Kim Eun-hye, Deputy Spokesperson for the President, made the following remarks in a briefing this afternoon.

President Lee Myung-bak met with Professor Heizo Takenaka of Keio University this afternoon for 30 minutes from two o’clock. Professor Takenaka served as Minister of Economic and Fiscal Policy, Minister of Finance and Minister of Internal Affairs and Communications in the cabinet of former Prime Minister Junichiro Koizumi. He also took the lead in privatizing the Japan Post and advancing other public sectors in Japan.

At the meeting, President Lee said, “About 20 trillion won is funneled annually to shore up state-invested corporations in Korea. Admittedly, some of them perform better than companies in the private sector. But, I intend to work to upgrade public corporations by setting priorities. Many of their functions should be merged, and it would be better to put some of them under private management.” He added, “If we put off reforms just because conditions are hard to endure now, we will lose national competitiveness and there will be no future.”

In response, Professor Takenaka said, “I believe that what you said points in the right direction. It is important to set proper policy priorities. The Japanese Government addressed the issue of snowballing non-performing loans first, and then it proceeded to privatize the Japan Post. Reforms inevitably generate controversy.”

“In the case of the Japan Post, we made all the discussions public, thus letting the public know which officials were in charge of which tasks. This opening to the public played a great role in averting controversies,” the professor explained.

Afterwards, President Lee and Professor Takenaka exchanged views on the issues of climate change and energy.

President Lee said, “In this time of high oil prices, Japan seems to be well equipped with the world’s best technological capabilities and competitiveness to deal with climate change. If we fail to come up with relevant countermeasures in advance, we are concerned that the cost to the nation would be heavy. I urge you to work closely together with us so that Korea and Japan will be able to share technologies related to climate change. By doing so, Korea will be able to play the role of a bridge between developed and developing countries in addressing environmental problems.”

Professor Takenaka responded saying, “I support Korea’s strong commitment to playing an active role in addressing environmental issues. I will provide assistance to Korea to the best of my capacity.”

In the meantime, Cheong Wa Dae today launched the Global Advisory Group for President Lee Myung-bak made up of world-renowned personages, including Microsoft Chairman Bill Gates, French scholar Guy Sorman and former Harvard University president Lawrence Summers. The Global Advisory Group was inaugurated to mark the 60th anniversary of nation’s foundation.

The number of Global Advisors to date is 15. They will advise the President on such diverse issues as future strategies, climate change, energy, promotion of the state brand and strategies for the advancement of the nation.

President Lee has already met some of the advisors in person, including Bill Gates, Professor Sorman and Klaus Schwab, chairman of the World Economic Forum.

The President maintains communication with all the advisors through e-mail and the telephone. The Government expects that the prominent figures ranging from former government heads to innovative business and academic leaders will play a diplomatic role helping to promote Korea as well.

The Government anticipates a few other international figures will join the President’s advisory committee, making the total about 20. The Government plans to invite them to the World Leaders Forum in October as part of the programs to celebrate the 60th anniversary of the Republic.