[Interview with Lee Jae-myung] "The ruling party's expulsion measure considered the people's expectations... Party members must abandon the sense of co-ownership"

Interview with Lee Jae-myung, Governor of Gyeonggi Province
On the Party Expulsion of Ruling Party Members Suspected of Real Estate Speculation
"A Difficult Decision... Considering the Public's Perspective"
"Real Estate Speculation Increases Public Despair"
"Political Circles Must Abandon the Sense of Partnership"

Gyeonggi Province Governor Lee Jae-myung. / Photo by Dongju Yoon doso7@

[Asia Economy Reporters Park Cheol-eung, Koo Chae-eun] Lee Jae-myung, Governor of Gyeonggi Province, commented on the Democratic Party of Korea's decision to recommend expulsion (or withdrawal) of lawmakers suspected of real estate speculation, stating, "Because the public's despair over the real estate (speculation crisis) itself was significant, it was likely a form of reform considerate of the people."

In a recent interview with Asia Economy, Lee said, "Since the (real estate speculation allegations) have not been confirmed, it is difficult to make a judgment," adding, "We cannot ignore the public's perspective."

He stated, "I believe the party must be strict regarding elements of corruption, and I have frequently conveyed such opinions to the party leadership," and added, "Due to a sense of camaraderie and partnership among politicians, there is a tendency not to easily discard those with flaws. However, I think continuous efforts must be made to align with the public's expectations."

Regarding the ongoing debate about the 'top 2% subject to comprehensive real estate tax,' he prefaced, "The party is currently considering measures to stabilize the housing market, so I am not sure if it is appropriate to express my opinion." He then said, "When considering raising the threshold for imposing the comprehensive real estate tax, if 'actual residence' is not taken into account, I am concerned that it may be insufficient to curb the speculative frenzy."

He emphasized, "The fundamental measure to prevent real estate speculation is to make it impossible to profit from real estate. For this, the number of houses should be considered more than the price, and actual residence should be considered more than the number of houses." He added, "It is desirable to strengthen financial and tax support for homes that are actually occupied, while increasing the burden on holding homes for speculative purposes."

He stressed that the criterion should be based on 'actual residence vs. non-residence.' Lee's principle is that "If a person living in the metropolitan area builds a vacation home in a scenic area and actually uses it on weekends, it should not be regulated as owning two houses."