As a result of the approaching Russian invasion of Ukraine, President Moon Jae-in on Monday directed government agencies to prepare for the safe evacuation of Koreans living in Ukraine and to devise methods to limit harm to Korean firms.
"We need to put into action what we can right away and prepare as thoroughly as possible for the worst," Moon said while presiding over a meeting on the foreign economic security plan. It is vital to make every effort to evacuate and withdraw the Korean people in the event of an emergency and to design methods to minimize damage to our enterprises well in advance of the event."
Travel to Ukraine has been prohibited by the authorities, and Korean citizens who are currently in the country are being evacuated. There are 281 Korean people in the area, and approximately 100 of them will be evacuated for the first time by Tuesday.
Companies are likewise pulling their personnel from the workplace as a precaution. Samsung Electronics, LG Electronics, Hyundai, Posco International, Hankook Tire, and Ecovice are among the Korean firms that operate in Ukraine at the moment.
In recent weeks, the Russian military has gathered forces at Ukraine's border, raising worries that the country may launch an invasion of its neighbor, despite repeated denials from Moscow.
Moon ordered government agencies to take actions to protect the domestic economy and financial markets from any potential ramifications of the crisis, as well as to put in place remedies to mitigate any risks that may arise.
In response to "all-around assistance for exporters and local industries, as well as uncertainty in supply and demand of energy, raw materials, and grain," Moon stated that "we must respond proactively."
The event is being closely monitored by the domestic automobile, airline, and petrochemical sectors since it has the potential to put pressure on transportation and distribution costs at a time when energy prices are rising. Russia is the world's leading natural gas supplier to major crude oil producers, accounting for approximately one-third of global natural gas exports. International oil prices have already topped $90 a barrel, reaching a seven-year high as a result of global turmoil and increasing demand.
The president of Korea, Moon Jae-in, said that the country will form a presidential committee to handle economic security as well as a monetary fund in response to rising supply chain instabilities and technical hegemony between major countries.
According to Moon, "Economic security is a critical problem in the quickly changing international economic system." " "At this point, the economy and security cannot be considered separately, and economic security is synonymous with national security and national competitiveness."
According to Moon, it is past time to build a more modern and comprehensive system to respond to the ever-increasing dangers in the supply chain.
According to Moon, the Presidential Economic Security Supply Chain Management Committee will be created as a control tower, and a supply chain stabilization fund will be established to provide financial assistance to the supply chain. In order to designate economic security items and operate an early warning system, "institutional foundations for doing so need be established."
In his words, "the enactment of the Framework Act on Supply Chain Management for Economic Security has become extremely important." He went on to say that the law encompasses everything from high-tech businesses to everyday items.
After it was founded in October of last year, the president will preside over the meeting on the foreign economic security policy for the first time in its history. As a ministerial consultative committee, it will rigorously review pressing concerns that demand comprehensive assessment of the economy and security, such as global supply chain interruptions and inflation, among other things.
