Finance minister calls on companies to invest more

SEOUL, March 11 (Yonhap) -- South Korea's finance minister urged local companies
Wednesday to invest actively as part of an effort to "share the pain" of the
current economic slump.
Buffeted by tumbling exports and anemic domestic demand, the local economy is
widely expected to slip into the first recession in 11 years, resulting in more
job losses.
"Even if there is uncertainty about the future and inadequate business
opportunities, companies need to make investments actively to help tide over the
economic crisis," Finance Minister Yoon Jeung-hyun said at a weekly economic
crisis management meeting.
Putting its top priority on creating a business-friendly environment, the
government has taken steps to eliminate red tape, including lifting an investment
ceiling on large conglomerates and relaxing rules for factory zoning in and
around the nation's capital, Yoon said.
The minister's comments come as local companies remain reluctant to invest amid a
worsening economic slump and growing uncertainty over business conditions.
The government predicts the economy, Asia's fourth-largest, will shrink 2 percent
annually this year due to plunging overseas demand for Korean products and weak
private consumption.
yonngong@yna.co.kr
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