ID :
204343
Tue, 08/30/2011 - 10:02
Auther :
Shortlink :
https://oananews.org//node/204343
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Finance minister stresses fiscal soundness
(ATTN: ADDS details in last 6 paras)
SEOUL, Aug. 30 (Yonhap) -- South Korea should do its best to maintain its fiscal soundness, the nation's top economic policymaker said Tuesday, reaffirming his opposition to what he calls growing populist welfare demand.
"We have to make all our efforts to keep our fiscal soundness in the face of populism to prevent the current generation's debt-dependent life from causing difficulties for our next generations," Finance Minister Bahk Jae-wan told other policymakers in a meeting in Seoul.
He said that generational conflict has become the top priority to tackle in the 21st century as many countries are pushing to find a fundamental solution to fiscal crisis at a time when demand for welfare is mounting due to the aging population.
His remarks come a few days after Seoul held a referendum on the city's opposition-led free school lunch program that former Mayor Oh Se-hoon and his ruling Grand National Party have denounced as a populist policy putting a heavy burden on government budget.
The referendum was invalidated as it failed to draw enough voters. The outcome was regarded as a victory for opposition parties that have urged citizens to boycott the vote to push for the free lunch program. Oh stepped down on Friday to take responsibility for the vote result.
Bahk emphasized the importance of the "spirit of harmony," saying that there are growing structural confrontation risks in the world that could threaten stable economic growth.
He noted that behind the crises unfolding in the United States and Europe also lie such confrontations among governments, lawmakers and citizens.
Bahk has called for stepped-up fiscal discipline in the face of mounting welfare demand among lawmakers ahead of major elections to be held next year.
He earlier said that it is "irresponsible" to push for measures that cause excessive spending "without thinking about the balance sheet of the nation's fiscal status."
Touching on other economic issues during the meeting, the minister said that South Korea needs to intensify its economic cooperation with emerging countries as part of efforts to diversify export markets amid worries that major advanced nations might face a prolonged economic slowdown.
"Given our heavy dependence on external markets and worries that major advanced nations could suffer low growth, we need to tackle the current global economic difficulties through cooperation with BRICs and other emerging countries," he said.
BRICs refers to the four fast-emerging economies of Brazil, Russia, India and China.
In a related move, the minister and other policymakers discussed possible cooperation with emerging countries in such areas as farming, energy development, establishment of trade infrastructure and green energy, the finance ministry said in a press release after the meeting.
SEOUL, Aug. 30 (Yonhap) -- South Korea should do its best to maintain its fiscal soundness, the nation's top economic policymaker said Tuesday, reaffirming his opposition to what he calls growing populist welfare demand.
"We have to make all our efforts to keep our fiscal soundness in the face of populism to prevent the current generation's debt-dependent life from causing difficulties for our next generations," Finance Minister Bahk Jae-wan told other policymakers in a meeting in Seoul.
He said that generational conflict has become the top priority to tackle in the 21st century as many countries are pushing to find a fundamental solution to fiscal crisis at a time when demand for welfare is mounting due to the aging population.
His remarks come a few days after Seoul held a referendum on the city's opposition-led free school lunch program that former Mayor Oh Se-hoon and his ruling Grand National Party have denounced as a populist policy putting a heavy burden on government budget.
The referendum was invalidated as it failed to draw enough voters. The outcome was regarded as a victory for opposition parties that have urged citizens to boycott the vote to push for the free lunch program. Oh stepped down on Friday to take responsibility for the vote result.
Bahk emphasized the importance of the "spirit of harmony," saying that there are growing structural confrontation risks in the world that could threaten stable economic growth.
He noted that behind the crises unfolding in the United States and Europe also lie such confrontations among governments, lawmakers and citizens.
Bahk has called for stepped-up fiscal discipline in the face of mounting welfare demand among lawmakers ahead of major elections to be held next year.
He earlier said that it is "irresponsible" to push for measures that cause excessive spending "without thinking about the balance sheet of the nation's fiscal status."
Touching on other economic issues during the meeting, the minister said that South Korea needs to intensify its economic cooperation with emerging countries as part of efforts to diversify export markets amid worries that major advanced nations might face a prolonged economic slowdown.
"Given our heavy dependence on external markets and worries that major advanced nations could suffer low growth, we need to tackle the current global economic difficulties through cooperation with BRICs and other emerging countries," he said.
BRICs refers to the four fast-emerging economies of Brazil, Russia, India and China.
In a related move, the minister and other policymakers discussed possible cooperation with emerging countries in such areas as farming, energy development, establishment of trade infrastructure and green energy, the finance ministry said in a press release after the meeting.
