SEOUL, Oct. 6 (Yonhap) -- South Korea has explained its economic policies to the United States and the International Monetary Fund, the finance ministry said Sunday.
In a meeting with U.S. Deputy Treasury Secretary Justin Muzinich, Vice Finance Minister Kim Yong-beom explained South Korea's current economic conditions and countermeasures to cope with a financial volatility and downside risks, according to the Ministry of Economy and Finance.
Kim said South Korea now faces increased external uncertainties but seeks expansionary fiscal policy to support growth based on solid fundamentals. And he exchanged views with the officials on Japan's export curbs on key industrial materials to Korea and other financial issues, the ministry said.
The U.S. official said Seoul's aggressive fiscal spending is quite appropriate given external market conditions, while asking Seoul to resolve the trade dispute with Tokyo through dialogue, the ministry said.
Kim also had a meeting with Deputy IMF Managing Director David Lipton and IMF Chief Economist Gita Gopinath to discuss the U.S.-China trade war and similar economic issues.
The IMF director also said Korea's expansionary fiscal policy is very appropriate to tackle economic downside risks, adding the global economy has not entered a recession, the ministry said.
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