S. Korea's trade deal with 5 Central American nations ready to take effect in Oct.

SEOUL, Aug. 2 (Yonhap) -- South Korea's trade deal with five Central American nations is set to take effect in October after the country's legislature ratified the pact on Friday.

The National Assembly approved the free trade agreement (FTA) with Costa Rica, El Salvador, Honduras, Nicaragua and Panama, allowing the government to officially implement the deal. Talks with the five nations began in June 2015 to ease duties on more than 95 percent of goods and open up the services and investment market. The FTA was inked in February 2018.

Costa Rica, El Salvador and Nicaragua have already completed their respective legislatures' processes, the government here said.

Seoul said it plans to ask Honduras and Panama to speed up their domestic procedures so the FTA can be implemented without delay.

South Korea's trade pact with the five Central American nations is the 16th FTA that Asia's fourth largest economy has signed so far. Seoul is the first Asian nation to have reached a deal with the five countries.

South Korea has already implemented FTAs with the South American nations Chile, Peru and Colombia, as well as the United States and Canada in North America.

kdon@yna.co.kr
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