Finance minister pledges to create favorable biz environment amid challenges

Seoul, Oct. 7 (Yonhap) -- South Korea's Finance Minister Lee Hyoung-il pledged on Wednesday to foster a more conducive business environment to bolster economic expansion, while tackling structural issues like sluggish productivity. The minister discussed this during a gathering with leaders from six key business associations, including SK Group Chairman Chey Tae-won, who chairs the Korea Chamber of Commerce and Industry (KCCI).

Lee highlighted that the South Korean economy has shown promising growth despite an unfavorable economic climate, a trend propelled by the global semiconductor boom. However, he pointed out that the country's growth potential has been hampered by a dwindling workforce and stagnating productivity, alongside regional disparities and rising consumer costs.

The government aims to engage actively with businesses to deliver concrete results through its policies, Lee emphasized. He encouraged businesses to continue identifying obstacles and providing recommendations to the government, vowing to coordinate with relevant ministries to swiftly resolve these issues.

The finance minister also touched on the government's ambitious three-megaproject initiative, centered around advancing the artificial intelligence (AI) sector, which he believes will spur forward-thinking investments. Additionally, the administration plans to reduce bureaucratic hurdles and streamline regulations to promote innovation and rejuvenate the nation's business climate.

During the meeting, business lobby representatives urged the government to ensure timely support, including permits and infrastructure, aligned with companies' investment timelines.