Finance minister nominee vows 'economic revolution' through new growth engines

SEOUL, June 29 (Yonhap) -- Koo Yun-cheol, nominated as the first finance minister under President Lee Jae Myung, vowed Sunday to carry out an "economic revolution" focused on fostering new growth engines such as artificial intelligence (AI).

"I will push forward a bold economic revolution for genuine growth," Koo told reporters shortly after his nomination, citing external risks as global tariff wars and technological hegemony, as well as internal structural challenges like low growth and polarization.

"The revolution must happen across all sectors, but the most urgent reforms are needed in the economic sphere," he added.

Elaborating on the vision, Koo said his core philosophy is to manage the country's economy as if it were a corporation.

"In this model, the real shareholders are the citizens of the Republic of Korea," he said, referring to South Korea by its official name.

He emphasized the need for investments in new growth engines, including AI, and pledged to create an inclusive system where all citizens can participate in and benefit from national economic development.

"I will strive to build a virtuous cycle of national development and public happiness," Koo said.

Addressing concerns over the nation's widening fiscal deficit, Koo called for policies that focus on expanding the overall economy to generate greater tax revenue.

"We need to grow the size of the economic pie so that more tax revenue comes in naturally," he said.

Concerns over fiscal soundness have intensified in recent months as national debt rises. The government's proposed second supplementary budget of 20.2 trillion won (US$14.7 billion) has fueled fears of a third consecutive year of tax revenue shortfalls.

"Budget and fiscal policy should be assessed in terms of outcomes," Koo said.

The 60-year-old nominee is a veteran economic policymaker, having served in key positions at the Ministry of Economy and Finance. His previous roles include director general of fiscal performance, chief budget officer and second vice minister.

Koo played a key role in driving the government's expansionary fiscal policies between 2017 and 2020, during his tenure as budget chief and later second vice finance minister.

khj@yna.co.kr
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