ForexInfoCenter

Korea: Vulnerable but not a repeat of ‘97

Posted by Danske Bank A/S in October 10th 2008  
Among Asian countries, South Korea is a prime potential victim of the current global credit crunch. Debt leverage among domestic households and companies has soared, domestic commercial banks are dependent on short-term wholesale and foreign funding and the current account has deteriorated on the back of higher crude oil prices. Hence, we expect the South Korean economy and KRW to underperform in the current global financial deleveraging environment.  However, South Korea’s external

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Filed under: Fundamental