S. Korea's overseas investments surge in 2008

SEOUL, Feb. 6 (Yonhap) -- South Korea's overseas investments jumped in 2008 as
companies expanded their spending on resource-development businesses amid soaring
raw material prices, a government report showed Friday.

According to the report by the Ministry of Strategy and Finance, outbound direct
investments by Korean companies and individuals amounted to US$32.79 billion last
year, up 18.1 percent from $27.76 billion a year earlier.
The increase stemmed mostly from local companies' expanded spending in the mining
sector as they sought to secure raw materials in the face of soaring commodity
prices. Investments in the area nearly tripled to $9.11 billion last year from
3.09 billion a year ago.
Investments in overseas real-estate and rental businesses jumped 38.6 percent,
the second steepest growth, to $4.16 billion from the previous year's $3 billion,
the report showed.
By country, investments in oil-rich Iraq posted the largest growth from a mere $1
million to $4.57 billion over the cited period. The U.S. remained the No. 1
destination for South Korea's overseas investments, which grew 32.4 percent to
$5.76 billion.
Investments made in China and Vietnam, however, declined 35.4 percent and 27.8
percent, respectively, to $4.19 billion and $1.92 billion, according to the
report.
Large companies took up 69.1 percent of the total overseas spending. Small and
medium-sized companies came next with a 26.1 percent share, followed by
individuals with 4.6 percent, the report showed.
kokobj@yna.co.kr
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