on-going plans by presidential transition committee

The presidential transition committee announced to abolish the cap on chaebol’s cross-investment in affiliates because it is “an obstacle to boosting investment and no similar regulation exists in developed countries.” It also makes it easier for firms to establish holding companies by lifting regulations under which only firms with a debt-to-equity ratio of below 200 per cent and a less than 5 per cent stake in non-affiliates have been allowed to establish a holding company. Regular tax audit into big companies will be also shrunk.

It will add a new pension system to the current one, which provides people with the same amount of monthly pension, to guarantee a minimum standard of living and to correct the unfairness of the current system.

President-elect LMB’s grand plan to ‘save’ people who defaulted on their personal debt faces a big challenge as the public oppose the plan to delete defaulters’ debts and bad credit history. The transition committee plans to scale down the size of defaulters it planned to help out and withdraw the scheme to erase poor credit history.