SEOUL, Aug. 8 (Yonhap) -- Kim Tae-ho, former governor of South Gyeongsang Province, has been nominated as new prime minister in a Cabinet shake-up that also replaced seven ministers and two minister-level officials, the presidential office Cheong Wa Dae announced Sunday.
President Lee Myung-bak's first Cabinet reshuffle since September 2009 comes on the heels of the ruling Grand National Party's (GNP) defeat in the June 2 local elections, which chose the heads of the country's mayors and governors, and a turnaround in the July 28 by-elections in which the party won five of the eight contested parliamentary seats. Lee begins the latter half of his single five-year tenure later this month.

It did not affect the ministers handling foreign affairs, national defense or inter-Korean ties, signaling that the president will keep a tough stance on North Korea, which South Korea accuses of sinking its warship with a torpedo in March.
"The Cabinet shake-up this time is aimed at solidifying the keynote of moderate pragmatism-oriented policy based on communication and integrity, accepting the demand for reform of the party, the government and Cheong Wa Dae shown in the June 2 local election and July 28 by-elections," Hong Sang-pyo, senior secretary for public relations at the presidential office, told reporters.
Prime Minister-designate Kim, 47, is expected to play a pivotal role in bolstering the government's communication with the young generation, he added.
Kim vowed efforts to live up to the expectations.
"I will try to become an icon of communication and unity," he said in a press conference. "The key agendas of the Lee Myung-bak government are a pro-seomin (ordinary working people) policy, centrist pragmatism and economic rehabilitation."

He pointed out that what is most important in bearing fruit in those goals is communication with the people and social integration.
"I will take the lead in communication and unity and play a role," he added.
Kim served as governor of South Gyeongsang Province from 2004 until earlier this year and did not run for the June local elections. If confirmed, he would become the country's first prime minister under 50 years of age in four decades.
His nomination is subject to the National Assembly's confirmation hearing and requires its approval.
Kim will replace Chung Un-chan who tendered his resignation last month to take responsibility for the government's foiled attempt to revise a plan to develop the central city of Sejong, where the former Roh Moo-hyun administration sought to create an administrative town as part of efforts for the balanced growth of the country. The current government tried to scrap the plan and build a business-education hub there instead.
The president also named Lee Jae-oh, one of his closest aides, as minister for special affairs, who is tasked with dealing with political affairs and relations with North Korea. The new minister changes his stint just 11 days after being elected lawmaker in the latest by-elections.
Lee Ju-ho, vice education minister, was nominated for education minister, while Shin Jae-min, vice culture minister, and Lee Jae-hoon, vice knowledge minister, were promoted to culture minister and knowledge minister, respectively.
Yoo Jeong-bok, a lawmaker of the GNP, was designated as agriculture minister and Chin Soo-hee, also another lawmaker of the GNP, was named health and welfare minister.
Bahk Jae-wan, who worked as senior presidential secretary for national policy planning, was tapped as labor minister and Rim Che-min, formerly vice minister for knowledge, was named minister at the Office of Prime Minister.
Lee Hyun-dong, vice commissioner of the National Tax Service, was promoted to the post of the agency's head.
Political parties issued a mixed response.
The main opposition Democratic Party described the Cabinet shake-up as the "worst in history."
"It is no doubt the worst ever reshuffle in history that only put the personal guards of President Lee in front," party spokeswoman Jeon Hyun-hee said.
The GNP hailed it, however.
"The new Cabinet consists of people who can fully support the Lee Myung-bak government's drive to achieve its policy goals for the second half of its term," its spokesman Ahn Hyoung-hwan said.
The nation's business circles held out expectations for the new Cabinet.
"The business circles believe the new, young Cabinet will greatly contribute to the nation's development by spearheading government efforts to reform and change," the Federation of Korean Industries, the largest industry lobby in South Korea, said in a released statement.
The Korea International Trade Association expressed hope that the new Cabinet will work to further promote trade and create jobs.
"Also, we wish the new Cabinet will help raise the status of the country and improve the competitiveness of its businesses by successfully hosting the G-20 leaders' summit and the business summit to be held in Seoul in November," it said.
lcd@yna.co.kr
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