Park Hong-geun "Future Response Fund, a structure that continues to accumulate... nothing to do with the government"

Comprehensive audit by the National Assembly Finance Committee… “The purpose of establishment is different from that of a sovereign wealth fund.”

(Sejong = Yonhap News) Reporter Song Jeong-eun = Minister of Planning and Budget Park Hong-geun said on the 23rd about the Future Response Fund, "It is a structure that continuously accumulates," and "(Tax revenue) sometimes comes in a lot and sometimes it comes in little."

Minister Park responded as follows to a question from Rep. Kang Min-guk of the People's Power Party on how to raise funds to continue the project if tax revenue decreases due to the worsening semiconductor economy during the comprehensive audit of the National Assembly's Finance and Economic Planning Committee on this day.

When asked, "Do you think the fund will continue to be needed even if the government changes?" Minister Park emphasized, "It is done regardless of the government."

Minister Park explained that the Future Response Fund was created on his own initiative by the Planning Ministry.

At the National Assembly audit on this day, the sustainability of tax revenues, which will be the source of funds for the fund, came up on the chopping block.

The Korea Institute of Public Finance announced the previous day that, based on the current trend calculation of the Future Response Fund, there are concerns that the accumulated amount will plummet by about 100 trillion won in 2028, so institutional supplementation is needed using a three-year average method that corrects for the growth rate.

In response to Rep. Kim Tae-nyeon of the Democratic Party of Korea who said that future investment and financial stability should be supported by a sovereign wealth fund, Minister Park said, “The purpose of the future response fund and the purpose of establishing a sovereign wealth fund are different.”

Minister Park said, "The Future Response Fund is not a fund established with the concept of creating national wealth by managing surplus funds. It was established as a financial stabilization device and strategic investment aspect."

He also said, "I think this is an issue that is entirely consistent with our local finance project," regarding the project to support relocation of public institutions and central administrative agencies allocated to the Future Response Fund.