Сhallenge of COVID-19 and Priorities of Economic Development of the Republic of Korea

Abstract

The article analyzes the South Korean experience of dealing with the crisis phenomena that most countries faced at the national and global levels in 2020. The fact that the spread of the COVID-19 pandemic has exacerbated the previously negative internal and external trends has made the problems of socio-economic development of the Republic of Korea more acute. Among them – the chronic difficulties of South Korean small and medium-sized businesses, the pressure by the president Trump’s protectionist measures in the US-South Korean and international trade in general, the consequences of the aggravation of the USChina standoff. The key challenges associated with the imposition of negative external factors on existing internal imbalances are evaluated. The analysis of the state policy to counteract the spread of the COVID-19 virus is carried out. The article examines the prerequisites for the stability of the national economy and the anti-crisis measures taken to resist internal and external challenges in the context of the pandemic, and assesses the prospects for correcting the development course that has developed in the Republic of Korea in recent years. The role of the created complex of innovative industries and modern medical support system is emphasized. The importance of public confidence in the government’s preventive health measures is noted. It shows, on the one hand, the importance of international value chains as a possible source of instability risk in the context of a pandemic, and, on the other hand, the potential of medical-related industries to maintain the dynamics of foreign economic relations. The importance of coordinating anti-crisis measures with China for the Republic of Korea in creating conditions that limit the spread of COVID-19 while maintaining the stable operation of major industries is noted. The prospects for Seoul’s participation in regional projects are evaluated, as an example, the activation of exports to ASEAN member countries of medical equipment and technologies aimed at combating the pandemic is given.