South Korea Economic Recovery Gains Traction On Exports And Fiscal Push, Says Finance Chief

South Korea economic recovery momentum is strengthening on the back of heavy fiscal spending and firmer exports, according to finance minister Koo Yun-cheol, who pledged fresh measures to spread gains beyond Seoul.

He told a meeting of economic ministers that consumer demand is improving, supported by government “consumption coupon” schemes, while 26 major public institutions plan to raise investment this year to KRW69tr (USD47bn) from an original KRW66tr budgeted for infrastructure and other projects.

To bolster regional economies, the government will revise public procurement and national contracting rules to give local authorities more autonomy and increase the role of local builders in state‑backed projects, including by expanding the use of region‑restricted tenders to contracts worth up to KRW15bn, the finance ministry said, as officials work to entrench the South Korea economic recovery across the country.