[iNews24 Kim Hyo-jin] President Lee Jae-myung dismissed calls for austerity, citing a statistical analysis showing South Korea’s projected debt ratio is substantially lower than those of other major economies. He also reiterated the government’s commitment to an active fiscal policy.
On May 5, the president shared an article on X (formerly Twitter) that cited the National Fiscal Research Institute’s analysis of the IMF’s Fiscal Monitor, which found Korea’s projected net debt ratio (10.3%) to be far below the G20 average projection (89.6%). He wrote alongside the link: "To those strange people who keep singing the austerity song at every turn."
He also quoted the institute’s analysis: "If funds raised through government bonds boost economic growth and are channeled into investments that increase social productivity, potential growth, and the future tax base, the national debt ratio can actually stabilize."
The post underscored his position that the government’s debt level remains sustainable and served to rebut critics who warn of deteriorating fiscal health.
