South Korea’s political turmoil deepens as acting President Han Duck-soo is impeached. How will this crisis affect its economy, global standing, and ordinary citizens?
Digital Worldwide News
December 27, 2024
South Korea’s government is in chaos after lawmakers impeached acting President Han Duck-soo on Friday, just two weeks after ousting his predecessor, Yoon Suk Yeol. This double impeachment within a month has sent shockwaves through the nation, destabilizing its economy and shaking its democratic identity. The Korean won fell by 0.40%, and the Kospi dropped by 1.02%, underscoring the fragile state of Asia’s fourth-largest economy. But behind the headlines lies a deeper story: a nation at a crossroads, where political power games risk overshadowing urgent economic and security challenges.
Without stable leadership, South Korea’s ability to respond to economic pressures and North Korea’s provocations is severely weakened. Acting President Han was impeached for delaying the appointment of Constitutional Court justices, a move critics claim was meant to safeguard his party’s interests in Yoon’s impeachment review. However, this delay could also stall critical decisions on national security and global trade.
Finance Minister Choi Sang-mok, next in line as acting president, has warned of the crisis’ impact on credibility and governance. His concern isn’t theoretical—it’s rooted in South Korea’s heavy reliance on exports and its precarious position in global trade wars.
This turmoil isn’t just a political drama—it’s a crisis with real consequences for everyday South Koreans and even businesses that rely on the nation’s exports or trade stability.
The falling won, which has dropped below 1430 for the first time since 2019, means higher costs for imported goods, directly impacting household expenses. The drop in the Kospi signals investor uncertainty, potentially slowing economic growth and job creation. Add to this the lack of a stable “control tower” for governance, and you have a recipe for stagnation.
For South Koreans, the stakes are deeply personal. From rising living costs to concerns about security with an unpredictable North Korea, many feel that their leaders are failing them. For the world, South Korea’s internal strife raises questions about its reliability as an economic and strategic partner.