S.Korea sets growth, employment as main goals for economic development in 2007

South Korean Industrial Minister Kim Young-joo said Monday that growth and job creation will be the main goals for the South Korean economy in 2007.

"There is a need to change the industrial structure of the country and to strengthen the competitiveness of small and medium enterprises (SMEs)," Kim said. "SMEs are the bedrock of the national economy and the main source of hiring."

Kim told reporters that the government will do its utmost to support research and development (R&D) efforts that has close link with business investments and job creation. The South Korean government has allocated an average of roughly 10 trillion won (10. 62 billion U.S. dollars) into such R&D during the past several years.

Kim said his government plans to reform legal codes and to remove administrative red tape in order to improve the competitiveness of industries such as design, fashion, consulting, distribution, retail, and e-business activities, which can create jobs.

The minister stressed the importance of the signing of a free trade agreement(FTA) with the United States, saying the FTA will promote trade with the world's largest economy and fuel South Korea's industrial growth.

The South Korean economy grew by an estimated 5 percent last year and is expected to increase by 4.5 percent this year. The number of jobs created last year fell short of the government's target of 300,000.

Source: Xinhua