Kim Dong-yeon: "Companies Not Investing Because of Corporate Tax?...Consistency, Predictability, and Deregulation Needed"

[Suwon Ilbo = Reporter Park No-hun] Gyeonggi Province Governor Kim Dong-yeon strongly criticized the current situation regarding budget bill processing.

Governor Kim posted on SNS on the 15th, stating "I do not understand how corporate tax has become an obstacle to the budget" and "The current economic situation is not one where companies are refusing to invest because of corporate tax. Rather, consistency and predictability in government policies to address the economic crisis, and the elimination of regulations strangling businesses are more important."

He then mentioned today's "State Affairs Task Inspection Meeting" and pressured the government, saying "We must stop unconditional, indiscriminate policy reversals. We must engage in dialogue and cooperation with the opposition party."

Governor Kim emphasized, "We must keep in mind that the first step in solving difficult issues such as labor policy, health insurance, climate change, and pension reform is dialogue and compromise."

The following is the full text of Governor Kim Dong-yeon's SNS post.

<Transform Unilateral Obstruction into Communication and Dialogue, and Security-Focused Politics into People-Centered Politics>

The budget bill has not been processed more than ten days past the legal deadline.

Though I have held positions responsible for national finances for a long time, I cannot understand how corporate tax has become an obstacle to the budget.

I find it difficult to agree with the argument that lowering the top corporate tax rate, which would benefit around 100 companies, would increase investment. There are multiple factors in companies' investment decisions. The current economic situation is not one where companies are refusing to invest because of corporate tax. Rather, consistency and predictability in government policies to address the economic crisis, and the elimination of regulations strangling businesses are more important.

Recently, the government effectively declared the abolition of 'Moon Jae-in Care.' Regardless of progressive or conservative ideology, this is the first government I have seen that seeks to roll back health insurance coverage and state responsibility that all previous governments have expanded.

Anti-labor policies that go against workers' rights protection, renewable energy industries on the verge of collapse due to incorrect government signals—there are worries beyond measure. In a rapidly moving international political and economic environment, this is truly a case of 'troubles at home and abroad.'

With the 'State Affairs Task Inspection Meeting' scheduled to be broadcast live to the public today, I urge a comprehensive change in state administration once again.

First, we must stop unconditional, indiscriminate policy reversals.

First, the government must present a proper national vision to the people. Please show the direction Korea should take. And within that direction, build individual policies step by step.

Second, we must engage in dialogue and cooperation with the opposition party.

More than seven months into the president's term, there has been no dialogue whatsoever with the opposition. First and foremost, the urgent budget bill must be processed. The issue of lowering the top corporate tax rate should be discussed over a more sufficient period of time, and we should first reach an agreement with the opposition party on the budget bill.

We must keep in mind that the first step in solving difficult issues such as labor policy, health insurance, climate change, and pension reform is dialogue and compromise.

A lack of communication and unilateral pressure will ultimately become a shortcut to economic collapse and people's livelihoods crisis.

We must transform obstruction and unilateralism into communication and dialogue, and security-focused politics into people-centered politics.

Otherwise, the 'State Affairs Task Inspection Meeting' will be nothing more than a show for the public.