Korea`s securities financier to buy up to 3 tln won in Treasuries

SEOUL, April 14 (Yonhap) -- South Korea's securities finance corporation said
Tuesday it plans to buy up to 3 trillion won (US$2.27 billion) worth of
Treasuries this year to help absorb part of a larger amount to be sold this year.
South Korea is planning to sell 81.6 trillion worth of Treasuries this year to
finance its increased fiscal spending. The figure compares with last year's 52.1
trillion won.
"We plan to buy government debt worth between 2 trillion and 3 trillion won this
year in a bid to help boost buying momentum in the treasury market," Lee
Doo-hyung, chief executive at Korea Securities Finance Corp. (KSF), told a press
conference. The KSF provides financing to securities-related institutions.
Lee also said the company plans to expand corporate financing to help
cash-strapped local firms weather an economic downturn.
"We are also considering increasing corporate loan extension to 3.7 trillion won
this year from 2.3 trillion won last year," Lee said, adding that KSF will also
purchase commercial paper and short-term investment vehicles worth 1.5 trillion
won in 2009.
KSF reported 121.9 billion won in net profit last year, up 99 percent from a year
earlier on the back of lending growth and stable asset management.
pbr@yna.co.kr
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