<TABLE border=0 cellSpacing=0 cellPadding=0 width="100%"><TBODY><TR>Aug 2, 2009
</TR><!-- headline one : start --><TR>S.Korea sees reserves rising <!--10 min-->
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<!-- START OF : div id="storytext"-->SEOUL - SOUTH Korea expects its foreign exchange reserves to rise to a record high of some $270 billion (S$388 billion) this year due to a higher current account surplus, local media on Sunday quoted Finance Ministry officials as saying.
The central bank's withdrawal of foreign currency liquidity, which the Bank of Korea injected to local banks to help them weather the global credit crisis, will also boost reserves, the officials said.
The reports came after currency traders said foreign exchange authorities had been spotted buying dollars amid heightening caution over their intervention to protect export competitiveness, which has been supporting an economic recovery.
'The reserves are likely to get close to US$270 billion by the end of this year, exceeding the previous record of US$264.2 billion, on a massive current account surplus, the Bank of Korea's absorption of dollar liquidity amid stable currency markets and rising investment gains,' the Yonhap news agency quoted a senior Finance Ministry official as saying.
Officials at the ministry and the central bank were not available to comment.
South Korea's foreign exchange reserves rose by nearly US$5 billion in June to US$231.7 billion on investment gains, repayment of borrowings by local banks and an unwinding of a currency swap between the state-run pension agency and the central bank upon its expiry.
In July, the Finance Ministry said it expected a US$3.4 billion increase in reserves as a result of the International Monetary Fund's plan to boost members' foreign exchange reserves.
Asia's fourth-largest economy reported a seasonally adjusted current account surplus of US$23.4 billion in the first half of the year, central bank data showed.
The Bank of Korea expects a US$29 billion current account surplus for the whole of 2009 and the Ministry of Strategy and Finance sees a US$25 billion surplus. -- REUTERS
</TR><!-- headline one : start --><TR>S.Korea sees reserves rising <!--10 min-->
</TR><!-- headline one : end --><!-- show image if available --></TBODY></TABLE>
<!-- START OF : div id="storytext"-->SEOUL - SOUTH Korea expects its foreign exchange reserves to rise to a record high of some $270 billion (S$388 billion) this year due to a higher current account surplus, local media on Sunday quoted Finance Ministry officials as saying.
The central bank's withdrawal of foreign currency liquidity, which the Bank of Korea injected to local banks to help them weather the global credit crisis, will also boost reserves, the officials said.
The reports came after currency traders said foreign exchange authorities had been spotted buying dollars amid heightening caution over their intervention to protect export competitiveness, which has been supporting an economic recovery.
'The reserves are likely to get close to US$270 billion by the end of this year, exceeding the previous record of US$264.2 billion, on a massive current account surplus, the Bank of Korea's absorption of dollar liquidity amid stable currency markets and rising investment gains,' the Yonhap news agency quoted a senior Finance Ministry official as saying.
Officials at the ministry and the central bank were not available to comment.
South Korea's foreign exchange reserves rose by nearly US$5 billion in June to US$231.7 billion on investment gains, repayment of borrowings by local banks and an unwinding of a currency swap between the state-run pension agency and the central bank upon its expiry.
In July, the Finance Ministry said it expected a US$3.4 billion increase in reserves as a result of the International Monetary Fund's plan to boost members' foreign exchange reserves.
Asia's fourth-largest economy reported a seasonally adjusted current account surplus of US$23.4 billion in the first half of the year, central bank data showed.
The Bank of Korea expects a US$29 billion current account surplus for the whole of 2009 and the Ministry of Strategy and Finance sees a US$25 billion surplus. -- REUTERS
