[Full Text] President Moon: "Economic Damage from COVID-19 is Severe"... Opening Remarks at Economic Ministries' Work Report

President Moon Jae-in is speaking before the Ministry of Economy and Finance, Ministry of Trade, Industry and Energy, Ministry of SMEs and Startups, and Financial Services Commission briefing at the Blue House on the 17th.
[Image source=Yonhap News]

[Asia Economy Reporter Son Sun-hee] President Moon Jae-in said on the 17th, "The economic damage caused by this COVID-19 is felt more severely than the MERS outbreak in 2015," adding, "This is truly an emergency and a grave situation."

In his opening remarks at the joint briefing of four economic ministries?Ministry of Economy and Finance, Ministry of Trade, Industry and Energy, Ministry of SMEs and Startups, and Financial Services Commission?held at the Blue House that afternoon, President Moon said, "If the recession prolongs, it will cause significant damage not only to our economy but also to people's livelihoods." He continued, "Now is the time to focus all efforts on protecting the safety of the people while revitalizing the economy," and urged, "I ask the public to trust the government's response, strictly follow each safety guideline, and return to normal daily and economic activities."

Below is the full text of President Moon’s opening remarks.

< Opening Statement >

Today, the four economic ministries?the Ministry of Economy and Finance, Ministry of Trade, Industry and Energy, Ministry of SMEs and Startups, and Financial Services Commission?are presenting a joint briefing.

The economic ministries carry heavy responsibilities to show definite changes in people’s livelihoods and the economy this year. The recent COVID-19 outbreak has made these responsibilities even heavier.

Everyone has done well so far. Especially last year, in the face of external challenges such as the global economic downturn and Japan’s export restrictions, proactive fiscal policies and preemptive policy responses laid the foundation for economic recovery. At the same time, we have continuously pursued innovation, inclusion, and fairness to fundamentally transform the economic structure and strengthen its resilience.

We have built the foundation for innovative growth through nurturing new industries and a second venture boom. Inclusion has been strengthened with job rebounds and improvements in distribution indicators. Fair economic outcomes have also been added, such as improvements in unfair trade practices and increased win-win cooperation between large corporations and SMEs, establishing the groundwork for an innovative inclusive nation. I especially commend and encourage all economic ministries and affiliated public officials who, under the leadership of the Deputy Prime Minister for Economy, have overcome difficulties and achieved many results. This year, with even heavier responsibilities, I ask and expect you to make greater efforts so that the public can feel definite changes.

The most meaningful activity of the economic ministries last year was the response to Japan’s export restrictions. The government, companies, and the public?civil and government sectors?worked as one to overcome difficulties without a single production disruption. We reduced dependence on Japan for three major items and gained confidence in self-reliance for materials, parts, and equipment. This became a good example of turning a crisis into an opportunity. While I am pleased with the results, I value the process even more. The experience of win-win cooperation between large and small businesses, demand and supply companies, and cross-ministerial collaboration will serve as a valuable lesson for solving similar problems in the future.

Cross-ministerial collaboration also shone in the response to COVID-19. Centered on the Korea Disease Control and Prevention Agency, the Central Disaster and Safety Countermeasure Headquarters and the Government Joint Support Group have demonstrated great effectiveness in responding to new infectious diseases so far.

Moving forward, I ask for seamless cooperation among economic ministries along with strong measures to minimize the damage from COVID-19 and restore economic vitality. The economic damage from this COVID-19 is felt more severely than the MERS outbreak in 2015. If the recession prolongs, it will cause significant damage not only to our economy but also to people’s livelihoods. This is truly an emergency and a grave situation. Although there are limits to our response to external factors, domestic consumption and leisure activities have been excessively contracted due to inflated fear and anxiety. Now is the time to focus all efforts on protecting the safety of the people while revitalizing the economy. The government will remain vigilant and do its utmost in quarantine efforts. I once again urge the public to trust the government’s response, strictly follow each safety guideline, and return to normal daily and economic activities.

The most practical difficulty for tourism businesses, traditional markets, restaurants, and other self-employed people whose sales have dropped due to reduced consumption is rent for their stores. In some areas, including Jeonju City, a voluntary rent reduction movement by building owners is emerging to overcome the damage caused by COVID-19 together. I deeply appreciate the "Good Landlord Movement" and hope that, along with strong government support, efforts for mutual coexistence between landlords and tenants will also be actively pursued. I also ask the public to respond with active consumption stimulation.

Thank you for your hard work preparing for today’s briefing. Policies for innovative growth, an unwavering industrial powerhouse, digital economy, and innovative finance have been well prepared. What is more important is implementation. Ministry briefings are not for reporting to the president but for reporting to the people and pledging to implement. I ask you to do your best until the end so that the prepared policy measures are well implemented and the goals are surely achieved. Thank you.