South Korea's President Calls for Maintaining Economic Preparedness and Rapidly Drafting Supplementary Budget

South Korean President Lee Jae-myung instructed senior aides on Thursday to maintain a strict state of economic readiness and quickly formulate a supplementary budget, as the Middle East conflict has driven up fuel prices and hindered economic recovery.

Earlier that day, Lee Jae-myung made the above remarks at a meeting with senior aides.

Lee said, “It’s difficult to predict how long this war will last. I ask Cheong Wa Dae and all government departments to remember that we are essentially in a wartime economy and must take this situation very seriously.”

He urged the government to swiftly develop a supplementary budget to mitigate the crisis’s impact on the local economy while maintaining the momentum of economic recovery.

He stated, “The supplementary budget should aim to absorb the economic shocks experienced by the public, ensure livelihoods, and direct funds to vulnerable groups and small and medium-sized enterprises.” He emphasized the need to allocate more resources to regions more susceptible to external shocks.

Lee also called for continued efforts to secure supplies of crude oil and key raw materials and to explore stable supply routes.

He said, “As the uncertainty in the Middle East increases, the necessity for more proactive and long-term measures to manage the supply and demand of crude oil and key raw materials becomes increasingly evident. Urgent measures are needed now to ensure even a single drop of oil supply and to explore stable supply routes.”

Lee Jae-myung expressed gratitude for the UAE’s commitment to supply 24 million barrels of crude oil to South Korea and prioritize exports to Korea. Previously, his chief of staff, Kang Hoon-sik, visited the UAE.