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Lee promises to transform 'Korea discount' to 'premium' as Kospi climbs

Published: 26 Feb. 2026, 20:02

Employees celebrate at the dealing room of Hana Bank’s headquarters in Jung District, central Seoul, on Feb. 25 after the Kospi closed above the 6,000 mark for the first time. [NEWS1]

President Lee Jae Myung on Thursday vowed to improve undervalued Korean shares and sustain the ongoing rally by enhancing the market environment and encouraging a shift of capital from real estate to productive finance.

Lee made the remarks as the benchmark Kospi surpassed the 6,000-point mark for the first time Wednesday and closed at a record high of 6,307.27 on Thursday, which he described as being on track toward the "normalization of the market."

"Korean shares were once undervalued under the so-called 'Korea discount,' but they are now gradually normalizing and improving significantly," Lee said in a meeting with senior aides. "We should transition from 'Korea discount' to 'Korea premium,' where shares are more highly valued than in other countries."

Lee said the government has been working to improve opaque and irrational market practices, pointing to the National Assembly's passage of another amendment to the Commercial Act requiring listed firms to cancel treasury shares.

The latest revision, the third such amendment, centers on the mandatory cancellation of companies' own shares — a measure widely expected to boost shareholder returns.

Lee also pledged to step up efforts to reinforce the shift of capital from the real estate market to "productive finance," calling it an "unavoidable trend."

Yonhap