Congratulatory Remarks on the Opening of the 18th National Assembly

My fellow Koreans, the Honorable Speaker of the National Assembly H.E. Mr. Kim Hyung-o, distinguished members of the National Assembly

Along with all the Korean people, I am pleased that the 18th National Assembly has now convened. I extend my sincere congratulations to all the representatives who were chosen by the people.

My congratulation also goes out to the Speaker of the National Assembly H.E. Mr. Kim Hyung-o, who will be leading this Assembly as it carries out its important responsibilities.

The Republic of Korea belongs to the people. The National Assembly represents the noble desires of the people. The voice of the National Assembly is the voice of the people. The potential of the National Assembly is the very potential of the people.

As the President who must defend and promote our democratic Constitution based on representative democracy, I respect the National Assembly.

Politics at its best is one where it serves the people well and eases their concerns while giving them hope for the future. I am sure that there is no difference in this understanding between you, the people’s representatives and myself.

I wish all the members of the National Assembly great success in their devoted legislative activities and have confidence that you will carry out your duties with honor, dignity and dedication.

Expectations for the 18th National Assembly and Its Significance

Fellow citizens, distinguished representatives,

This year marks the historically significant 60th anniversary of the founding of the nation. Exactly 60 years ago, the first National Assembly was convened, and the Constitution of the Republic was promulgated. The Armed Forces of the Republic of Korea were also created in the same year.

The Committee for the Commemoration of the 60th Anniversary of the Republic of Korea has recently defined the past six decades in Korea as the period during which the “most successful modernization revolution” took place, not only in terms of the rich history of Korea but in modern world history since the 18th century.

Over the last 60 years, the Republic of Korea has indeed written anew the history of human progress by tackling and successfully overcoming various challenges. There were obstacles, much pain and numerous suffering along the way but this notwithstanding, Korea has managed to move forward, achieving both industrialization and democratization.

I pay tribute to the Korean people who, with their blood, sweat and tears, have made the Korea of today.

Being conceited or overly-confident is something to be wary of, but we must have self-confidence. There is no reason for us to deny our past when the world is paying keen attention to our development. There is no future for a people who deny their past. A positive and constructive historical perspective is what drives us toward a brighter future.

It is now time for us to prepare for the next 60 years.

The world is in the midst of profound change. The 21st century and our global order is in transition. Globalization and its power to unite as well as to disrupt, the culture shock brought on by the spread of information and the advancement of technology, conflicts surrounding on how to achieve both sustainable growth and environmental protection, the race to secure vital energy resources, eradicating terrorism, unpredictable and frequent natural disasters, the increase in uncertainty are all factors that are making the world seem unstable.

In such an era where major civilizational changes are taking place, in which direction must we go?

We must not choose the path which leads to more danger and decline. Rather, we must seek and choose the path that leads to prosperity and progress. We must seek the path that leads to the way forward that will ensure Korea’s advancement and a place among leaders.  

We must work together to usher in an era where we achieve US$30,000 per capita income, where we upgrade the quality of life by creating a pleasant living and working environment and provide active welfare for the people. With a peaceful and stable Korean Peninsula, the Republic of Korea must stand tall as one of the leading nations inthe world.

There is no “you and me” when it comes to pursuing this calling. There can only be “us.”

They say that among the newly independent countries following the Second World War, there is no country that managed to join the ranks of the advanced nations. A few countries have come close only to fail in the end. That is why the next five years will be crucial for Korea. The next five years will determine whether Korea becomes a member of the select group of advanced countries.

You, the 18th National Assembly, must play the central role in this historic task. The National Assembly must take the lead in pooling the nation’s capabilities on the basis of shared values and vision while engaging in productive competition and cooperation. By doing so, a new chapter in our proud history will be added.

I hope that the halls of this National Assembly, a “Hall of Creativity”, remains lit until late at night where you discuss and debate innovative policies that help improve the lives of our ordinary citizens. I hope that this National Assembly will be become a “Hall of Communication” where shouts and unreasonable demands are replaced by healthy debate, shaking of hands and warm applause to celebrate compromises. I wish to see a “Hall of Unity” where confrontation and friction can no longer be seen.

The Administration will respect the National Assembly as its important partner in running state affairs and take the initiative in putting the politics of dialogue into practice.

Recently, the active participation in politics by the public and the development of the Internet are posing a challenge to representative democracy. Thus, it is incumbent on the Government and the National Assembly to proactively respond to such changing circumstances.

It is my sincere hope that the 18th National Assembly will renew itself so that it gains the public’s trust and affection.

Korea at the Crossroads

My fellow citizens, distinguished representatives,

We are now facing domestic and international challenges.

The external economic conditions are deteriorating more rapidly than expected. The price of oil, food and raw materials are skyrocketing and the global financial markets remain volatile. Our economy’s dependence on foreign markets reaches 70 percent. As a result, we are bearing the brunt of these shocks. 

I understand how difficult it is for the people as consumer prices keep rising and the economy seems to contract more and more.

Amidst these hardships, divisiveness and conflict is worsening. Forces that are bringing apart society is far greater than that of the power to bring people together. Public trust is being undermined and laws and principles are frequently disregarded.

I would like to make it clear here today. Progress and unity are two crucial wheels that will enable the Lee Myung-bak Administration to run state affairs smoothly. Especially when the going is tough, what the Government should do is to draw upon the positive energy from the public while taking better care of the ordinary citizens whose lives are becoming harder.

Without unity, there will be no progress. Likewise, unity will not be possible without progress. The Government and I, myself, are committed to making a new beginning to help the two wheels of progress and unity run forward at full strength.

The recent controversy over U.S. beef taught me many valuable lessons. I was reminded again that government policies can succeed only when it has the backing of the public. And no matter how much time it may take, I was taught that it is paramount to carefully listen to what the public wants. I also reaffirmed my commitment to uphold, at the same time, the principle of the rule of law and maintain social order.

Trust is the greatest asset in this era. Without it, neither businesses nor politics can succeed.

I will focus on winning the public’s trust in running state affairs. I will take a more humble attitude and try to win over the hearts and minds of the people one step at a time.

Economic Management Emphasizing Stability

Fellow citizens, distinguished representatives,

I made the promise that I would revive the economy. I pledged to create more jobs through growth, injecting vitality into the sagging economy. I vowed to make a compassionate society where ordinary citizens and the socially vulnerable can be taken care of. I have never forgotten nor will I forget these promises and I will make good on them.

But, it should be noted that the situation is very difficult now just like rowing a boat against the current of the river. If we leave the economy unattended, it is bound to drift backward in the ferocious current, which was triggered by high oil prices. Now is the time for all of us to pool our efforts and move forward.

I will do my utmost to revive the economy, a task which was entrusted to me.

The top priority will be placed on stabilizing consumer prices. The Government will make sure that the rise in public utility fees, if any, will be minimal in order to relieve the burden of ordinary citizens. In addition, the distribution structure for petroleum goods and agricultural and marine products will be improved, thereby easing the burden on consumers. The Government will gradually get rid of factors in the financial and foreign exchanges markets that are putting upward pressure on prices.

For the socially weak and for ordinary citizens who suffer the most, the Government will work out prudent additional measures. The Government will seek cooperation from the National Assembly to appropriate about 10 trillion won of the net surplus in last year’s budget for the stabilization of the everyday lives of ordinary citizens. The surplus will also be used to support the owners of small-scale businesses, farmers, fishermen and livestock raisers.

Under these circumstances, businesses have to expand investments and work hard to create as many jobs as possible. A lot of small andmedium-sized companies have already participated in a campaign aimed at creating at least one job per company. For their part, conglomerates have already announced an increase of total investments by 55 trillion won in the second half of the year. Their efforts deserve appreciation. I am convinced that these efforts from various sectors will no doubt be translated into economic recovery by late next year.

The stability of the real estate market will not be agitated at all. However, transactions in the market, especially in provincial areas, have been seriously contracting. Against this backdrop, it is necessary to revitalize sluggish transactions and pursue normalization of the functions of the market to the point where stability in the prices of real estate is not undermined.

We Have To Usher In an Era of Green Growth 

Short-term measures alone will not go far towards reviving the sagging economy.

I have just returned from the Group of Eight Summit meeting that was held in Toyako, Japan for two days on the 8th and 9th of July. The primary interest at this international gathering was high oil prices and the issue of climate change.

High oil prices and climate change demand a paradigm shift in the structure of the nation’s industry and our overall lifestyles.

Japan also underwent the oil shocks in the 1970s as we did. However, the country was quick to transform the framework of its energy policy. As a result, the nation was able to continue economic growth while cutting its dependence on oil by as much as 20 percent. Furthermore, it has boosted its energy self-sufficiency rate to 20 percent.

However, Korea’s energy structure remains almost the same as in the past. The country’s energy self-sufficiency rate stands at a meager 4.2 percent, and our energy efficiency is a third of that of Japan. It is the result of our lack of preparation for the future; we were only thinking of how to tackle short-term problems.

Responses to climate change are also very urgent and significant. We have to see as far as possible and take measures over the long haul. In addition, we need to take the initiative in the joint efforts by the global community.

What we have to pursue is sustainable growth while consuming less oil and emitting less carbon. We have to open an era of green growth under which greenhouse gas emissions are reduced without hindering economic growth. To this end, businesses are required to revamp so that they will become highly efficient and environment friendly.

Development of technologies for the improvement of energy efficiency will create new markets and jobs, thereby serving as a new engine of growth. In order to systematically support this move, the Government will enact a framework act on climate change.

For their part, citizens will have to practice frugality in their everyday lives by saving even a single drop of oil. They are well advised to do everything possible, including more use of public transportation and reducing electricity consumption.

Since the inauguration of my Administration, I have continuously emphasized the importance of resource diplomacy. We are already witnessing tangible results such as the joint development of gas reserves in Central Asia that we will be able to use for over 100 years. 

The Government will establish an energy infrastructure taking into consideration the next 50 or even 100 years. The energy self-sufficiency rate will be increased to about 20 percent. In addition, the Government will pavethe way for the establishment of a highly efficient energy system to move toward a low-carbon society.

For countries like Korea which do not have sufficient natural resources, science and technology constitute the very foundation for existence and prosperity. Creative science and technology is a core engine for economic growth in the 21st century. The Government will increase investments in basic science and original technology to reach the level of those of advanced countries.

Regulatory Reforms, Advancement of State-invested Corporations and the Korea-U.S. FTA

Regulatory reform and improving the performance of the state-owned enterprises are a prerequisite if the nation is to join the ranks of advanced countries. The Government will push ahead with these reforms. We will diligently prepare for and unswervingly carry out our stated objectives.

Deregulation is one of the best ways to increase investments and create jobs without incurring expenses. The new Administration has already come up with a deregulation blueprint. Guided by thorough on-site inspections, the Government will remove regulations hindering investments as early as possible. Any regulations failing to meet global standards or that are outdated will be decisively abolished.

We cannot afford to put off the advancement of the public sector any longer. For the operation of state-owned enterprises, about 20 trillion won of taxes is being used annually. A majority of the people are calling for reform. Functions which can be carried out more efficiently by the private sector should be transferred to it. 

It is also necessary to improve the management efficiency of sectors that cannot be handed over to the private sector, including electricity, water supply and health insurance. The qualityof these services must be upgraded.

I have a principle concerning personnel management: No one should be laid off when the economic situation is bad. The Government will pursue improvements in management efficiency taking fully into account job security. 

Distinguished legislators,

Regulatory reforms and improving performance and efficiency of state-owned enterprises cannot be done without the support of you, the lawmakers, and the public. About 200 bills concerning deregulation will be submitted to the National Assembly and will come before you. I ask for your active cooperation in enacting those bills at the earliest possible date.

I beseech all lawmakers present here for your cooperation. Opportunities always present themselves disguised as crisis. The very opportunity that we should not miss is the Korea-U.S. FTA which will boost the nation’s economy. I urge all of you to ratify the Korea-U.S. FTA as soon as possible. We must put the nation’s interest before anything else.

Endeavors for Social Integration

Fellow citizens and lawmakers,

Social integration is a must in building a country where one is able to pursue a life of happiness and well-being. We must reduce the gap between different classes and address regional imbalances.

Welfare policies for ordinary citizens and the socially vulnerable will not take a backseat because of the difficult economic situation. Instead, the Government will strengthen the social safety net for the most vulnerable and help them earn a living for themselves. In addition, medical support for low-income families will be increased and customized childcare services expanded. The long-term care and insurance policy forthe elderly enacted this year will be faithfully carried out. Under the New Start 2008 Project, a measure has been put in place to bail out 1.28 million people from financial trouble. We will implement various additional measures that will help 7.8 million financial delinquents.

In the absence of harmony between labor and management, it is impossible to break the current economic deadlock. Efforts to promote mutual prosperity between labor and management are spreading as demonstrated by the fact that the number of declarations of labor-management unity in the first half of this year has more than doubled over the same period last year. We need to strengthen this momentum to establish new labor-management relations.

I am well aware of the difficulties facing non-regular workers. The controversial Contractual and Part-time Worker Protection Act will be complemented and amended after taking into consideration the opinions ofboth labor and management.

The biggest problems that worry both students and parents are costs for private education and educational gaps. Especially troubled are the low-income families that cannot afford various tuitions.

It is my firm belief that no one should be excluded from education because of financial constraints. The Government will lay a firm foundation so that through education, people will be freed from the vicious cycle of poverty.

In order to reduce the need for after-school private education, public schools must be revitalized. Public schools will be encouraged to develop itself by giving them autonomy and in turn, they must be creative. The Government already took measures to ensure autonomy for college admission policies, and the first phase programs are now in place for giving autonomy to elementary and secondary schools.

Educational autonomy and creative education is not intended to widen the educational gap. On the contrary, it aims at offering fair and diverse opportunities to everyone and developing individual talent and unique skills. In this way, our children will grow into talented individuals in their respective fields in this age of globalization.

Members of the National Assembly,

The people’s concern about food safety is profound. So the Government will approach food safety from the standpoint of “national health security.” 

In order to thoroughly assure food safety, the Government will establish a national health organization under the Prime Minister to be comprised of people from non-governmental sectors.

Meanwhile, the new Administration has a firm belief that development of provincial areas is the mainstay of national economic recovery efforts. Regional development will be carried out in such a way that externally, local areas will respond proactively to globalization and that internally, development will promote decentralization.

The Government will try to sharpen the competitive edge of both Seoul and provincial areas simultaneously so that every region will achieve unique specialized development. Also, the Government will encourage the formation of inter-regional economic spheres so that each region will maximize its growth potential.

At the same time, innovative cities and enterprise cities will be nurtured in a unique way so that they will serve as hubs of regional development. The International Science and Business Belt and the Saeman-geum Reclamation and other projects will be carried out vigorously as part of our strategic regional initiatives.

The Central Government will boldlytransfer power to provincial governments in an effort to realize local autonomy in name and substance and to shore up local economies. The Central Government will also transfer special organizations in provincial areas to the local governments while the fiscal autonomy of local governments will be enhanced. Local tax laws will be revised in such a way that provincial governments will reap the fruit of regional economic activities in the form of increased local revenues.

Intensive support will be given by the Government to those regions that work the hardest to help themselves and cooperate with other regions.

Toward a Trusted Society With Greater Civic Consciousness

Distinguished members of the legislature,

Our society seems to be lacking in mutual trust, which is one of the most important intangible social assets.

Where there is a dearth of law and order, trust would be hard to come by. The Government will establish a firm principle that more and more freedom and rights will be accorded only to those who respect the law.

An advanced society is characterized by the dominance of rationality and civic virtues. A society rampant with excessive emotional behavior, disorderliness and rudeness cannot be called an advanced society by any measure.

In this connection, we have to guard against “infodemics,” a phenomenon in which inaccurate, false information is disseminated, prompting social unrest that spread like epidemics. 

It is about time we began to firmly respect and understand each other better and extend generosity and thoughtfulness to other people. Generosity and thoughtfulness are instrumental to overcoming the age of confrontation and divisivenessand forging ahead with the age of harmony and partnership.

Advancement in civic consciousness will not be accomplished by Government effort alone. All the people, including those in business, religion and education, should work together. I expect the National Assembly to spearhead this movement to advance civic consciousness so that its impact will be felt in every corner of our society.

For Coexistence and Coprosperity

Fellow Koreans and members of the National Assembly,

I would like to make myself very clear. The highest priority of my Administration’s North Korea policy is to ensure the denuclearization of North Korea and in tandem, we will seek mutual benefit and co-prosperity of the two Koreas.

In the interest of genuine reconciliation and cooperation on the Korean Peninsula, it isessential that the North Korean nuclear issue be first resolved.

Recently, North Korea submitted a declaration regarding its nuclear programs, and the Six-Party Talks have resumed. As such, we are making important and substantive progress in the denuclearization process. The Korean Government, along with all the other participants in the Six-Party Talks, will continue to do all it can to achieve complete denuclearization.

As the denuclearization process progresses, substantial cooperation between the two Koreas will be rejuvenated. This will, in turn, open an age of the Korean Peninsula, with both parts of the country thriving together.

I hereby make the following proposals to North Korea.

Full dialogue between the two Koreas must resume.

The South Korean Government is willing to engage in serious consultations on how to implement the inter-Korean agreements made so far, including the July 4 Joint Communiqué, the Basic Agreement between the South and North, the Joint Declaration of the Denuclearization of the Korean Peninsula, South-North Joint Declaration of June 15, 2000 and the October 4, 2007 Summit Declaration between the leaders of the two Koreas.

At the same time, I propose engaging in inter-Korean humanitarian cooperation.

From a humanitarian and fraternal standpoint, the Korean Government is ready to cooperate in efforts to help relieve the food shortage in the North as well as alleviate the pain of the North Korean people. The issues involving South Korean POWs, separated families and South Korean abductees should be resolved as well.

The South Korean POWs and the members of the first generation of separated families are now in their 70s and 80s. Therefore, it is the obligation of both Koreas to allow them to travel between the two sides. These people should be allowed to meet with their long-separated family members and return to their hometowns. This is a moral obligation.

In inter-Korean relations, we need a new thinking and a new direction. Based on the spirit of mutual benefit, we must move from an “age of declarations” to an “age of implementation.”

Inter-Korean relations should transcend changeovers in administrations and be pursued from a future-oriented perspective for all the Korean people. The Administration will carry out unification policies keeping all these things in mind and on the basis of bipartisan cooperation and with the support and consensus of the public.

Conclusion

Fellow citizens,

We are now faced with a very difficult situation internally and externally. We cannot do much about the problems stemming from the outside as all countries are experiencing similar problems. But we can do something about domestic problems.

Only when we reduce our domestic troubles can we overcome the external problems. We have the experience of overcoming problems that were far more intense. If we all unite, the external problems would not be so fearful.

I believe in the limitless potential of the Korean people. I have complete confidence in our nation’s enormous possibilities.

The 18th National Assembly opens at a very critical time historically when the Republic stands at the threshold of becoming an advanced country. The terms of office of this National Assembly and my presidency nearly coincide.

Looking back, Korean politics has undergone numerous conflicts. But in times of crisis, we became one. Let us join forces and wade through these historic high waters together.

As we open another 60 years in the history of the Republic, let us march together and make an Administration that does its job with excellence as well as a legislature that serves the people with utmost respect.

Thank you very much.