SEOUL (Reuters) -South Korean Finance Minister Koo Yun-cheol said on Tuesday it was “huge progress” that the U.S. was not insisting that South Korea make all of the $350 billion investments, promised in a trade deal reached in July, in the form of direct investment.

There have been differences between how Seoul and Washington view the investment package, with the former saying it will mostly comprise loans and guarantees and the latter saying it will be paid “upfront”.

Officials in Seoul have argued that such a large direct investment would have domestic foreign exchange implications, warning that the ensuing dollar demand in the domestic currency market would weigh heavily on the won.

Koo’s comments on Tuesday come a day after he said Washington now understood South Korea’s concerns “t

See Full Page