Economic activity in the Rep. of Korea is ‘yet to show a recovery trend’

On Monday Bank of Korea governor Lee Seong-tae said that the economy of the Republic of Korea featured insignificant recovery as industrial output is still suffering under sluggish domestic demand and a worsening domestic job market, reports the Reuters.

“In spite of some improvements in financial markets, real economic activity has yet to show a recovery trend,” the central bank’s chief said in a speech prepared for an international conference.

According to Lee policymakers in the country need to focus on reinforcing the stability of the financial system and reducing volatility in the credit cycle to prevent another crisis.

He suggested the authorities consider introducing regulations to keep individuals and businesses from borrowing beyond their ability to repay.