Mayor pledges to make Seoul into haven for businesses

The Korea Times

The Korea Times

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Sat, September 23, 2023 | 22:50

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Mayor pledges to make Seoul into haven for businesses

Posted : 2022-06-21 16:33

Updated : 2022-06-21 17:01

Seoul Mayor Oh Se-hoon speaks during Korea Times Forum hosted by The Korea Times at Korea Chamber of Commerce and Industry in Seoul, Tuesday. Korea Times photo by Shim Hyun-chul

By Ko Dong-hwan

Seoul Mayor Oh Se-hoon has once again clarified his vision that the city will be a haven for companies and a nurturer of the workforce they need.

Participating in Korea Times Forum hosted by The Korea Times on Tuesday, Oh told dignitaries of the event he will woo foreign companies through Invest Seoul, a Seoul Metropolitan Government division established in February this year to attract foreign firms and capital. By expanding the city's business infrastructure, such as opening a "second fintech lab" and "digital financial support center," Seoul will become a global paragon of digital finance, according to the mayor.

"More than anything, financial competitiveness should be a prerogative (for any city) to jointly develop high-end scientific technologies and economy," he said at Korea Chamber of Commerce and Industry in Seoul.

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"Old regulations" have also been holding back the city from competing with other international cities like Tokyo and Singapore, the mayor explained, calling the obstacles "untimely" and comparing them to those in Hong Kong, where China's firm grip on the city under the stated purpose of "national security" is squeezing out global financial institutes. Oh promised to untangle the regulations together with the Yoon Suk-yeol administration.

By connecting together "K-" brands, from globally acclaimed K-culture to K-beauty and K-fashion, Oh also envisioned Seoul as the hub of the global beauty industry empowered by the city's ramped-up tourism industry and job growth.

Mayor Oh, left, and The Korea Times Chairman Seung Myung-ho share a conversation at VIP Room inside Korea Chamber of Commerce and Industry in Seoul, Tuesday. Korea Times photo by Shim Hyun-chul

"For the past year throughout the COVID-19 pandemic, the city has been supporting promising firms in the fields of artificial intelligence, fintech, bio and big data," Oh said during the forum held in partnership with McKinsey & Compoany. "As a result, our city has received a very encouraging report card. For the first time, it has entered the world's top 10 ranking for best startup ecosystem, coming in at 10th."

He cited the Global Startup Ecosystem Report by U.S. private think-tank agency Startup Genome, which ranked Seoul in 10th place this year and 16th last year. It also claimed the city's "ecosystem value" jumped from 54 trillion won ($41.9 billion) in 2021 to 223 trillion won this year.

"With our city's improved ecosystem for startups, we will support one-person companies to grow into small businesses, small businesses into medium-sized firms, medium-sized firms to large companies, and ultimately unicorn companies," the mayor said. He asked companies to introduce more job opportunities, and pledged the city will in turn nurture the required workforce.

Oh's vision was a counterpunch to the critical evaluation of the country's current economic predicament, which he called a "total crisis in complexity." The city still has chronic hurdles to overcome, such as overseas inflation triggers that have hiked consumer prices, exchange rates and interest rates in the country, as well as more structural problems of the national economy that have led to low growth and economic polarization.

"For the past decade, Seoul's global competitiveness has been declining due to strategic defaults and overly restrictive regulations," Oh said. "So, last year the city introduced Seoul Vision 2030 to reassess the city's future priorities that will ultimately hoist it to the ranks of the global top 5."

Global top IT infrastructure, creative human resources and cultural finesse shaping globally popular entertainment content are among the city's outstanding strengths, according to Oh. "We have the potential to become a global economic hub attracting global talent, companies and investment," the mayor said.

aoshima11@koreatimes.co.kr