New Finance Minister Choi Sang-mok vowed Tuesday to strive to revive the livelihoods of the people and thoroughly manage risks regarding real estate project financing (PF) and other potential economic issues.

Choi delivered the message during his inauguration ceremony held online, four days after taking office Friday, according to the Ministry of Economy and Finance.

“Multiple challenges lie ahead this year. We should do our best to stabilize inflation and recover the economic livelihoods of the people by spreading the effects of the export-driven recovery to domestic demand and other fields,” Choi said.

“It is an urgent task to thoroughly manage such potential risks as PF loans and household debts,” he said, stressing efforts to boost innovation and social mobility to create quality jobs and achieve a “dynamic economy.”

The new minister also called for organizational innovation in the ministry to take the lead in addressing complex social issues through policy planning and financial management tools.

T
he South Korean economy is forecast to recover on the back of rising exports this year, but the government and experts have pointed to weak domestic demand amid still-high inflation and interest rates, risks regarding PF loans in the middle of a property market slump and external uncertainties as major economic headwinds.

Last week, midsized builder Taeyoung Engineering and Construction Co. applied for a debt-restructuring program after suffering from a liquidity shortage due to PF loans.

The finance ministry plans to present its economic growth forecast for 2024 and key policy goals and measures for this year, according to the ministry.

Source: Yonhap News Agency