South Korea announces fresh stimulus measures

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Image captionDisappointing trade numbers released on Monday showed exports contracted 18.5% in January from a year earlier

South Korea’s government has unveiled new stimulus measures following a raft of disappointing economic data for the export-dependent nation.

The stimulus package will include an extra 6tn Korean won ($4.94bn; £3.42bn) in public spending.

It will also include an extension of existing tax cuts on cars.

Overall, the package will see an additional 21tn won of spending in the first quarter, the Yonhap news agency said.

South Korea, Asia’s fourth largest economy, has been hit by slowing global growth, falling oil prices, and softer demand out of China, one of its most important trading partners.

The latest stimulus measures, which will also see cheaper loans made available to some local companies, are designed to help boost exports and domestic demand.