South Asian Countries which achievied a high GDP growth rate following China, NIEs and ASEAN in 1980s, has been accelerated its economic growth rate with reform policies and free market systems and also deepened economic relations with Korea during 19...
South Asian Countries which achievied a high GDP growth rate following China, NIEs and ASEAN in 1980s, has been accelerated its economic growth rate with reform policies and free market systems and also deepened economic relations with Korea during 1990s.
India which achieved average 5.2% of GDP growth rate everyyear during 1980~93, has recorded average 6% of GDP growth rate in 1990s. Particularly, India has been evaluated as a possible country to have stable growth due to the small gap between investment and saving, the comparatively high production portion of heavy and chemical industries and abundant and high skilled human capital.
Pakistan has some problems such as the high dependence of 'Cotton Group(Raw Cotton, Cotton yarn and clothes etc.)', shortage of foreign currency reserve, rapid inflation of external debt servicing and unstable polictics. However, it is believed that the re-election of Nawaz Sharif who shows strong characteristic in reform policy make pakistan stable economic growth.
In 1996, trade between South Asia and Korea increased 2.4 times in comparision to 1990. During this period, Korean direct investment to South Asia expanded 15.1 times. The reform policy of South Asia and the effort of Korean companies to open new emerging market expanded the economic relation between both and it is prospected that this trend will be contined. Particularly, India, occupied 58% of trade between South Asia and Korea and 72% of Korean direct investment to South Asia, will be a main country in South Asia.