Kim Dong-yeon Presents Solutions to South Korea's Complex Issues Entwined Over 20 Years

Conglomerate Reform Is Necessary, but the Role of Large Corporations Must Be Expanded
Phased Extension of Retirement Age Linked to Abolition of Seniority-Based Wage System
Creation of a 500 Trillion Won Investment Pool from National Pension, Retirement Pension, and Public Funds
Project to Build 10 Large Corporation Cities and 10 Seoul National Universities
At Least 400 Trillion Won Investment in the Climate Industry to Achieve Economies of Scale
Tripling Renewable Energy and Complete Shutdown of Coal Power Plants
Expanding Hospitals Without Caregivers and Covering Caregiving Costs with Insurance
Enduring a 5 Percentage Point Increase in National Debt Ratio Through Active Fiscal Policy, Not Tax Cuts

Gyeonggi Province Governor Kim Dong-yeon proposed the "Economic Grand Coalition," a five-major big deal that changes my life. He argued that only a "big deal of generous give-and-take" among the ruling and opposition parties, progressives and conservatives, and labor and management can save South Korea, which has been entangled in difficult problems and unable to solve anything for 20 years.

On the 5th at 2 p.m., Governor Kim presented proposals under the theme "A Country for All, an Advanced Country for My Life" at the "Seventh Country LAB·Forum Sa-ui-jae" event held at the Kim Dae-jung Library International Conference Room at Yonsei University. He suggested ▲ the "Opportunity Economy Big Deal" to overcome the "inequality economy," ▲ the "Regional Balance Big Deal" to dismantle the "Seoul Republic," ▲ the "Climate Economy Big Deal" where climate becomes the future food source, ▲ the "Care Economy Big Deal," including the "National Responsibility System for Caregiving," and ▲ the "Tax-Fiscal Big Deal" for the "Economic Grand Coalition."

First, regarding the Opportunity Economy Big Deal, he emphasized, "While reforming conglomerates is necessary, the role of large corporations should be expanded," adding, "A triangular big deal is needed where large corporations invest in future strategic industries and youth jobs, workers accept labor flexibility and retirement age extension, and the government provides regulatory innovation and safety nets."

He also stated, "Investment by large corporations in future strategic industries needs to be linked with venture and startup investments," and argued, "Since government sovereign fund methods lack sufficient capital, regulations such as the current 40% limit on external capital procurement by large corporations' CVCs should be significantly relaxed."

Furthermore, he said, "A phased extension of the retirement age linked to the abolition of the seniority-based wage system should be introduced," and raised his voice, "The government must push for swift and strong regulatory reforms. It is necessary to establish a Presidential Regulatory Reform Committee and related dedicated organizations."

Moreover, he revealed, "An additional 500 trillion won from the investment pools of the National Pension Service, retirement pensions, and public funds?equivalent to 20% of the domestic market capitalization of 2,500 trillion won?should be invested in K-shares to revitalize the capital market."

Kim Dong-yeon, Governor of Gyeonggi Province

Governor Kim also mentioned the "Regional Balance Big Deal" to dismantle the "Seoul Republic."

He said, "Measures and capacity in the public sector, such as relocating public institutions, have almost been exhausted," and added, "The sure driving forces to foster regional self-sustainability and achieve national balanced development are large corporations and universities. We must promote the 'Construction of 10 Large Corporation Cities' and the 'Project to Create 10 Seoul National Universities' as alternatives."

Regarding the "Climate Economy Big Deal," where climate becomes the future food source, Governor Kim stated, "The Yoon Seok-yeol administration's climate policy has regressed; a 'quantum jump' is needed," emphasizing, "At least 400 trillion won must be invested in the climate industry to realize economies of scale. This requires 100 trillion won from the National Climate Fund, 100 trillion won from public investments, 100 trillion won in climate guarantees, and 100 trillion won in private investment attraction for power grids through the BTL method."

He particularly added, "A big deal between nuclear power and renewable energy is also necessary," explaining, "The government's recent announcement to build two new nuclear reactors should be scrapped, and the operation of 10 nuclear reactors reaching their design life by 2030 should be extended after safety verification. Instead, investment in renewable energy should be expanded to three times the current level, and coal power plants must be completely shut down."

Regarding the "Care Economy Big Deal," including the "National Responsibility System for Caregiving," Governor Kim said, "'Caregiving murder' and 'caregiving bankruptcy' have become familiar terms. When one family member is sick, the whole family suffers," and argued, "Hospitals without caregivers should be expanded, and caregiving costs should be covered by insurance to relieve the burden. It is necessary for the 'state,' not the 'family,' to take responsibility when I am sick."

Finally, Governor Kim appealed, "A country ruined by tax cuts cannot be revived by tax cuts," and said, "What is needed now is not tax cuts but an active role of fiscal policy, so we must endure a 5 percentage point increase in the national debt ratio over the next five years."