Finance Minister Yoo Il-ho has vowed to carry out vigorous long-term fiscal reforms in order to prevent a recession similar to that of Japan's in the 1990s.

South Korea’s deputy prime minister for economy made the pledge at the 17th meeting of the fiscal strategy council on Monday, stressing that the government will conduct massive and extensive reforms for the future.

The minister said that South Korea is projected to face serious fiscal problems as its national debt is forecast to surpass 60 percent of gross domestic product(GDP) and its funds for social insurance are expected to run out by 2060.

He said that the nation should follow the steps of Sweden with strong and consistent fiscal reforms, calling for aggressive actions at the present moment.