Acting Prime Minister Hong: "Need to Supplement Real Estate Policy System... Party-Government Discussions Must Accelerate"

The 19th Cabinet Meeting

Hong Nam-ki, Acting Prime Minister, is striking the gavel at the Cabinet meeting held at the Government Seoul Office on the morning of the 4th. 2021.5.4
Photo by Yonhap News

[Sejong=Asia Economy Reporter Son Seon-hee] Hong Nam-ki, Acting Prime Minister and Minister of Economy and Finance, said on the 4th, "Regarding real estate policy, there have recently been voices calling for some institutional improvements, and in particular, the need for additional support for housing-vulnerable groups such as the homeless, low-income middle class, and youth has been raised," adding, "To minimize the ripple effects on the real estate market and stabilize the market, it is necessary to promptly conclude related discussions as much as possible."

Acting Prime Minister Hong presided over the Cabinet meeting at the Government Seoul Office that morning and said, "I hope the discussions between ministries and between the ruling party and the government will speed up." This is interpreted as a call to quickly settle issues such as the comprehensive real estate tax relief for actual demanders, which has been raised since the new leadership of the ruling Democratic Party was elected last weekend.

At the Cabinet meeting that day, a revision bill to the Enforcement Decree of the Housing Lease Protection Act was submitted. It expands the criteria for tenants' rights to receive repayment of a certain amount of the deposit ahead of other secured creditors. Acting Prime Minister Hong said, "I hope this will serve as an opportunity to strengthen protection for small tenants who are relatively more vulnerable."

Meanwhile, on the 10th, the Moon Jae-in administration will mark its 4th anniversary since its launch. Acting Prime Minister Hong urged the Cabinet members, "The government itself should systematically organize the achievements of the past four years and objectively review the shortcomings," adding, "We should take this as an opportunity to tighten our resolve and reins for future governance by reviewing the key national tasks to be promoted in the remaining year." He also ordered, "Each ministry should organize the achievements of the past four years and the key tasks to be promoted in the future. In particular, the Office for Government Policy Coordination, the Ministry of Economy and Finance, and the Ministry of Culture, Sports and Tourism should prepare and share analytical materials on overall government and economic sector achievements and tasks."

With May being Family Month and an expected increase in travel demand, Acting Prime Minister Hong requested, "As this week is a 'Special Quarantine Management Week' and we are responding to the pandemic with heightened vigilance, I ask the public to refrain from group gatherings and events as much as possible and to strictly comply with quarantine rules."