Vice Minister Koo Yoon-cheol, who is also the Minister of Economy and Finance, visited the Bank of Korea for the first time since taking office and emphasized, "The long-term growth rate of the Korean economy has declined because of a lack of capability," adding, "We need to find key items and focus our efforts on them."
On the morning of the 7th, Vice Minister Koo visited the Bank of Korea in Jung-gu, Seoul, where he met with Governor Lee Chang-yong. From the Ministry of Economy and Finance, Vice Minister Koo, Vice Minister Lee Hyung-il, and Deputy Minister Yoon In-dae accompanied him, while from the Bank of Korea, Governor Lee and Vice Governors Yoo Sang-dae and Park Jong-woo, along with Director Lee Ji-ho of the Research Bureau, were present.
Before the meeting, Vice Minister Koo met with Governor Lee in the lobby on the first floor of the Bank of Korea and shook hands. In front of reporters, he said, "In fact, our economy is quite challenging. Overall, the long-term growth rate is declining," noting that "the reason for the decline in the long-term growth rate of the Korean economy is simply due to the lack of our economic capabilities."
He said, "To enhance capability, all economic actors need to collaborate," adding that "we must find key items and focus our efforts so that productivity and investment can improve and technology can also advance." He stressed, "We must work hard with the Governor to ensure that the Korean economy can make a comeback and regain its pride."
In the following meeting, Vice Minister Koo reiterated the importance of "focus and prioritization." He remarked, "After spending 33 years in public service and then consulting on-site, I found that the realities of the field are different," asserting that "we should not proceed based on what we see from above without properly understanding the realities of economic policy."
Vice Minister Koo remarked, "Looking at the policies, the bundles are too big." He used the manufacturing renaissance policy as an example, stating, "The scope of manufacturing is vast, and claiming that we will revive it isn't really a policy," and noted that "we need more specific policies, like supporting AI (artificial intelligence) vehicles or silicon carbide semiconductors."
He explained that the economic policy direction to be announced soon for the second half of the year reflects this direction. Vice Minister Koo said, "We will create the economic policy direction focused on specific items and do everything possible in areas such as finance, taxation, personnel, and regulation to realize it," adding, "If necessary, we will bring in foreign personnel and deploy domestic personnel to achieve results."
Governor Lee Chang-yong mentioned Vice Minister Koo's authored book "Revolution Korea," stating, "It neatly outlines what restructuring is needed in our country, and about half of the restructuring agenda that the Bank of Korea has discussed over the past two years is in the introduction." He continued, "The Bank of Korea will help as much as possible as a think tank and cooperate together."
Governor Lee also commented on the recently concluded Korea-U.S. tariff negotiations, saying, "The agreement has worked well, and we have alleviated significant burdens ahead of the August currency policy meeting." He noted, "I thought we would be in a difficult situation if tariffs were mishandled before the meeting, but you handled difficult issues at a challenging time. I thank you once again," adding, "Since this is not yet resolved, I trust you will continue to do well."