Anchor: President Moon Jae-in called on his officials to swiftly put forth measures to cushion the economic blow of the new coronavirus outbreak. The president also urged the Cabinet to continue enforcing state policies to ease public anxiety.
Choi You Sun reports.

Report: At a Cabinet meeting on Tuesday, President Moon Jae-in said rising concerns over the spread of the new coronavirus have begun to take a toll on the South Korean economy.

[Sound bite: President Moon Jae-in (Korean)]
"Our economy and people's livelihoods are facing renewed difficulties from an unexpected factor after showing signs of recovery at the start of the year. The new coronavirus has hindered growth in spending, tourism, culture and leisure activities, holding back people from their daily lives. The virus is expected to negatively affect consumer sentiments and domestic demand on a recovery, further burdening our economy. A quarter of our exports go to China and a third of foreign tourists coming to our nation are Chinese. But factories in China are halting operations, Chinese tourists have stopped coming, and our parts supply chain is being derailed. Difficulties in our exports, tourism and industrial sectors are becoming a reality."

Expressing pity over the current crisis, Moon said it is the government's role to take responsibility for overcoming difficulties and lessening the people's burdens.

[Sound bite: President Moon Jae-in (Korean)]
"In preparation for the worst case scenario of a protracted outbreak, we need to swiftly come up with measures on various fronts to minimize the impact and damage on our economy. The more difficult the problem, the more likely the answer is out there on the ground. And the higher the uncertainty, the more important it is to strengthen communication with the people on the ground. We need to increase communication with local communities, different sectors and businesses while seeking active support. We need to actively address difficulties experienced by local businesses operating in China and bolster financial and market-related support for small and mid-sized exporters. We should also lend a hand in securing parts and materials, diversifying export markets and bringing local firms back to the domestic market."

The president also instructed officials to take the planned fiscal steps and accelerate regulatory reforms, emphasizing the need for the government to carry out its normal duties to ease public anxiety.

During a separate meeting led by First Vice Finance Minister Kim Yong-beom on Tuesday, Kim said volatility is increasing in the global financial market, but stressed it is far from a crisis in the country's real economy.

The vice minister said the government will swiftly take measures to stabilize financial markets in case of increased volatility.
Choi You Sun, KBS World Radio News.