Abstract the Economy of South Korea
1 . Brief description.
The Republic Of Korea (Taehan Minguk). Located in the far East, on the Korean Peninsula South of the 38th parallel. Territory: 99,2 thousand sq. km Population: 45,7 million (Jan. 1997). Capital: Seoul (Seoul) — 10.3 million people (Jan. 1998 Administrative division: 9 provinces and 2 cities: Seoul and Busan having the status of provinces. Official language: Korean. Currency: won = 100 conam. National holidays: 15 Aug. The day of the liberation of Korea (1945); 3 Oct. — National Foundation day. Celebrated since 1948 in the memory of the founding in 2333 BC, the first Ancient Korean state of Choson. Diplomatic relations with the USSR installed 30 Sept. 1990 Dec. 1991 the Russian Federation is recognized as the legal successor of the USSR.
2 .Government agencies
The Republic of Korea is a parliamentary Republic. The Constitution, which came into force on 25 Jan. 1988 15 Aug. 1948 South Korea was proclaimed a Republic.
The head of state is the President, elected by universal direct and secret ballot for a term of 5 years. According to the Constitution of 1988, presidential power is significantly limited.
Legislative power is exercised by the National Assembly consisting of 299 members, of whom 253 are elected by universal direct and secret ballot, and 46 are appointed by political parties in proportion to the number of seats obtained in the elections. The term of office of the National Assembly is 4 years.
Executive power is vested in the President and the government headed by the Prime Minister.
The head of state, President of the Republic of Korea — Kim Dae Jung (Kim Dae Jun). Elected 18 Dec. 1997 Took office on 25 Feb. 1998
Accumulated in the years of crisis phenomena in the economy of Kazakhstan in 1997 reached a critical level. There was a marked decrease of competitiveness of economy of the Republic of Kazakhstan, for which the full dependence on imports of energy and raw materials in recent years have been characterized by high costs and excessive growth in wages, high interest rates, high transport costs, the lag in the innovation process.
On the background of reduced domestic demand risky investment policies of large financial-industrial groups (figs) — “Cabala” that used unreasonably preferential loans, resulted in overcapacity in several industries (automotive, steel, chemical), reducing the profitability of production.
The financial crisis has blocked the way of attracting new foreign currency funds, caused a mass Exodus of foreign capital from the Republic of Kazakhstan, the rising cost of the loan (over 30%), the reduction of currency reserves to $ 5 billion. and, as a result, the plummeting exchange rate of the won against the dollar by almost 2 times in the November-December 1997
To overcome the crisis in November. 1997 of the Republic of Kazakhstan was forced to turn to the IMF with a request for urgent provision of stabilization loans. 3 Dec. 1997 The Republic of Kazakhstan and the IMF signed a Memorandum of understanding and technical Annex, which determined the conditions of the largest in the history of the program of international assistance of the Republic of Kazakhstan (57 billion dollars). In exchange for financial assistance, formed through the IMF (21 billion dollars), The world Bank ($10 billion), The ADB ($4 billion), as well as the contributions of the USA (10 billion$) Japan (5 billion dollars), Germany, Canada, the UK and Austria, Kazakhstan agreed to speed up financial reform, tight fiscal policy, the maximum opening financial market to foreign investors.
The government has pledged to take steps to reduce in 1998 economic growth to 3% (with a possible slight increase only in 1999), to maintain inflation within 5% in the year, reducing the balance of payments deficit on current transactions to the level of 1% of GDP during 1998-99 gg