Seoul Mayor Oh Se-hoon criticized the government's capital market policies and long-term debt relief measures on July 17, claiming they create a society where only diligent young people suffer.
In a Facebook post titled 'A Government Encouraging Youth to Slacken Off,' Oh stated, 'The government sends a wrong signal that working hard leads to losses.' He pointed out that the government is treating the capital market like a gambling den while sending the message that debts do not need to be repaid.
He referenced the recent activation of sidecars and circuit breakers in the KOSPI market, arguing, 'There are no external shocks like a global financial crisis or COVID-19, yet the capital market is experiencing extreme volatility.'
Oh also criticized the government's handling of single-stock leveraged ETFs, saying, 'The government has effectively neglected the risks, and only after young people suffered significant losses did it begin to strengthen regulations, such as raising deposit requirements. This is not policy; it is a remedy after the fact.'
Regarding the long-term debt relief policy, he remarked, 'Diligent young people who have been repaying their debts feel relative deprivation, while the message sent is that if you fall behind, you can eventually receive relief.' He emphasized, 'We must not create a country where honest people suffer.'
Oh connected the capital market to the real estate market, stating, 'The rise in the KOSPI, which the government boasted about, ultimately led to excessive speculation, and the liquidity that escaped from it is now stimulating the real estate market in Seoul and the surrounding areas.' He argued that young people are facing a double burden of losing assets in the stock market while having to cope with rising housing prices.
He concluded, 'A country that robs young people of healthy asset formation opportunities has no future,' calling for a comprehensive audit of the approval process for risky derivative products and fundamental measures to normalize the capital market.
Oh pledged, 'The Seoul city government will do everything possible to restore the broken asset ladder for young people and create fair opportunities.'
* This article has been translated by AI.
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