Distinguished finance ministers from 43 Asia-Europe Meeting member countries, commissioners of the European Commission and representatives from many other international organizations,
 

I wholeheartedly congratulate you on the 8th ASEM Finance Ministers’ Meeting today. On behalf of the Korean people, I extend to all of you my heartfelt welcome to this beautiful island of Jeju.
 

It is especially significant that the ASEM ministerial meeting is being held in Korea for the first time since the initiation of ASEM in 1996.

ASEM was launched as an informal forum for dialogue with the aim of strengthening the relationship between Asia and Europe. The ASEM process is now entering into a more mature stage on the strength of efforts by all the participants.

I am deeply grateful to ASEM for its brilliant performance as a bridge between Asia and Europe in various areas, including politics, the economy, society and culture. I highly value the efforts it has made so far.

In particular, I expect that the Finance Ministers’ Meeting this time will serve as the cornerstone for the success of the 7th ASEM Summit to be held in Beijing in October.

 
Distinguished guests from home and abroad,

The Korean people and I convey our profound sympathy to the people in Myanmar and China, who suffered countless casualties and property damage stemming from the deadliest cyclone and earthquake.

During my state visit to China last May,I visited the devastating earthquake site in Sichuan province in person to extend my condolences to the victims. From there, I was able to witness how closely the Chinese Government and people worked together to recover from the destruction.

 
Another severe earthquake hit Japan two days ago and caused many casualties. Abnormal weather conditions and natural disasters have occurred more often than usual and the scale of damage has drastically increased. As we have brought on climate change ourselves, we have to strive to prevent calamities in the future with our own efforts.
 

Climate change is a global problem, indeed. Thus, among other things, self-restraint by peoples around the world as well as international cooperation and coordination are essential to cope with this problem.

I hope the participants in this meeting will engage in constructive discussion on climate change and exhibit the wisdom to come up with more concrete and practical alternatives.
 

Distinguished guests,
 

The global economy is now gliding into a turbulent era leaving the boom of the past decade behind. Instability in the global financial market has spread to the real economy, thus putting a damper on world economic growth.
 

Coupled with a steep hike in the price of oil, food and raw materials, it is now no exaggeration to say that the global economy is faced with the most serious crisis since the oil shocks of the 1970s. Some Asian countries are witnessing signs of a food crisis.
 

Though each country has their own unique conditions, it is indispensable for countries to share a common understanding about the difficulties of this global crisis and to strengthen policy cooperation. In order to effectively cope with common but precarious external factors, a much higher level of the regional economic and financial collaboration is required now than ever before.
 

Having experienced the 1997 Asian financial crisis, countries in this part of the globe comprehend the significance of regional cooperation better than most other countries.
 

However, the efforts to bolster regional collaboration should not be translated into discrimination against other regions in the world. Instead, what should be further promoted is open regionalism through which mutual interests and collaboration are enhanced between regional cooperative bodies in other parts of the globe. I hope this gathering will serve as a platform for countries from Asia and Europe to work together to reinforce economic policy cooperation.

Distinguished ladies and gentlemen,
 

The Republic of Korea was once one of the most impoverished nations in the world. However, it has now risen to one of the top dozen leading economic powerhouses over the span of just half a century. Building upon this unprecedented, remarkable success in industrialization, the Republic has now set sail toward the establishment of an advanced nation standing tall in the global arena.
 

Now, I am in the process of mapping out a brand new system for economic development keeping abreast with the times for the sake of a leap forward for the Republic. First and foremost, the Korean Government is committed to overhauling the legal and other systems to meet global standards, thereby fostering a business-friendly environment. In particular, undue regulations will be eliminated and high tax rates lowered.
 

In the past, it usually took at least two years to create an industrial complex. However, the period will be cut to less than six months. In addition, we are now planning to lower the corporate tax rate to 20 percent, down from the current 25 percent.  
 

All these measures should allow non-Koreans to invest in Korea without any inconvenience or worry. Foreign residents in Korea will be offered a comfortable and pleasant living environment as well.

In addition, the Republic will expand FTAs in its effort to expedite market opening and economic cooperation. The Korea-U.S. FTA is pending ratification in the legislatures of the two countries. The country will work expeditiously to conclude FTAs at an early date with five other countries, including the EU.

Distinguished ladies and gentlemen,

I have to recognize the fact that you as well as the governments, businesses and people of your countries were instrumental in bringing about the rapid economic development described as the “Miracle of the Han River.” Korea will never forget the cooperation and support you have extended us. The Korean Government will continue to increase its contributions to the international community befitting its economic size now ranked among a dozen leaders.

 
Contributions to the international financial institutions will also be expanded. The Republic will help bolster efficiency of development funds and participate in the execution of common global tasks. The country will actively share its economic development experiences with developing nations by introducing them to Korea’s New Village Movement. My Administration will also appropriate more and more Official Development Assistance to other countries.

 
I would like to call your attention to Korea’s pledge in the 8th ASEM Foreign Ministers’ Meeting in May last year: the Republic will be extending US$3.5 billion in cooperative funds to be used for social infrastructure development in the newly emerging nations.

 
Distinguished delegates,

 
I would like to introduce a Korean saying, “Cheolli Birin,” which can be roughly translated, “It’s not the physical distance but the closeness of heart that creates neighbors.” Asia and Europe are physically far apart. But when we open our minds and try to widen mutual understanding and cooperation proactively, we will become close neighbors.

 
I expect that this Ministers’ meeting will serve as an occasion to narrow the distance between the two regions. There is no doubt in my mind that it will reap abundant practical results on the many international issues that can be implemented without too much difficulty.

 
Once again, I wholeheartedly welcome you to Korea and hope that you will be able to see the dynamism of the Korean economy. I also hope that you will spread good words about the beauty of Jeju Island.

 
Thank you very much.