Seoul: President Lee Jae Myung announced on Tuesday that the government will implement a series of measures targeting both supply and demand to stabilize the property market and eliminate speculative behaviors. During a Cabinet meeting, Lee emphasized that windfall profits from real estate, often aided by illegal activities and exploitation of legal loopholes, pose a significant threat to fairness and national unity.
According to Yonhap News Agency, Lee attributed the property market's current state to increasing wealth inequality, rising household debts, and the challenges faced by young people. He stressed that resolving the real estate issue is crucial for redirecting resources productively and restoring social dynamism. "Only when the real estate problem is normalized can we find a path toward resolving conflicts caused by polarization," Lee stated during the televised meeting at Cheong Wa Dae.
The government plans to swiftly introduce supply-side measures, offer comprehensive support to those genuinely needing homes, and revise the property tax system to align with public expectations. Moreover, Lee announced his intention to lead a real estate policy debate on Thursday, where he will engage with public opinions to devise effective strategies.
Additionally, Lee called for robust efforts to safeguard the public from ongoing monsoon rains and anticipated heat waves, highlighting a 93.7% damage recovery rate from last year's monsoon season as a testament to the efforts of various ministries and local governments.
On the topic of gasoline prices, Lee noted potential increases due to renewed tensions in the Middle East, despite the current government-imposed price ceilings following the U.S.-Israeli conflict with Iran. The price of regular gasoline is currently capped at 1,784 won (US$1.21) per liter, having been reduced by 150 won in June.
Lee also addressed concerns about the volatility in the stock market linked to recently introduced single-stock leveraged exchange-traded funds (ETFs), which track the performance of major market players like Samsung Electronics Co. and SK hynix Inc. He reiterated the need for swift measures and acknowledged skepticism about the Financial Services Commission's recent interventions, such as suspending new ETF listings and strengthening deposit requirements.