Seoul: President Lee Jae Myung emphasized the urgent need to revive people's livelihoods during his inaugural budget speech to the parliament. Lee presented a 20.2 trillion-won (US$14.7 billion) supplementary budget proposal, marking the second additional budget this year and the first under his leadership, which awaits approval from the National Assembly.
According to Yonhap News Agency, Lee stressed the importance of addressing the nation's economic challenges and preventing a cycle of low growth that threatens to limit opportunities and exacerbate competition and conflict. He advocated for generating new growth avenues and equitably distributing growth benefits to reduce polarization and inequality, envisioning a society where prosperity is shared.
Lee underscored the need for transparency and fairness in the capital market to foster a virtuous cycle of economic and business growth, aspiring for the KOSPI stock index to reach 5,000 points. His address also highlighted the significance of bipartisan collaboration in diplomacy, prioritizing national interest over political ideology.
Focusing on peace and stability on the Korean Peninsula, Lee pledged to create an environment where citizens' daily lives remain stable, arguing that peace and economic growth are mutually reinforcing. The proposed extra budget includes 10.3 trillion won for "consumption coupons," varying from 150,000 to 520,000 won per person based on income, and 600 billion won for discount gift certificates, raising this year's issuance to a historic 29 trillion won. Additionally, 1.4 trillion won is designated for a debt-relief program benefiting around 1.43 million individuals.
Lee highlighted the severe economic conditions facing South Korea, referencing economic data and international issues, such as U.S. tariffs and the Israel-Iran conflict. He insisted that the government must act decisively to rejuvenate the economy, criticizing fiscal austerity during an economic crisis as neglectful.
The budget aims to stimulate consumption through coupons and invest 3.9 trillion won in artificial intelligence and renewable energy. Lee called for bipartisan support to pass the budget, stating that economic revival transcends political divisions and emphasizing the timeliness of the opportunity.