South Korea President Lee prioritizes economic growth over welfare

President Lee Jae Myung has stated that prioritizing economic growth over welfare expansion is necessary in the current climate. In a recent communication, Lee argued that while pursuing both growth and welfare is ideal, it is currently unrealistic. He emphasized that focusing on expanding the “economic pie” is essential to prevent economic polarization and a potential decline in welfare caused by zero or negative growth.

The government has proposed a record 820.9 trillion-won ($599 billion) budget for the upcoming year, representing an increase of more than 10 percent. This budget aims to bolster global industrial competitiveness, supported by expectations of increased tax revenue driven by a semiconductor boom. Presidential aides noted that corporate tax collections are expected to be significant, with some projections suggesting a substantial windfall due to the chip industry.