Korea?s domestic investment dwindling

The amount of overseas investment by Korean businesses last year more than doubled over that of previous year but at the expense of domestic investment. To make the matter worse, foreign investment in Korea is at a standstill.

According to the Ministry of Finance and Economy, overseas investment by Korean businesses last year amounted to $18.4 billion, a rise of 104% over 2005 while the amount of foreign inward investment was $11.2 billion, a decrease of 2.9% from the previous year.

A shipyard being planned by Korea?s STX Shipbuilding in Dairen, China, will create some 100,000 jobs when completed. According to a recent survey by the Korea Chamber of Commerce and Industry, more than 50% of those who went overseas said that they had no choice because of worsening conditions in Korea.