The Ministry of Planning and Budget, which unveiled a new signboard for the first time in 18 years, has faced a heavy burden from the outset. With nominee Lee Hye-hoon withdrawing after a series of allegations, the organization started out burdened by a leadership vacuum from the moment of its launch.
On the 25th, President Lee Jae-myung withdrew the nomination of the candidate and decided to reexamine the appointment of the Minister from scratch. It is said the decision was influenced by the string of allegations that surfaced during the confirmation process, including the candidate's alleged abuse and verbal abuse of aides, real estate speculation, illicit housing subscriptions, preferential treatment in military service and employment for a child, and even controversy over preferential treatment in college admissions.
In particular, the controversy over preferential treatment surrounding the "social contributor track" in the eldest son's admission to Yonsei University, and the explanation over "pretending to be single" during the Banpo apartment subscription process, were seen as provoking strong public backlash. As the burden grew within the ruling bloc, it appears the process ultimately ended in withdrawal.
The problem is that the candidate's withdrawal has made it difficult for the Ministry of Planning and Budget to secure momentum for policy implementation for a considerable period. From the early days of the launch, situations requiring Minister-level judgment and political coordination have arisen, and there are concerns that if the leadership vacuum drags on, key pending issues could be delayed one after another.
Even in core budget operations such as establishing budget guidelines and preparing for the fiscal strategy meeting, it has become virtually impossible to push forward with a top-down approach led by the Minister. Internal personnel appointments in the organization are also highly likely to be postponed until the ministerial appointment is finalized.
In government circles, there is criticism that "the Ministry of Planning and Budget is the control tower that must coordinate budgets and finances across all ministries, and a leadership vacuum from the start is a significant burden." Concerns are growing especially because strong political leadership is essential to push expenditure restructuring and fiscal reform, which will inevitably face resistance from individual ministries.
There are also voices saying it is "naturally being compared to the old ministry during the Roh Moo-hyun administration." Back then, the Ministry of Planning and Budget, backed by the president's full confidence, led budget formulation and fiscal reform and established itself as a "powerful ministry." In contrast, the prevailing view is that the current ministry has been hobbled by leadership risk at the moment of its launch and has been put to the test.
For now, the Ministry of Planning and Budget plans to hold an expanded senior officials' meeting on the 26th, chaired by Vice Minister Lim Gi-geun, to review the status of major tasks and future plans. Ministry of Planning and Budget Spokesperson Park Moon-kyu said the ministry "will carry out its core duties without wavering to ensure stability in people's livelihoods and the execution of national tasks."