Gov't to host FDI forum to attract overseas investors

SEOUL, March 25 (Yonhap) -- The government said Wednesday it will host a foreign investment forum to help overseas businesses expand their presence in the local market and arrange tie-ups with South Korean companies.

The forum, to be held in Seoul on Thursday, will involve representatives from 135
foreign companies in such areas as auto parts, biotech, pharmaceuticals, and
reusable energy resources, the Ministry of Knowledge Economy said.
"The gathering will help highlight the soundness of the local economy and efforts
made by the government to attract overseas investors," a government official
said.
South Korean companies enjoy considerable price and technological competitiveness
in auto parts, biotechnology and energy production.
He said one-on-one meetings will be arranged between prospective overseas
investors and local companies, which could facilitate deals and long-term
business networks.
The ministry in charge of the country's trade and investment promotion policies
said it will also invite envoys from 14 Middle Eastern countries to explain the
country's improved foreign direct investment (FDI) policies. These countries
benefited from a sharp rise in energy prices last year and may have funds
available to make investments.
Seoul has pledged to give direct cash support, tax breaks and various
administrative incentives to lure overseas investors.
South Korea, meanwhile, said it wants to attract US$12.5 billion in FDI this
year, up from $11.7 billion reported for 2008, but experts conceded the target
may not be attainable in light of the global economic slump.
In the first quarter, the country attracted $1.5 billion. This is a sharp drop
from the $2.7 billion that foreign investors said they would pour into the
country in the same three-month period last year.
yonngong@yna.co.kr
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