Koo Yun-cheol, the Deputy Prime Minister and Minister of Economy and Finance, presented growth strategies focused on investments in artificial intelligence (AI) and domestic market stimulation during the G20 finance ministers and central bank governors meeting. He emphasized the need for both surplus and deficit countries to collaborate on policy responses to reduce global imbalances and called for fair burden-sharing among creditors and transparency in debt data regarding the global debt issue.
According to the Ministry of Economy and Finance, Koo attended the second G20 finance ministers and central bank governors meeting held in Asheville, North Carolina, from August 31 to September 1, 2026. The discussions covered global economic conditions, growth policies, current account imbalances between nations, debt in developing countries, financial literacy and fraud, and innovations in the financial sector.
During the global economy session, Koo noted that despite the prolonged conflict in the Middle East, the South Korean economy continues to grow steadily. He stated that the country is responding to the post-war economic environment by promoting investments in future industries like AI and stabilizing supply chains.
In the growth policy session, Koo outlined the government's growth strategy, which includes three major mega-projects aimed at fostering AI as a new growth engine and policies for transitioning existing key industries to AI. He also mentioned plans to expand investments in strategic industries through initiatives like the National Growth Fund, along with support for youth and small businesses, and structural reforms to enhance medium- to long-term growth potential.
Regarding the global debt issue, Koo stressed the importance of equitable burden-sharing among creditors and the need for comprehensive disclosure of debt-related data. He also urged debtor countries to enhance their domestic resource mobilization capabilities and pursue structural reforms to address the root causes of debt vulnerability.
In the global imbalance session, Koo took the lead in discussions as a representative of the G20 Global Imbalance Study Group, co-chaired by South Korea and Australia. He highlighted the necessity of analyzing the impact of industrial structural changes, including AI, on imbalances between countries. Koo reiterated that both surplus and deficit countries must take policy actions to alleviate these imbalances.
As part of South Korea's policy direction, he proposed stimulating domestic demand and increasing domestic investment, particularly through the three mega-projects to bolster the growth foundation. The G20 chair's statement from the United States also noted that countries with excessive and persistent external surpluses should reduce factors that constrain domestic consumption, while deficit countries should work on increasing domestic savings and fiscal consolidation.
The G20 acknowledged that maintaining growth in the global economy requires smooth operation of key supply chains, including energy, food, fertilizers, and critical minerals. It identified supply chain disruptions due to war and geopolitical conflicts as major risks and urged countries to refrain from unnecessary export restrictions. The potential of AI and digital infrastructure investments to enhance productivity was also recognized.
During the meeting, Koo held bilateral discussions with finance ministers from major countries, including the United States, the United Kingdom, France, Italy, India, and Qatar. He discussed recent economic and financial market trends and cooperation strategies with the U.S., and agreed to strengthen collaboration with the U.K. during its G20 presidency in 2027 and South Korea's in 2028. Koo proposed hosting the Korea-India finance ministers' meeting in South Korea in the second half of this year.
With Qatar, he discussed energy supply chains and infrastructure cooperation, as well as expanding local business participation by South Korean companies and collaboration in AI and digital sectors. In meetings with the EU, he exchanged views on geopolitical issues, including Ukraine, and global imbalances.
Koo stated, "We will enhance our growth potential through investments in future industries like AI, stabilize supply chains, and play a responsible role in alleviating global imbalances."
* This article has been translated by AI.
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