President Lee Jae-myung on Sunday ordered the swift execution of a 100 trillion won ($70 billion) market stabilization program to stabilize capital markets amid growing volatility triggered by the Middle East crisis.
At an emergency cabinet meeting held at the Blue House, Lee said, "As the Middle East crisis intensifies, the global economy and security are deteriorating, and financial markets worldwide face uncertainty." He added, "Difficulties are expected across the economy, industry, and public welfare due to energy supply concerns and export-import instability."
"We can turn this into a good opportunity, like resting after a fall," Lee said. "Based on a serious assessment of the situation, we must swiftly and meticulously implement countermeasures."
The president cited the stock market stabilization program as a key response to volatility in equities and foreign exchange markets. He also called for accelerating capital market stabilization and structural improvements.
Lee emphasized a zero-tolerance approach to market manipulation, stating, "Block fake news and market-disrupting criminal activities. Those who seek to profit by creating chaos in the national economy must be held strictly accountable under a zero-tolerance principle."
The president stressed the need for special attention to energy supply and price instability affecting public welfare, industry, and the broader economy. He directed officials to "quickly establish emergency supply stabilization measures for crude oil, gas, and naphtha, along with medium- to long-term plans to diversify import sources."
Lee specifically criticized the recent surge in fuel prices. "There has been no objectively serious disruption to fuel supply yet, but gasoline and fuel prices have suddenly skyrocketed, with prices changing morning, noon, and night, rising nearly 200 won per liter," he said. "I want you to discuss specific sanctions measures," signaling strong determination to stabilize markets.
The president also called for policy financing support for companies highly dependent on Middle East exports and industries such as shipping to minimize the impact on the real economy.
"Although the international situation is quite unstable, the Republic of Korea has wisely overcome even greater challenges," Lee said.
Above all, Lee emphasized citizen safety as the top priority. "Identify our citizens staying in the Middle East—including expatriates, business travelers, students, and tourists—and prepare multiple layers of emergency evacuation measures," he said. "Mobilize all possible means, including chartered flights and ground transportation, to ensure safe evacuation in coordination with allied nations."