Lee Hyehoon: "Active Fiscal Policy Is My Final Calling"... Aligning with Expansionary Fiscal Policy

Policy Roundtable Held by Nominee Prior to Confirmation Hearing

Yonhap News Agency

Lee Hyehoon, the nominee for Minister of Planning and Budget who is under pressure to resign due to past allegations of abuse of power and real estate speculation, held a meeting with fiscal experts on January 6. During the meeting, she stated, "It is time for fiscal policy to play a proactive priming role." Lee has previously criticized expansionary fiscal policies, such as the issuance of consumption coupons, as populist measures.

According to the Planning and Budget Office, Lee met with experts from academia and research institutions to discuss future policy directions. The meeting was arranged amid ongoing controversies, including allegations of mistreatment of aides and interns during her time as a lawmaker, as well as suspicions of real estate speculation.

The meeting, which was not originally scheduled, was added the previous day. Attendees included Professor Kang Byounggu of Inha University, Professor Woo Seokjin of Myongji University, Professor Yoon Dongyeol of Konkuk University, Kim Junghoon, President of the Fiscal Policy Institute, Kim Hyuna, Senior Research Fellow at the Korea Institute of Public Finance, and Lee Taeseok, Senior Research Fellow at the Korea Development Institute (KDI).

The Planning and Budget Office reported that the experts reached a consensus on the need for a more proactive fiscal role to alleviate public hardship and respond to a period of structural transition.

Lee remarked, "Domestic and external conditions are more severe than ever," emphasizing, "It is time for fiscal policy to play a proactive priming role."

She further explained, "My consistent belief is that fiscal policy must fully fulfill its role when needed," adding that her lifelong philosophy is to pursue 'smart fiscal policy' by providing tailored and intelligent support where necessary.

Lee also stressed that strong expenditure efficiency measures must be implemented to eliminate redundancies and prevent leakages in order to maximize fiscal capacity. She stated, "The Planning and Budget Office exists to take responsibility for and resolve the difficult tasks of reorganizing similar and overlapping projects and restructuring mandatory and rigid expenditures as part of fiscal innovation."

According to the Planning and Budget Office, she also declared that fulfilling 'responsible proactive fiscal policy' would be her final mission as a public official.

Despite the opposition's ongoing attacks and daily allegations, Lee maintained her position that she would address all concerns at the confirmation hearing, dismissing the possibility of a mid-term resignation.

On her way to work that day, Lee responded to the various allegations by stating, "These are all matters that can be fully explained at the confirmation hearing."