"Real Estate Issues Can Only Be Resolved by Increasing Supply"
Lee Hyungil, First Vice Minister of Strategy and Finance, stated on October 28 that he views the National Assembly's discussions on the separate taxation of dividend income as a positive development for the stock market.
On this day, during an appearance on the YouTube channel SamproTV, Lee responded to the host's question about whether the government prioritizes incentives or securing tax revenue by saying as much.
Lee explained, "We will actively participate in the National Assembly's discussions to determine how much further to strengthen incentives that promote dividends through tax rates, assess the impact on tax revenue, and consider the timing of implementation. By comprehensively evaluating these factors, we will work to find the best and most rational solution."
Regarding real estate tax reform, he mentioned, "We are reviewing measures that would guide the flow of funds in the market toward more productive sectors, are in line with the principle of ability-to-pay, and are acceptable to the public." He also stated, "For now, I believe we need to focus our policy efforts on expanding housing supply," emphasizing that "ultimately, the issue must be resolved by increasing supply."
Concerning the recent high exchange rate, he said, "Whenever there are trade conflicts between the United States and China, the exchange rate level tends to rise. Additionally, since Japan's new prime minister is pursuing expansionary policies, the yen has weakened, which has also caused the Korean won to move in tandem." He added, "We are closely monitoring the market and will take stabilization measures if necessary."
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