Korea: progress in implementing regulatory reform

ISBN Number: 978-92-64-03205-7
Publication Date: 19/03/2007
Pages: 170
Number of graphs: 7

Number of tables: 30

Korea was among the first countries to feature in the OECD in-depth series Reviews of Regulatory Reform.  The Korean review was released in 2000 after the financial crisis of 1997. Since then, Korea has made bold efforts to enhance conditions for long term growth: promoting regulatory reform, cutting red tape, strengthening competition policy and market openness. The Korean government has also modernised  its regulatory framework for information technologies, an area where Korea plays a leading role among OECD countries.

This publication assesses progress since 2000 and analyses many of the lessons of implementation of regulatory reform. It highlights possible responses to current challenges. These include the pressures of an ageing society, future welfare needs and human capital development. The study includes a new special chapter on tertiary education, where improvements in the regulatory framework can yield significant benefits for future innovation and productivity. Political support at the highest level has been instrumental in the shift to user-oriented regulations, improving consultation to create a "participatory society" and changing the government role from direct intervention towards ensuring the sound functioning of a market economy. The report takes account of the specific Korean context, but can be of wider value in other countries as well, within and beyond the OECD.

The goal now is to sustain the momentum for reform. Regulatory reform is a dynamic process, reassessing existing regulations in light of recent economic and social developments, and assessing the broad impact of new regulations while they are in preparation. It requires a coherent whole-of-government approach, under continued strong leadership, to ensure high quality tools, processes and institutions for citizens and businesses.