Incheon Mayor Yoo Jeong-bok hopes to catapult the western port city onto the world map in the coming years.

Although he is widely considered a close associate of the president ― a factor that carries much weight in local politics ― Yoo is faced with big tasks that range from handling the city’s 12 trillion won ($11.6 billion) debt and increasing investment in the free economic zone to successfully hosting the upcoming Incheon Asian Games.

The Incheon mayor, however, is likely to have more than a few tricks up his sleeve, drawing from his long years in the civil service.

Yoo, a former three-term lawmaker of the ruling Saenuri Party, is a longtime bureaucrat with strong ties to Incheon and nearby areas.

Born and raised in Incheon, Yoo grew up in the city.

In 1994, after 10 years of civil service, he was appointed mayor of the then-county of Gimpo in Gyeonggi Province.

In the following year he took office as the chief of Incheon’s Seo-gu Office, and then became the first elected mayor of Gimpo.

He also served in two ministerial posts, once under the Lee Myung-bak administration and once in the current Park Geun-hye administration, before resigning from both his parliamentary and ministerial seats to run for the post of Incheon mayor in the June 4 local elections.

KH: What is your vision for Incheon and what are your plans for the city’s development?

Yoo: A strategy to bring happiness to Incheon citizens through development, and to lead the advancement of the nation is desperately needed. In collaboration with President Park Geun-hye, I will make Incheon into a creative city, and lay the foundations to transform Incheon from a city of debt into a city of wealth. 

I will not neglect anything, from (policies) for creating small happiness in people’s daily lives to the long-term vision of pursuing the goal of (creating) a “megacity Incheon” in order to repay the citizens by creating a “new Incheon” and an “Incheon of happy citizens.”

KH: What are your plans for the Incheon Free Economic Zone?

Yoo: Since the Incheon Free Economic Zone was designated in 2003, Incheon has become pivotal in increasing Korea’s value, and the strategy of becoming the “base of the creative economy, and the forward base for Korea’s service industry” is now bearing fruit. Despite the prolonged global economic downturn, the IFEZ has become a model for a successful free economic zone for the world.

At the end of July, the cumulative foreign direct investment in the IFEZ stood at $6.61 billion, and attracting 13 international bodies including the Green Climate Fund Secretariat and the World Bank’s Korean office serves as a launchpad for making Incheon a global city.

Although the Yeongjong and Cheongna areas have developed more slowly than Songdo, the Midan City casino resort project, which will create 35,000 jobs, the Cheongna Hana finance town, which will create 5,800 jobs, and other “key-anchor” projects will be stepping stones for the two areas.

The aim is to make the IFEZ the forward base for a globalized service industry. I think the service industry is critical for creating jobs and economic growth, and that this should start in the IFEZ. The IFEZ, which accounts for 0.2 percent of the country by area and 0.4 percent of the population, is of a (small enough) size that negative views about deregulation can be minimized. Designating the IFEZ as a “special deregulation zone” will lead to the advancement of the zone and Incheon.

KH: What does Incheon offer for potential investors?

Yoo: The Incheon government has a system (that was launched in June) of providing seven types of incentives including employment subsidies and incentives, and rent and facility subsidies for local companies that have established themselves (in Incheon).

The plan is to provide equal incentives to foreign and local firms as we are strengthening the drive to make Incheon more desirable for investment.

The Incheon government is concentrating on deregulation and other measures to facilitate investments, and working closely with the corporate community to realize the target of “creative economy Incheon.”

KH: What is the state of Incheon’s medical and educational infrastructure, which are essential parts of the city’s plans for becoming a global city?

Yoo: Since Cheongna Dalton School and Chadwick International opened in 2011 and 2010, respectively, the schools have been nurturing global talent, and the foreign universities in the Songdo Global University Campus are helping IFEZ grow as an education hub.

In line with the government’s creative economy drive, the IFEZ is also considering plans to host foreign medical institutions to promote medical tourism.

The government also decided at the recent trade and investment conference to aid Incheon and Jejudo Island in hosting foreign medical institutions.

KH: What benefits are expected from the Asian Games?

Yoo: The Korea Institute for International Economic Policy estimated that the Asian Games would create 12.9 trillion won ($12.4 billion) in additional production and provide a total of 265,000 jobs.

It is expected that about 2 million people will visit Korea around the time of the Games, and the resulting promotional effect for Incheon will lead to the advancement of the tourism industry in the long term.

There will be economic benefits such as attracting tourists, but there will also be benefits that cannot be measured in money.

The cityscape and layout has been upgraded to global standards, and sports and culture facilities and roads are being built systematically. In addition, the use of cutting-edge IT in the Games and its carbon neutrality will increase the city’s value.

KH: What is the significance of North Korea’s participation in the Games?

Yoo: North Korea’s participation will definitely increase the Games’ popularity, facilitate the easing of inter-Korean tension, and provide the basis for peace and reconciliation.

If the two Koreas begin recovering their homogeneity through sports exchanges, I am sure the Games will be of great help in building mutual trust.

However, North Korea must not distort the meaning of its participation.

KH: How does the city plan to cover the local bonds issued to foot the construction costs for the Asian Games?

Yoo: As of the end of August, 1.048 trillion won worth of local bonds had been issued. This year, 30 billion won of the principal has been repaid in advance, and an additional 32 billion won will be paid back during the second half of the year.

In 2015, 61.4 billion won of the principal and the interest will be repaid, and from 2020 the payments will begin to decrease and all debts will be repaid in full by 2029.

KH: How will the Asian Games’ facilities be used after the event?

Yoo: For the games, 17 new sports facilities have been built, increasing the number of public sports facilities to 36.

Operators of the newly built facilities were selected with the aim of minimizing costs, and improving the efficiency and profitability of the facilities.

Even before construction began, studies were conducted on ways to turn them into public facilities immediately after the Games.

The plan for the main stadium is to bring in commercial facilities to maximize its profitability.

Other stadiums will be used as convenience, leisure and sporting facilities for the citizens, and unoccupied spaces will be used for profit-generating purposes.

By Choi He-suk (cheesuk@heraldcorp.com)