July 11, 2020

FDI in S. Korea plunges 37% in H1

PUBLISHED : November 07, 2019 - 11:30

UPDATED : November 07, 2019 - 11:31

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Foreign direct investment in South Korea plunged 37 percent in the first half from a year earlier, a poor performance compared with the United States, China and Japan, a business lobby said Nov. 7.

FDI in Asia’s fourth-largest economy fell to $9.87 billion in the January-June period from $15.75 billion a year earlier, according to the Federation of Korean Industries. 

Japan posted a 23 percent on-year decline in FDI at $15.75 billion during the first six months of the year. The U.S. and China reported 3.9 percent and 3.5 percent on-year gains, respectively, at $103.49 billion and $70.74 billion, it said.

Foreign business lobbies, such as the American Chamber of Commerce in Korea and the European Chamber of Commerce in Korea, have said regulations related to their businesses often change without an ample communication between the Seoul government and their member companies. They also said labor market flexibility needs to be increased and regulations should be eased further to lure foreign investment.

By Ram Garikipati and newswires (

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