President Lee: "Growth Rate Expected to Reach 3% This Year... Will Make This the Foundation Year for Korea's Leap to Top 4 in World Trade" (Summary)

President Lee Presides Over Cabinet Meeting
Vision for a Leap Forward: Year One for
'3% Potential Growth Rate, Top 4 in Global Trade, and $50,000 Per Capita Income'
Calls for Early Realization of the Three Major Mega-Projects
"Central and Local Governments, and Businesses Must Work Together as One"
Urges Responsible Administration Ahead of July 15 Ministry and Public Institution Briefings
Offers Condolences and Comfort to the Families of Osong Underpass Disaster Victims on the Third Anniversary

On July 14, President Lee Jae-myung stated, "There are growing forecasts that this year's real economic growth rate could reach 3%, backed by remarkable export performance and increased facility investment," emphasizing his commitment to accelerating Korea's economic transformation and expanding its growth engines. He also outlined his vision to make this year a foundation for Korea's leap forward, presenting three major goals for an "Irreplaceable Korea": achieving a potential growth rate of 3%, becoming one of the world's top four trading nations, and reaching a national income of 50,000 dollars per capita.

President Lee Jae-myung is presiding over the Cabinet meeting at the Blue House on July 14, 2026. Photo by Yonhap News Agency

In his opening remarks at the Cabinet meeting held at the Blue House on the same day, President Lee said, "Exports surged explosively in the first half of this year, approaching 500 billion dollars," and explained, "While semiconductors led the growth, exports of other items also increased by 16% compared to the previous year." He added, "Becoming the world's fourth-largest trading nation is no longer an unattainable goal," and evaluated that, "The global industrial restructuring triggered by the Artificial Intelligence (AI) revolution has created new opportunities for us."

President Lee called for accelerating the economic transformation as the highest policy priority for the second half of the year. He stressed the necessity of focusing all efforts on stabilizing prices and the real estate market—issues directly affecting people’s lives—while cultivating fundamentally innovative and groundbreaking growth engines to gradually increase the potential growth rate to 3%.

In particular, he ordered the expedited realization of the "three major mega-projects," including semiconductors and AI data centers. President Lee said, "The central government, local governments, and businesses must work together as one," adding, "If we shorten the work by a day now, we'll gain ten or even a hundred days later, so please proceed with all relevant processes as quickly as possible."

Along with sustainable growth, he also underscored the need to resolve structural issues such as youth employment and the labor market. President Lee highlighted the importance of providing youth with multi-layered opportunities for jobs, housing, asset building, and capability development, and stated that efforts must also be redoubled to close labor market gaps and push forward innovation in public institutions, fiscal management, and regulations.

He continued, "The achievements we make in the second half of this year will determine Korea's next 30 years," urging all to join forces to ensure that this year is remembered as the starting point for reaching a potential growth rate of 3%, joining the world's top four trading nations, and achieving a national income of 50,000 dollars per capita as an 'Irreplaceable Korea.'

As ministry and public institution work reports are set to begin on July 15, President Lee repeatedly called for responsible administration. He remarked, "The core of government operations is not the Blue House, but the respective ministries and agencies," and added, "While the Blue House sets the government's direction, you must always keep in mind that you are the final decision-makers in your areas of responsibility, planning and executing work proactively and autonomously."

He cautioned, "It is unacceptable to simply do what one is told, only follow existing practices, only do what's stipulated by law, or avoid work for fear of disciplinary or criminal investigation." He called for more communication from ministers to front-line staff, and stated that the government must identify and correct issues on the ground before they are raised by the National Assembly, the media, or civil petitioners.

President Lee cited the problem of so-called "grasshopper companies," which relocate to different regions to win forestry projects by borrowing business licenses, as an example of passive administration. According to interim findings, among some 1,900 relevant businesses, problems such as license borrowing were suspected in about 900 after reviewing 1,200 to 1,300 of them. President Lee strongly criticized this, commenting, "It’s an absurd situation."

He questioned, "Why were the relevant ministries unaware of an issue so long-known that media outlets have conducted investigative reports on it?" and added, "When those on the front lines know, but top leadership does not, it means communication with the field is not functioning properly."

He also raised the issue of de facto "self-dealing," where companies connected to local council members, their families, or acquaintances enter into private contracts with local governments. President Lee stressed, "Correcting wrongdoing should be a routine matter," and emphasized the necessity of constant attention to frontline staff and unreserved, rank-free brainstorming and discussion.

However, regarding the achievements of the past year, he encouraged, "Objective evaluations are welcome, and from what I see, everyone is doing extremely well." He continued, "If you’ve removed the big rocks, now remove the mid-sized ones, and even the pebbles, to create truly fertile ground. Most of the big rocks are gone, so please pay attention to the smaller ones now."

President Lee Jae-myung is speaking at the Cabinet meeting held at the Blue House on July 14, 2026. Photo by Yonhap News

Regarding President Lee’s recent diplomatic tour related to the North Atlantic Treaty Organization (NATO) and his state visit to Mongolia, he evaluated that Korea achieved results in defense industry and advanced technology cooperation and the securing of key mineral supply chains. President Lee said, "Please quickly move forward with follow-up measures to ensure these diplomatic outcomes make a real contribution to people's lives and the economy," asserting, "We will steadfastly fulfill our role and responsibilities as a global, responsible nation based on pragmatic, national interest-oriented diplomacy."

Marking the third anniversary on July 15, President Lee offered condolences and comfort to the victims and bereaved families of the Osong underpass disaster. He remarked, "It is truly regrettable that it took three years to hold such a proper memorial ceremony," and stressed, "There must never be even the smallest gap when it comes to protecting people's lives."

He further ordered thorough safety checks for vulnerable groups and high-risk regions as both heatwaves and heavy rain are forecasted to alternate, emphasizing, "When it comes to safety, it is far better to do too much than too little."

This content was produced with the assistance of AI translation services.