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South Korea enhances role in world politics, economy: Financial Times
South Korea enhances role in world politics, economy: Financial Times
Rising from the rubble of the Korean War, South Korea is exhibiting a higher business profile and assuming greater international responsibilities with the passage of time, the Financial Times said on Mar. 17.
In the story "South Korea: Into Position," the economic daily explained South Korea's enhanced industrial and business capacity and noted its growing contribution to lending assistance in international crisis spots.
As one of the countries rising fastest out of the global financial crisis, South Korea is, the Financial Times said, likely to work as a mediator between its biggest trading partner China and its main military ally the US, over the issue of a revaluation of the Chinese currency because South Korea knows how to talk to both sides.
Hosting the G-20 summit this November, South Korea has successfully transformed itself from a passive follower into an active agenda-setter, the Financial Times quoted President Lee Myung-bak as saying.
While mentioning that the outcome of the G-20 presidency will be a test of President Lee's diplomacy, the Financial Times quoted Kwon Man-hak, an international studies professor at Kyung Hee University: "South Korea has to get consensus by the end of talks. It has to get a breakthrough on the exit-strategy agenda."
Many foreign diplomats say that they are impressed by the work South Korea is putting into a post-crisis agenda and that the country can use the G-20 as a forum that helps calm the US-China dispute over the value of the renminbi, said the newspaper.
South Korean companies, known for their efficiency in producing cars, electronics and ships, are emerging in other sectors and snatched a $20bn contract from their French competitors to build a nuclear reactor in Abu Dhabi, the London-based newspaper explained.
As to the South Korean companies advance into India, including Samsung and Hyundai, the magazine quoted Rajiv Kumar, an Indian economist, as saying "South Korea could become the Hong Kong of India," referring to the former British colony's role as an early investor in mainland China.
Along with the higher business profile of South Korea come signs of an increased awareness of wider international responsibilities, wrote the Times.
The country contributed rescue workers and medical teams in what has been its biggest relief effort in an international disaster so far, it said, referring to the recent earthquake in Haiti.
South Korea also sent a ship to fight pirates off the coast of Somalia and pledged to guard infrastructure work in Afghanistan, it added.
The Financial Times didn't forget to give a warning and some advice for the South Korean economy as well.
"North Korea's economy is looking more perilous than ever and regime collapse would present the south with enormous humanitarian and financial problems," it cautioned.
Furthermore, South Korea is a rapidly aging society like Japan, and it should boost its productivity and industrial competitiveness, so as not to stall, it counseled.
The daily also quoted Richard Dobbs at McKinsey as saying that South Korea's chaebol (conglomerates) which dominate the national economy, have to divest themselves of their less efficient units, in order to develop industrial strength and depth.
