Ministerial Talks on Economic Affairs

Government Works to Manage Inflation and Improve People’s Livelihood

Deputy Prime Minister Choo Kyung-ho presided over the Ministerial Talks on Economic Affairs[1] on May 15, for the first time since taking office, to discuss the current economic situation and countermeasures to manage inflation and improve people’s livelihood.

The following is a summary of DPM Choo’s remarks.

The economy is facing multifaceted and complex challenges caused by the longer-than-expected Russia-Ukraine war, major economies’ tightening monetary policies, and higher inflationary pressure. In response, the new administration’s economic team is committed to making utmost efforts to focus on pending issues such as inflation and the economic impacts of the pandemic and to come up with effective policy actions.   

Inflation control

- Discover effective policy agenda to improve people’s livelihood and stabilize the prices

- Lower diesel benchmark price[2] for measuring fuel subsidies to lessen the burden on transport and logistics industries

Supplementary budget

- Request inter-ministerial support for swift approval of the 2^nd Supplementary budget and ensure thorough preparation for immediate execution of the expenditure plan upon approval

Policy actions and future directions

- Build a ‘one team’ mindset across the government to tackle ongoing economic risks at home and abroad

- The emergency economic response taskforce[3] will serve as a platform to closely monitor the overall economic situation and to take preemptive response measures

- Plan to come up with countermeasures to improve people’s livelihood through inter-ministerial discussions