The Yoon government has successfully maintained stable macroeconomic conditions to mitigate the impact of multiple global crises, the finance ministry said Monday, highlighting the success of the Yoon Suk Yeol administration's economic and fiscal policies over the past 2 1/2 years.
The review was presented in a report issued by the Ministry of Economy and Finance to mark the midpoint of President Yoon's single five-year term, which fell on Sunday.
"From the start of the administration, the government faced a complex global crisis marked by the Russia-Ukraine war, record-high inflation in 34 years, steep interest rate hikes and an unprecedented slump in the semiconductor industry," the report said.
In response, the government implemented bold and proactive policy measures early on, focusing on sound fiscal management, the ministry said.
As a result, the government achieved key successes, such as keeping consumer prices relatively low compared to other major developed countries, despite a period of global inflation.
"In a climate of unprecedented global inflation, the country saw a stable peak in inflation rates, and the consumer price index rose by only 1.3 percent in October," the ministry said.
The report also highlighted positive trends in employment and export indexes.
South Korea recorded the highest growth rate among the world's top 10 exporting nations in the first half of this year and is expected to achieve a record annual export amount, surpassing the previous record of $683.6 billion set in 2022, the ministry pointed out.
Furthermore, the ministry noted that South Korea's per capita income reached $36,194 in 2023, surpassing Japan's $35,793 for the first time.
The report also emphasized the country's success in managing household debts.
The household debt-to-GDP ratio began to decline in 2022 for the first time in 18 years, following a steep hike over the past few years.
The country also has maintained its highest-ever credit rating with international markets recognizing its economic resilience, as evidenced by its inclusion in the World Government Bond Index, according to the ministry.
Looking forward, the government plans to continue focusing on improving the real economy and addressing risks related to real estate and household debts, the ministry said.
"The Yoon Suk Yeol administration will concentrate its efforts on enhancing growth potential and sustainability through structural reforms, managing risks and responding to global uncertainties," it added. (Yonhap)
