The finance ministers of South Korea and Japan are set to hold a bilateral meeting next month, marking the first time in seven years that the two countries will engage in closer cooperation in economic policy. South Korean Finance Minister Choo Kyung-ho announced during a visit to the United States that he has agreed to meet with his Japanese counterpart, Shunichi Suzuki. The meeting is scheduled to take place on the sidelines of the Asian Development Bank annual meetings, which will be held from May 2-5 in Incheon, South Korea. While details of the meeting have yet to be decided, Choo stated that it is significant as it will be the first step towards reviving regular bilateral meetings.
Regular annual meetings between the finance ministers of South Korea and Japan have been suspended since 2016 due to disputes over wartime history. However, at a summit held last month between South Korea’s Yoon Suk Yeol and Japan’s Fumio Kishida, the two countries promised to put aside their difficult shared history and work together to counter regional security challenges.
The resumption of regular meetings between the finance ministers of South Korea and Japan is expected to have a positive impact on financial markets. One area of particular interest is whether the two ministers will discuss resuming a bilateral currency swap arrangement. This arrangement had previously served as a backstop against any potential currency crisis but expired in February 2015.
The meeting between Choo and Suzuki is seen as a positive development in the relationship between South Korea and Japan. The two countries have a long history of tension and conflict, particularly regarding Japan’s actions during World War II. However, there have been recent efforts to improve relations, particularly in the economic sphere.
In addition to the resumption of regular meetings between finance ministers, there have been other signs of improving economic ties between South Korea and Japan. Last year, the two countries signed a free trade agreement that eliminated tariffs on a wide range of goods. This agreement is expected to boost trade between the two countries, which has been declining in recent years.
The resumption of regular meetings between the finance ministers of South Korea and Japan is also seen as a positive development for the broader region. The two countries are major economic powers in Asia, and closer cooperation between them could help to promote economic growth and stability in the region.
However, there are still challenges that need to be addressed in the relationship between South Korea and Japan. One of the main issues is the ongoing dispute over compensation for Korean workers who were forced to work in Japanese factories during World War II. The issue has been a major source of tension between the two countries, and it remains to be seen whether progress can be made on this front.
Despite these challenges, the meeting between Choo and Suzuki is seen as a positive step towards improving relations between South Korea and Japan. The resumption of regular meetings between finance ministers is an important development that could help to promote economic growth and stability in the region.