Rival parties agree to confirmation hearing for budget minister nominee Lee Hye-hoon

South Korea's ruling Democratic Party and opposition People Power Party agreed Thursday to hold a confirmation hearing Friday for Lee Hye-hoon, President Lee Jae Myung's nominee for the new Ministry of Planning and Budget, after weeks of delays over incomplete documents and allegations against her.

The agreement came after the hearing, initially set for Monday, was postponed when the People Power Party (PPP) objected to incomplete documents submitted by Lee during a Strategy and Finance Committee plenary. Committee chair Rep. Lim Lee-ja (PPP) suspended the session, prompting further talks that led to Thursday's deal—conditioned on Lee providing the requested materials.

Nominated by President Lee on December 28, 2025, as the inaugural minister for the Ministry of Planning and Budget (launching under the prime minister's office in January 2026), the former three-term conservative lawmaker has faced bipartisan criticism. The opposition demands her withdrawal over her husband's real estate dealings and claims of mistreating subordinates and an intern during her parliamentary tenure.

This resolves weeks of partisan wrangling, advancing the vetting process amid Seoul's political tensions. The hearing remains non-binding, as the president can appoint her regardless.

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President Lee Jae-myung nominates ex-lawmaker Lee Hye-hoon as inaugural Minister of Planning and Budget at a press conference.
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President Lee nominates ex-lawmaker Lee Hye-hoon for budget planning minister

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President Lee Jae Myung nominated former three-term conservative lawmaker Lee Hye-hoon as the inaugural minister for the new Ministry of Planning and Budget on December 28, 2025. The nominee described the economy as facing a structural crisis and short-term 'perfect storm' the next day, pledging bold budgetary investments to support livelihoods. The ministry, set to launch in January under the prime minister's office, will handle budget allocation and mid- to long-term economic strategies.

President Lee Jae Myung has withdrawn the nomination of Lee Hye-hoon for the newly established Ministry of Planning and Budget amid controversies over her personal issues. The presidential office stated that she did not meet public standards following allegations of suspicious family real estate dealings and mistreatment of subordinates. Ruling and opposition parties have responded by stressing the need for stricter vetting processes.

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Lee Hye-hoon, President Lee Jae Myung's nominee for the new Ministry of Planning and Budget, apologized Tuesday for her past support of former President Yoon Suk Yeol's failed martial law declaration. The move followed presidential instructions to clarify her stance, as she heads into a parliamentary confirmation hearing.

South Korea's National Assembly passed the 2026 budget of 727.9 trillion won on Tuesday, achieving the first on-time approval in five years. Ruling and opposition parties reached a last-minute agreement to keep the government's proposed total spending intact while reallocating funds. The budget emphasizes increased spending to support the economy and national defense.

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President Lee Jae Myung has named former Democratic Party lawmaker Hong Ik-pyo as his new secretary for political affairs, Cheong Wa Dae announced on January 18. Hong will assume the role on Tuesday, replacing Woo Sang-ho. The appointment follows Woo's resignation amid preparations for the June local elections.

Ruling and opposition parties are preparing for the June 3 local elections, viewed as a gauge of public sentiment on political polarization following former President Yoon Suk Yeol's failed martial law bid. The elections include parliamentary by-elections in over 10 constituencies and mark the first major test for President Lee Jae Myung's administration since June last year. The Democratic Party aims to bolster its mandate, while the People Power Party focuses on economic issues to rebound.

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Former Prime Minister Kim Boo-kyum will formally declare his bid for Daegu mayor ahead of the June local elections, party officials said. He plans to make the announcement at the National Assembly and in the southeastern city on Monday. The move is seen as the Democratic Party's (DP) effort to challenge the conservative stronghold.

 

 

 

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