Lee vows all-out effort to attain economic growth in 2009

By Yoo Cheong-mo
SEOUL, Dec. 24 (Yonhap) -- President Lee Myung-bak on Wednesday ordered his
Cabinet to map out emergency welfare measures for the underprivileged,
forecasting the global economic crisis will take a turn for the worse next year
and increase the number of the unemployed and newly poor.
Listening to briefings on the government's key welfare and labor policies for
2009 from relevant ministries, Lee also cautioned that South Korea's economy may
contract next year, unlike the government's previous prediction of a 3-percent
growth, due to the mounting economic uncertainties across the world.
"All countries worldwide still remain unable to forecast their own economic
growth rate for 2009. The U.S. is expected to record minus 6 percent growth in
the fourth quarter (of this year) despite its aggressive stimulus measures,
clouding the outlook for the global economy," said Lee.
"Contraction of the U.S. economy would negatively affect the Korean economy,
which is heavily dependent on exports. Economists now argue over Korea's exact
economic growth rate for next year, but it's impossible to make a precise
prediction at this point... But I'm convinced the Korean economy will post some
growth next year, and that should be our goal," Lee said.
Lee's remarks suggest that the Korean economic growth rate could be dragged into
negative territory next year, though the government recently announced its bid to
attain a growth of 3 percent.
"The economic crisis may hit rock bottom during the first half of next year and
the situation may not improve throughout the second half, resulting in a steady
hike in the number of people who lose their jobs and newly join the ranks of the
poor," said the president.
"With that in mind, the government has to promptly act to support the new poor
and jobless. The welfare measures for the new underprivileged should also include
state subsidies for educating their children," he stressed.
Lee also instructed the Labor Ministry to consider expanding employment of
college graduate interns by various government agencies to more than the annual
target of 60,000 persons.
ycm@yna.co.kr
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