s six major business lobbies, including SK Group Chairman Chey Tae-won, who heads the Korea Chamber of Commerce and Industry.
The finance minister said the government would work with businesses to address regulatory hurdles and deliver tangible policy results.
The three-megaprojects initiative centers on developing Korea’s artificial intelligence industry and encouraging forward-looking investment.
Business lobby representatives asked the government to align permits and infrastructure support with companies’ investment schedules.

By Yonhap

Published Oct 7, 2026 10:09 am KST

Finance Minister Lee Hyoung-il speaks during a government audit held at the National Assembly, Tuesday. Yonhap

Korea will work to create a favorable business environment to support economic growth while addressing structural challenges, such as stagnant productivity, the finance minister said Wednesday.

Finance Minister Lee Hyoung-il made the remarks during a meeting with representatives of Korea's six major business lobbies, including SK Group Chairman Chey Tae-won, who heads the Korea Chamber of Commerce and Industry (KCCI).

"Recently, the Korean economy has gained growth momentum despite a challenging economic environment, driven by the global semiconductor upcycle," Lee said in his opening remarks.

"However, structural challenges, such as a shrinking working-age population and stagnant productivity, have weakened growth potential, while disparities across various areas persist amid growing pressures on people's livelihoods, including rising consumer prices," Lee added.

Lee said the government will listen closely to businesses and work with the private sector to deliver tangible results with its policies.

"If businesses continue to identify the hurdles they face and make recommendations to the government, we will coordinate with relevant ministries to promptly address them," the finance minister said.

Lee said the government's three-megaprojects initiative, which centers on developing the artificial intelligence (AI) industry, will encourage forward-looking investment.

He added the government will spur innovation and revitalize the country's business environment by lifting unnecessary regulations.

During the meeting, representatives of the business lobbies asked the government to ensure necessary support, including permits and infrastructure, is provided in line with companies' investment schedules.

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