Global credit ratings agency Fitch Ratings has forecast a decrease in South Korea’s political volatility and a short-term boost to the government’s policy execution capabilities upon the inception of the Lee Jae-myung administration.

Fitch issued a report on Wednesday, assessing that the outcome of Tuesday’s election indicates that the presidency and the legislative branch will be under the Democratic Party’s control at least until the 2028 general elections.

The ratings agency said there is a significant possibility that the new government will push for a second extra budget as an economic stimulus, with the amount likely to be around 30 trillion won, or around 22 billion U.S. dollars, which is one-point-one percent of the nation’s estimated GDP this year.

Fitch cited the trade negotiations with the Trump administration amid the new U.S. tariff policy as a challenge faced by the Lee government, saying South Korea’s reduced political volatility could facilitate the negotiations.

Saying the DP has traditionally sought a balance between the country’s relations with the U.S. and China, the agency added that should the U.S. attempt to undermine South Korea-China trade ties, Seoul could face an additional challenge in its talks with Washington.