Korea’s self-defence

Korean markets have suffered as global investors have run to safe havens, but the economy is likely to prove resilient.

Korea’s heavy reliance on exports, which account for half of its economy, and the openness of its capital markets make it particularly vulnerable to external factors. In addition, structural weaknesses could threaten the resilience of domestic demand and attitudes, which President Lee Myungbak has recognised.

¬ Haymarket Media Limited. All rights reserved.

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