South Korea’s Finance Minister nominee vows to tackle inflation, bolster economic recovery

Seoul, Sep 15 (IANS) South Korea’s Finance Minister nominee Lee Hyoung-il on Tuesday vowed to tackle inflation and bolster economic recovery once he takes office.

Lee made the remarks during his confirmation hearing at the National Assembly in Seoul, saying Asia’s No. 4 economy currently stands at a critical juncture amid the artificial intelligence (AI) boom.

“Growing demand for AI services has led to a semiconductor boom, while major economic indicators, including exports and investment, have been improving, providing clearer signs of an economic recovery,” Lee told lawmakers.

The nominee said that while the country is on course to achieve per capita gross national income (GNI) of over US$40,000 this year, it must address potential risks stemming from uncertainties in the global trade environment.

“We need to build the capacity to remain resilient against uncertainties in the global trade order, as well as geopolitical threats such as the war in the Middle East,” Lee said.

Lee said that once he takes office, he will prioritise efforts to ensure the economic recovery translates into better livelihoods, noting that stabilising consumer prices is the first step toward addressing economic disparities, reports Yonhap news agency.

“I will ease the burden of grocery costs and seek to stabilise the prices of agricultural, livestock and fishery products, as well as fuel,” he said.

Lee also vowed to maintain macroeconomic stability amid potential volatility in the semiconductor industry cycle and global interest rates.

The finance ministry will additionally seek the country’s inclusion in the developed-market category of Morgan Stanley Capital International’s (MSCI) indexes and continue efforts to promote the internationalisation of the Korean won.

The internationalisation of the won aims to enable the currency to be freely held, traded and borrowed outside South Korea.

–IANS

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