The ruling Democratic Party of Korea and the government pledged on January 7 to maintain a proactive fiscal policy this year to prop up private consumption and revive the economy. Finance Minister Koo Yun-cheol said the focus will be on supporting people's livelihoods and the self-employed through measures to boost total demand.
On January 7, the government and the ruling Democratic Party of Korea (DPK) held a meeting at the National Assembly in Seoul to discuss this year's economic policies. Finance Minister Koo Yun-cheol emphasized, "We will support people's livelihoods and the self-employed through a proactive fiscal policy, including boosting total demand."
Koo stated that the government will foster the semiconductor, defense, and biotechnology industries while accelerating the transition to an ultra-innovative economy driven by AI transformation and green initiatives. He added that the government will spare no effort to overcome challenges such as rising protectionism, disruptions in global supply chains, and the weakening of traditional industries.
This pledge comes amid efforts to recover from the political turmoil of late 2024 and address sluggish private consumption. The measures aim to stimulate domestic demand and inject vitality into the economy.
