[2021 National Audit] Hong Nam-ki "Household Debt Measures Early This Month... Minimizing Impact on Real Demanders"

October 5 National Assembly Budget Committee Ministry of Economy and Finance 'Economic and Fiscal Policy Audit'

Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance (center), is attending the National Assembly's Public Administration and Finance Committee's audit of the Ministry of Economy and Finance held at the National Assembly on the 5th, responding to questions from lawmakers. Photo by Yoon Dong-joo doso7@

[Sejong=Asia Economy Reporter Moon Chaeseok] Deputy Prime Minister and Minister of Strategy and Finance Hong Nam-ki announced on the 5th that he would "minimize the impact on low-income and genuine demand borrowers" while previewing the household debt measures to be announced earlier this month.

On this day, during the Ministry of Strategy and Finance's audit by the National Assembly's Planning and Finance Committee, Hong responded to Rep. Ko Yong-jin of the Democratic Party of Korea's criticism that "some banks have reduced or suspended limits on group mortgage loans and jeonse loans, causing genuine demand borrowers who were preparing to purchase homes by planning their finances to be at a loss."

Deputy Prime Minister Hong explained, "Including multi-homeowners, household loans have increased too rapidly, so we had no choice but to manage loans in total volume. In the process, group loans and jeonse loans were also partially affected."

He added, "The household debt measures to be announced this month will minimize the impact on low-income, vulnerable groups, and genuine demand borrowers."

When Yoon Hoo-duk, chairman of the National Assembly's Planning and Finance Committee, asked, "Is the government consulting and coordinating together?" Hong replied, "We are thinking of early this month for the household debt measures."