[Aju News DB]
South Korea's top economic official called for more stimulus measures to revive domestic demand and exports together, citing concern about the impact of China's cooldown.
Finance Minister Yoo Il-ho told a meeting of economic ministers that priority should be put on reviving consumption and exports and making people "feel the outcome of economic stimulus and recovery".
"There is no sign of things recovering anytime soon," he said, as the Chinese economy slowed down and the International Monetary Fund revised down its forecast on global economic growth.
The IMF has downgraded its forecast for global growth this year by 0.2 percentage points to 3.4 percent, citing economic turbulence in China, financial uncertainties at emerging markets stemming and low oil prices. It estimated China's growth may dip further to around 6.3 percent this year from 6.9 percent last year.
South Korea has been hit hard by China's cooldown and weakening global demand, but Yoo remained optimistic saying South Korea could increase exports to China especially in areas such as cosmetics and fashion after a bilateral free trade agreement took effect in March.
"I believe we will be able to absorb the impact through bigger exports to China, which is expected to change its course and focus on domestic consumption," he said.
Charles Lim
아주경제 임장원 기자 = cwlim34@ajunews.com
reporter
Park Sae-jin
swatchsjp@ajunews.com
