Finance Minister Yoo Il-ho says that the government will seek sufficient fiscal expansion to actively deal with downside risks in the economy in this year's second half.

The minister made the remarks on Wednesday during a meeting with economy-related ministers in Seoul.

He assessed that economic conditions are expected to worsen in the second half, stressing the need for active policy responses. The minister said that employment conditions are particularly getting serious as corporate restructuring is likely to result in massive layoffs at affected companies.

He also said that external economic uncertainties will likely increase as Britain is set to hold a referendum on whether to leave the European Union and the U.S. may raise its key interest rate.

The minister said that the government will produce economic policies for the second half considering risk factors at home and abroad.

He said that the government will deal with downside risks in consumption and employment through sufficient fiscal reinforcement and enhance capabilities to create jobs by speeding up industrial reforms and corporate restructuring.