South Korea and Japan said they will start talks on a new currency swap agreement after the countries' finance ministers met in Seoul on Saturday to bolster defences against global financial uncertainties. "South Korea offered to start talks on a currency swap agreement as part of boosting economic cooperation with Japan," South Korea Finance Minister Yoo Il-ho said in a press conference after the meeting.
"Uncertainties can be minimised with the more swap agreements you have and our stance that we will push for as many as we can has not changed." Japanese Finance Minister Taro Aso also said the two countries recognised the need for economic cooperation after Saturday's talks. The countries said in a joint statement that South Korea and Japan face threats from low potential growth rates and the risk of increasing global financial volatility.