Seoul: 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.
According to Yonhap News Agency, Lee stated that the 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. The nominee emphasized that while the country is on course to achieve a 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.
Lee highlighted the 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. He said that once he takes office, he will prioritize efforts to ensure the economic recovery translates into better livelihoods, noting that stabilizing consumer prices is the first step toward addressing economic disparities.
Lee proposed easing the burden of grocery costs and stabilizing the prices of agricultural, livestock, and fishery products, as well as fuel. He 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 internationalization of the Korean won. The internationalization aims to enable the currency to be freely held, traded, and borrowed outside South Korea.
During the hearing, Lee addressed public criticism regarding his residency, explaining that he had lived for only four months over the past 17 years in his apartment in Gwacheon, which he purchased in 2009. The controversy arose amid the government's recent push to revamp housing policy to prioritize actual residency over ownership. Lee stated that he had owned only that apartment for a long time and had intended to live there but was unable to do so due to his circumstances, claiming that the purchase was not speculative.