Private College Student Loan

Government offers breaks to lure services sector FDI

Summary: Korea hopes to attract up to a total of $60 billion in foreign direct investment for the country s service industry by 2015 the Ministry of Knowledge Economy said yesterday The country attracted $7 6 billion in FDI for its service industry in 2009 and the government is seeking to nearly double the annual amount to $15 billion by 2015 which will help create up to 150 000 jobs Though the service industry plays an important role in boosting the economy foreign direct investment in Korea is highly dependent on the manufacturing sector said Knowledge Economy Vice Minister Park Young june in a media briefing at the government complex in Gwacheon Gyeonggi The government is focusing on expanding such industries as financial services tourism renewable energy logistics international education and medical services Under the government plan approved yesterday by a joint committee of 14 government ministries on foreign investment the country will more than double low interest loans for energy service companies from the current 135 billion won $116 million to 300 billion won next year while also creating a new 300 billion won support fund for energy companies To help attract more foreign investors the government is pushing to revise special laws on free economic zones and foreign investments to allow remittance of surplus funds back overseas Although services accounted for 72 percent of total FDI in 2007 it has fallen to 66 percent last year because of increased competition from other countries Neighboring countries like Taiwan and Japan are offering improved investment conditions to foreigners in their service industry while Korea has fallen behind in offering strategic measures the vice minister said He said that tax benefits and cash support by the government have focused on foreign investments in the manufacturing industries Singapore for example has been attracting foreign investment in its tourism sector including $8 billion from Las Vegas Sands to develop a casino complex The government is also introducing measures to increase Korea s service productivity rate which was 63 percent last year to 70 percent by 2015 which is the OECD average By Lee Eun joo angie joongang co kr Copyrights ⓒ JoongangIlbo Joins com All rights reserved Korea hopes to attract up to a total of $60 billion in foreign direct investment for the country s service industry by 2015 the Ministry of Knowledge Economy said yesterday The country attracted $7 6 billion in FDI for its service industry in 2009 and the government is seeking to nearly double the annual amount to $15 billion by 2015 which will help create up to 150 000 jobs Though the service industry plays an important role in boosting the economy foreign direct investment in Korea is highly dependent on the manufacturing sector said Knowledge Economy Vice Minister Park Young june in a media briefing at the government complex in Gwacheon Gyeonggi The government is focusing on expanding such industries as financial services tourism renewable energy logistics international education and medical services Under the government plan approved yesterday by a joint committee of 14 government ministries on foreign investment the country will more than double low interest loans for energy service companies from the current 135 billion won $116 million to 300 billion won next year while also creating a new 300 billion won support fund for energy companies To help attract more foreign investors the government is pushing to revise special laws on free economic zones and foreign investments to allow remittance of surplus funds back overseas Although services accounted for 72 percent of total FDI in 2007 it has fallen to 66 percent last year because of increased competition from other countries Neighboring countries like Taiwan and Japan are offering improved investment conditions to foreigners in their service industry while Korea has fallen behind in offering strategic measures the vice minister said He said that tax benefits and cash support by the government have focused on foreign investments in the manufacturing industries Singapore for example has been attracting foreign investment in its tourism sector including $8 billion from Las Vegas Sands to develop a casino complex The government is also introducing measures to increase Korea s service productivity rate which was 63 percent last year to 70 percent by 2015 which is the OECD average By Lee Eun joo angie joongang co kr Copyrights ⓒ JoongangIlbo Joins com All rights reserved

Image Dimensions: 323 x 383