South Korea forms special body to respond to Middle East economic impacts
Seoul (ANTARA) - South Korea’s presidential administration will form a special body to respond quickly to the economic impacts resulting from the conflict in the Middle East, said Senior Presidential Secretary for Political Affairs, Hong Ik-pyo, on Wednesday.
“Under the jurisdiction of the ‘Emergency Economic Situation Review Meeting’ chaired by the president, the ‘Emergency Economic Situation Centre’ will be formed, led by the presidential chief of staff,” Hong said.
This structure will be responsible for quickly monitoring domestic and international conditions and will coordinate with the inter-agency Emergency Economic Task Force led by the prime minister, where ministries and agencies will address economic risks, he said.
The body will oversee five working groups, such as macroeconomics and prices, energy supply, financial stability, public welfare, and monitoring of foreign situations, with each group led by one of the president’s senior secretaries.
“The presidential administration and the government are making every effort to minimise losses to the public,” he said.
On 28 February, the United States and Israel launched attacks on targets in Iran, including in Tehran, causing damage and civilian casualties. Iran then carried out a retaliatory action by attacking Israeli territory and US military facilities in the Middle East.
The escalation surrounding Iran has led to a de facto blockade of the Strait of Hormuz, the main route for shipping oil and liquefied natural gas from Persian Gulf countries to global markets, and has also impacted export levels and oil production in the region, thereby causing a surge in prices.
South Korean authorities plan to routinely inform the public of the latest developments, with briefings expected to be held about once a week or more frequently if necessary.
President Lee Jae-myung has instructed the government to proactively activate the emergency response system and prepare measures to protect the economy and public welfare amid global energy market instability.