What Lee Jae-myung and Kim Moon-soo need in the presidential race

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What Lee Jae-myung and Kim Moon-soo need in the presidential race

Published: 20 May. 2025, 00:01 Updated: 21 May. 2025, 14:19

Audio report: written by reporters, read by AI

Koh Hyun-kohn

The author is the executive editor of the JoongAng Ilbo.

With Korea’s June 3 presidential election fast approaching, it remains unclear what direction the country will take afterward. There has been little time for either candidate to prepare adequately. Without a formal transition team process, campaign pledges have become more important than ever.

Lee Jae-myung of the Democratic Party has made economic growth and becoming an economic powerhouse his top policy priorities. His emphasis on growth, rare for a progressive candidate, deserves recognition. However, his proposed method — growth fueled by fiscal spending — differs from the traditional approach of empowering the private sector and boosting market vitality. With Korea mired in sub-one-percent growth, many question whether this approach will bring meaningful change.

From left: presidential candidates Lee Jae-myung of the Democratic Party, Kim Moon-soo of the People Power Party and Lee Jun-seok of the Reform Party. [YONHAP]

Kim Moon-soo, the People Power Party candidate, has released a platform that largely mirrors the policies of the Yoon Suk Yeol administration, many of which were blocked by the opposition during his term. The proposals feel like a continuation of Yoon’s presidency rather than a fresh start.

Both candidates have failed to resist the pull of populism. Their pledges are riddled with generous giveaways. Lee has promised to raise the standard deduction on earned income tax from 1.5 million won ($1,080) to 2 million won annually. Kim countered by pledging to raise it to 3 million won. Raising it to 2 million won alone would cut annual tax revenue by 5 trillion won. As growth stalls and household budgets tighten, demands for tax cuts are mounting. Income tax, inheritance tax, property-related taxes and corporate taxes all have arguments for reduction, but blanket cuts are not a responsible solution.

A comprehensive, cautious review is necessary. What reforms are most urgent? What is the current fiscal state? These are the questions responsible leadership must answer.

Lee Jae-myung, a presidential candidate from the liberal Democratic Party, speaks during his campaign in North Jeolla on May 16. [NEWS1]

The fiscal crisis is already looming. Korea’s national debt-to-GDP ratio is projected to reach 54.5 percent this year, up sharply from 39.1 percent in 2016. Successive administrations — Moon Jae-in’s and Yoon Suk Yeol’s — have accelerated spending. The Moon government became notorious for unchecked expenditures, while the Yoon administration posted nearly 100 trillion won in annual deficits. In the last presidential race, campaign promises from Yoon and Lee carried estimated costs of 266 trillion and 300 trillion won, respectively. That race was tight, which may explain the policy bidding war. But today’s economic and fiscal context is different — yet similar patterns are emerging.

Lee’s pledges, including expanding child allowances and subsidizing caregiving expenses, could cost more than 100 trillion won. Kim’s proposed tax cuts would slash 70 trillion won in revenue over five years. Under normal conditions, both candidates should present clear funding sources for these promises and let voters evaluate them accordingly. That is the hallmark of accountable leadership. Otherwise, short-term handouts will turn into long-term debt burdens, repeating the economic missteps of several Latin American countries.

Voters are already fatigued from eight years of ideological gridlock. Under the Moon and Yoon administrations, polarization intensified. The middle class and working families saw their livelihoods erode, while ideological elites on both sides maintained their grip on power and privilege. Whoever wins this election must differentiate themselves from the failures of their predecessors. That should be the foundation for tackling today’s challenges.

Though Lee shares a progressive background with the Moon administration, his policy views differ in key areas. However, he has hesitated to draw clear distinctions. It appears he is trying to avoid alienating pro-Moon supporters before the election. He has not taken a firm stance on contentious issues such as the steep minimum wage hikes, income-led growth, or expanding the public sector under Moon. On nuclear energy, he vaguely stated, “We should use nuclear power but transition toward renewables.” If he seeks genuine national unity, he must declare that “Moon-era policies failed due to excessive ideological leanings, and I will not repeat them.” Only then will his claim that “livelihoods matter more than ideology” carry real weight.

Lee is currently focused on avoiding missteps rather than articulating bold visions. He has even avoided media interviews. Sensitive topics are often met with ambiguity or contradictory positions. This results in an incoherent policy direction. His platform includes both pro-business and pro-labor elements, which conflict. He told business leaders that “companies are central to economic revival,” while also pledging to revive the controversial “yellow envelope law,” which shields illegal strikes from corporate liability. He also supports a tougher commercial law reform. Is he pro-business or pro-labor? The business community is left unsure — and anxious.

People Power Party presidential candidate Kim Moon-soo announces his economic pledges under the slogan "Rebuilding the Economy—Renewing Korea" at the party's headquarters in Yeouido, Seoul, on May 18. [JOINT PRESS CORPS]

On health care reform, he merely said he would “rationalize the number of medical school admissions,” without providing figures or timelines. He proposed a public forum instead, signaling a desire to avoid provoking doctors before the election. Notably, he omitted his signature policy of basic income from his pledges. Voters have no way of knowing whether he will pursue it if elected. One senior Democratic Party figure even stated, “An election isn’t about the candidate revealing everything. Policies come after you win.” Such statements undermine the very purpose of democratic choice. As the current front-runner in polls, Lee must show more leadership by engaging publicly and clearly stating his positions.

Kim Moon-soo faces an even steeper climb. His policy vision remains unclear. Being “anti-Lee Jae-myung” cannot be a platform. If he positions himself as merely extending the failed Yoon presidency, the public will not accept it. His apology over the martial law controversy came too late. His campaign is staffed primarily by pro-Yoon loyalists focused on internal politics. The campaign even appointed former Defense Minister Chung Ho-yong, who led the crackdown during the May 18 Gwangju Democratic Uprising, as an adviser before quickly reversing the decision. It was a tone-deaf move.

While his opponent expands his reach to the center, Kim remains stuck within the far right. Unless he sheds this hard-line image, he will alienate moderates and mainstream conservatives alike.

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.

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What Lee Jae-myung and Kim Moon-soo need in the presidential race

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