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IMF warns against South Korea's debt explosion


Finance Minister Hong Nam-ki (on right), IMF Korea mission chief Andreas Bauer (on screen) and Ahn Do-geol, second vice finance minister (on left) during a virtual conference in January 2021 after annual consultations
South Korea needs to closely monitor government spending to avoid a future debt explosion given its rapidly aging population, according to a senior International Monetary Fund (IMF) official on Apr. 14.
The country s strong fundamentals, including a robust manufacturing sector and a quality labor force, will keep the debt manageable for now, but health care costs and other liabilities associated with aging pose a concern going ahead, Andreas Bauer, assistant director and Korea mission chief for the IMF, told the Bloomberg news. ....

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