South Korean Finance Minister Hong Nam-ki held talks with International Monetary Fund (IMF) Managing Director Kristalina Georgieva on the sidelines of the Group of 20 (G-20) meeting in Italy, the finance ministry said Sunday, Trend reports citing Yonhap.
During the talks, Hong told Georgieva that nations need to flexibly respond to a sudden inflow and outflow of capital, according to the Ministry of Economy and Finance.
Hong’s remarks were seen as meaning the IMF needs to allow nations to take various measures as the U.S. Federal Reserve moves to taper its asset purchase programs.
The IMF plans to distribute the Special Drawing Rights (SDR), an international reserve asset, to member countries this summer. The SDR is an international reserve asset that was created by the IMF in 1969 to supplement its member countries’ official reserves
Hong supported the IMF’s plan to increase loans for its Poverty Reduction and Growth Trust, the ministry said.