How is South Korean President Lee Revising Privatisation Regulations?
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Synopsis
In a bold move, South Korean President Lee Jae Myung has ordered a revision of the privatisation regulations for state-run enterprises, emphasizing the need for public consultation. This decision comes amid concerns over asset sales at a loss. What will this mean for the future of state assets and public trust?
Key Takeaways
- President Lee Jae Myung emphasizes revising privatisation regulations.
- Public opinion must be considered in the privatisation process.
- Government asset sales are under scrutiny for being undervalued.
- South Korea aims for a self-reliant military with enhanced defence capabilities.
- AI technology will play a role in modernizing the military.
Seoul, Nov 4 (NationPress) President Lee Jae Myung of South Korea has directed the government on Tuesday to amend regulations concerning the privatisation of state-run enterprises to better incorporate public sentiment.
Lee expressed these views during a Cabinet meeting, following his emergency directive to suspend the disposal of government assets amid fears they are being sold at a disadvantageous price.
"There have been instances where the government has pursued the privatisation of public enterprises too hastily and unilaterally, often ignoring public sentiment and occasionally turning it into a political matter," he remarked, as reported by Yonhap News Agency.
Lee noted that he had previously attempted, albeit unsuccessfully, to implement a system aimed at preventing or controlling the privatisation of public enterprises during his leadership of the Democratic Party.
"Given the public's apprehension about selling key public facilities to the private sector for privatisation, the government should consider a system that mandates thorough consultation with the National Assembly or adequate incorporation of public opinion prior to proceeding," he added.
During a recent audit of the Korea Asset Management Corp., which oversees state-owned properties, lawmakers highlighted an increase in cases where state assets were sold for less than their fair market value.
In another development, Lee Jae Myung announced on Thursday that South Korea will enhance its plans to establish a self-reliant military by significantly upgrading its defence capabilities, while also striving to resume discussions with North Korea.
"We will greatly fortify our national defence capabilities and ensure we achieve our goal of self-reliant defence," Lee stated during a budget speech, emphasizing that South Korea's pride would be compromised if it continued to rely on other nations for its defence.
Lee specifically mentioned that South Korea aims to transform its defence forces into a "smart and strong" military through the integration of artificial intelligence (AI) technology.
Point of View
President Lee Jae Myung's initiative to revise privatisation regulations reflects a growing awareness of the need for public involvement in government decisions. This proactive measure seeks to balance economic progress with public sentiment, ensuring that state assets are managed responsibly and transparently.
NationPress
05/01/2026
Frequently Asked Questions
What prompted President Lee to revise privatisation regulations?
President Lee's decision was prompted by concerns over the sale of government assets at a loss and the need for better public consultation.
How will these changes affect state-run enterprises?
The changes aim to ensure that the privatisation process incorporates public opinion and involves consultation with the National Assembly.
What are the implications for South Korea's defence strategy?
President Lee's focus on strengthening defence capabilities highlights a shift towards self-reliance, integrating advanced technologies like AI.
