Jin Nyum: Gov¡¯t to take limited measures to stimulate economy next year

The government will not resort to large-scale pump-priming measures to stimulate the declining economy but will take limited steps to stabilize consumer and investor sentiment next year, Finance-Economy Minister Jin Nyum said Wednesday.

Jin said the government would unveil a package of economic policy plans early next year that will include specific measures to stabilize the securities market, invigorate local economies and promote facility investment and technology development.

In his regular monthly meeting with reporters, the minister noted that excessive complacency on the economy is dangerous but that unnecessarily depressed consumption and investment are also undesirable. He said the government would announce measures to boost the sentiment.

According to Jin, the ministry is reviewing an array of management-reform measures for small- and medium-sized enterprises on a governmental level, such as the linkage with the information technology (IT) sector, in order to improve their credit ratings to the level of easy financing.

The Minister projected that the current economic difficulties would continue through the first half of next year but rebound from the second half.

Kwon Soon-Hwal shkwon@donga.com