Lee Jae-myung's government has officially been in operation for about a year. While the past year focused on establishing the foundation for governance and crisis response, the next four years must yield tangible results that will shape South Korea's future. What is needed now is not a celebration or criticism of the past year, but a new national strategy aimed at achieving a better economy and improved quality of life for the people.
The president has just returned from a diplomatic tour of Latin America. This trip holds significance beyond a mere diplomatic agenda. In a rapidly changing global economic landscape, Latin America is no longer a distant continent. It is a strategic partner rich in essential resources for future industries, such as lithium, copper, and rare earth elements, and represents a new market for South Korean companies. The success of diplomacy is realized not in the number of summits held, but when it translates into domestic investment, exports, and job creation. The government must now accelerate its follow-up strategies to connect diplomacy with economic growth.
The global economy is undergoing a massive transformation. The strategic competition between the United States and China is intensifying, prompting countries to restructure their supply chains around national interests. Artificial intelligence (AI) is fundamentally altering industrial structures, while sectors like semiconductors, shipbuilding, defense, biotechnology, and energy have become strategic industries directly linked to national security. These changes present both challenges and new opportunities. South Korea is one of the few countries with competitive manufacturing capabilities, advanced information and communication technology (ICT), and a world-class semiconductor industry. It is time to consolidate these strengths into a national growth strategy.
To achieve this, creating an environment where businesses can invest freely is crucial. When companies invest, factories are built, jobs are created, and new opportunities arise for the youth. Uncertain regulations, complex licensing processes, and excessive administrative procedures must be decisively eliminated. The principle of 'prior approval, post-correction' should be applied to new industries, and tax incentives for research and development and facility investments should be expanded more actively. The government's role is not to replace the market but to open pathways for greater market growth.
Policies must also be implemented to ensure that the fruits of growth benefit all citizens. Growth and distribution are not opposing concepts. Sustainable welfare is only possible on the foundation of sustainable growth. Economic growth leads to the creation of quality jobs, increased tax revenue, and a stronger social safety net. Providing opportunities for youth, freedom for innovation to businesses, and new growth engines for regions is the true starting point for inclusive growth.
National unity is also a critical condition for economic recovery. Extreme political polarization and social conflict dampen corporate investment sentiment and weaken national competitiveness. The economy operates on trust. The government must expand social dialogue that transcends ideology and factions, encompassing businesses, labor, local and metropolitan areas, and both young and older generations, to build consensus for the future. Resolving conflicts and enhancing social trust are also vital for national competitiveness.
The end of the first year in office is not the conclusion but a new starting line. South Korea now faces simultaneous monumental changes brought about by the AI revolution and the restructuring of global supply chains. If this opportunity is missed, the next decade will inevitably be spent catching up with other countries. However, with bold reforms, focused investments in future industries, a business-friendly environment, and national unity, South Korea can once again leap forward.
The central focus of governance must be clear. Politics should support the economy, diplomacy should nurture industries, and the state must concentrate its efforts on creating a foundation for businesses and citizens to grow together. As the first year in office concludes, what South Korea must embrace is not a time for politics, but a time for growth.
* This article has been translated by AI.
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