ID :
28325
Tue, 11/04/2008 - 14:17
Auther :
Shortlink :
https://www.oananews.org//node/28325
The shortlink copeid
Lee vows new currency swap deals with China, Japan
(ATTN: UPDATES with more details; CHANGES slug, headline, lead; ADDS paras 2-6)
By Yoo Cheong-mo
SEOUL, Nov. 4 (Yonhap) -- President Lee Myung-bak said Tuesday that South Korea's foreign exchange crisis is nearing an end as the nation is about to conclude new currency swap deals with China and Japan following a recent US$30 billion currency swap with the U.S.
"The nation has nearly overcome its foreign currency liquidity problem thanks to
a recent currency swap deal with the U.S and similar pending deals with China and
Japan," Lee said. His statements were made at a meeting between the government
and the private sector during which an export target of US$500 billion was
declared for 2009.
"With the foreign currency liquidity problem settled, the nation should now focus
its energy on expanding exports as part of a nationwide effort to avert a slump
in the real economy," said Lee, asking exporters to diversify their overseas
markets and develop new products to produce "outstanding results" next year.
According to officials at the finance ministry and the Bank of Korea, Seoul and
Beijing are now in talks over a possible dollar-based currency swap deal valued
at between $10 billion and $30 billion.
In addition, the South Korean government will soon open negotiations with Japan
on expanding the volume of an existing bilateral currency swap between the two
nations, said the officials.
The Seoul government has been struggling to secure as much foreign currency as
possible, as its foreign exchange reserve has shrunk for a seventh consecutive
month, with the single largest monthly drop of $27.4 billion recorded in October.
As of the end of October, South Korea's foreign currency holdings totaled $212.2
billion.
The president also urged domestic banks not to hesitate in extending much-needed
credit lines to Korean exporters.
"Attention should now be paid to efforts to revive the real economy. Among these,
exports will be the biggest public concern and will have the greatest impact on
the national economy next year. Both the government and banks have to extend
their full support to export companies," the president said.
South Korea's annual exports are projected to rise from $371.5 billion in 2007 to
approximately $430 billion this year.
Meanwhile, in a weekly Cabinet meeting held earlier on Tuesday, Lee instructed
his ministers to push for early implementation of his government's 14 trillion
won stimulus package unveiled on Monday.
ycm@yna.co.kr
(END)
By Yoo Cheong-mo
SEOUL, Nov. 4 (Yonhap) -- President Lee Myung-bak said Tuesday that South Korea's foreign exchange crisis is nearing an end as the nation is about to conclude new currency swap deals with China and Japan following a recent US$30 billion currency swap with the U.S.
"The nation has nearly overcome its foreign currency liquidity problem thanks to
a recent currency swap deal with the U.S and similar pending deals with China and
Japan," Lee said. His statements were made at a meeting between the government
and the private sector during which an export target of US$500 billion was
declared for 2009.
"With the foreign currency liquidity problem settled, the nation should now focus
its energy on expanding exports as part of a nationwide effort to avert a slump
in the real economy," said Lee, asking exporters to diversify their overseas
markets and develop new products to produce "outstanding results" next year.
According to officials at the finance ministry and the Bank of Korea, Seoul and
Beijing are now in talks over a possible dollar-based currency swap deal valued
at between $10 billion and $30 billion.
In addition, the South Korean government will soon open negotiations with Japan
on expanding the volume of an existing bilateral currency swap between the two
nations, said the officials.
The Seoul government has been struggling to secure as much foreign currency as
possible, as its foreign exchange reserve has shrunk for a seventh consecutive
month, with the single largest monthly drop of $27.4 billion recorded in October.
As of the end of October, South Korea's foreign currency holdings totaled $212.2
billion.
The president also urged domestic banks not to hesitate in extending much-needed
credit lines to Korean exporters.
"Attention should now be paid to efforts to revive the real economy. Among these,
exports will be the biggest public concern and will have the greatest impact on
the national economy next year. Both the government and banks have to extend
their full support to export companies," the president said.
South Korea's annual exports are projected to rise from $371.5 billion in 2007 to
approximately $430 billion this year.
Meanwhile, in a weekly Cabinet meeting held earlier on Tuesday, Lee instructed
his ministers to push for early implementation of his government's 14 trillion
won stimulus package unveiled on Monday.
ycm@yna.co.kr
(END)
