S. Korea's economy faces downside risks: finance minister

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SEOUL, Jan. 14 (Yonhap) -- South Korea's economy is recovering from a recent
steep downturn but the rebound is still "not satisfactory" while downside risks
remain both at home and abroad, a top economic policymaker said Thursday.
"Our economy is recovering but it is not satisfactory yet," Finance Minister Yoon
Jeung-hyun told a government meeting. "It is still faced with downside risks at
home and abroad such as rising oil prices."
His cautious estimate on Asia's fourth-largest economy comes as signs are
mounting that the country is fast recovering from what many feared could have
been the worst downturn in more than a decade last year.
The economy is forecast to have avoided a contraction last year and the ministry
earlier predicted that the nation's gross domestic product will expand 5 percent
this year.
But job conditions remain tight as companies seem uncertain about a sustained
economic recovery, causing concern that the nation could see "jobless growth"
this year.
On Wednesday, the government unveiled its December job report, which showed that
the economy shed a total of 72,000 working positions last year, the sharpest
contraction in 11 years.
Yoon noted that the government will focus on creating jobs this year as such
efforts will help stabilize the livelihood of ordinary people and will eventually
bolster the overall economy.
"The government will work hard to create a virtuous cycle between growth and job
creation," the finance minister said.
kokobj@yna.co.kr
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