S. Korean president announces cabinet reshuffle nominees

Tax cuts and labour reform topped the agenda when parliament started a new session on Tuesday, but signs that Asia's fourth largest economy may be pulling out of a slump faster than expected have eased pressure on lawmakers to push through reforms.

Lee named Chung Un-chan, an economics professor at Seoul National University, to be his prime minister and take on steering legislation in the biggest change to his line-up that included fresh faces at five other ministries.

"The cabinet reshuffle will have a big impact, because parliament is looking for a prime minister who will not create any huge controversies," said Jeong Chan-woo at Min Political Consulting in Seoul.

Lee, who has seen his support numbers improve as the economy has picked up, faces the middle years of a single five-year term. By law, South Korean presidents can only serve a single term.

Lee also named as defence minister Kim Tae-young, who has served as chairman of the Joint Chiefs of Staff, and is a two-term lawmaker. Career bureaucrat Choi Kyung-hwan was appointed commerce minister; Kazinform cites China Daily. See www.chinadaily.com.cn for full version.