(2nd LD) S. Korea's finance minister highlights role of GCF to G-20

(ATTN: UPDATES in lead, more details in paras 2, 4, 8-13)

SEOUL/WASHINGTON, April 18 (Yonhap) -- South Korea's top economic policymaker urged the Group of 20 major economies to lend support to the Green Climate Fund (GCF), an organization that helps developing countries tackle climate change-related problems, the finance ministry said Saturday.

The ministry said Choi Kyung-hwan emphasized, immediately after the G-20 financial ministerial gathering on Friday, that the GCF can help developing countries deal with environmental issues, adding that climate change can be utilized as growth opportunities.

The meeting was also attended by World Bank Group President Jim Yong Kim, U.N. Secretary-General Ban Ki-moon, IMF Managing Director Christine Lagarde and GCF Executive Director Hela Cheikhrouhou.

Launched in late 2010, the GCF is part of the United Nations Framework Convention on Climate Change framework whose main objective is to channel money from industrialized nations to developing countries to help them tackle climate change-related problems. It is based in South Korea's Songdo, west of Seoul.

Ban echoed the view, adding raising funds for the GCF will help small islands and other vulnerable countries to climate change.

Choi, who doubles as deputy prime minister in charge of economic affairs, is in Washington to discuss issues that include investment and infrastructure development, financial and tax reforms, and efforts that can be taken by countries around the world to vitalize growth with the G-20.

Choi also met Chinese Finance Minister Lou Jiwei and asked China to reflect South Korea's interests in the Asian Infrastructure Investment Bank (AIIB), a China-led regional development bank. He added that Seoul wants the staff at the temporary secretariat that will be set up to include talented people from South Korea.

Fifty-seven countries joined the AIIB with the first meeting of new members to take place in Beijing on Monday.

Lou said that he heartily welcomed South Korea's membership and emphasized that views and interests of countries will be discussed in the writing of the AIIB's Articles of Agreement.

The South Korean official then met with John Chambers, the chair of Standard & Poor's Ratings Services (S&P), and other officials to highlight the economic improvement of South Korea and suggested the global ratings agency raise the credit rating of Asia's fourth-largest economy.

The finance ministry said S&P lauded the government's latest fiscal policy measures and efforts taken by Seoul to control household debt.

S&P's sovereign rating for South Korea's stands at "A+" with its outlook set at "positive." This is the fifth highest on its ratings chart and is unchanged since September 2012. In comparison, Moody's and Fitch both place South Korea one notch higher on their respective rating schemes.

Moody's gave South Korea a "Aa3 positive" rating, while Fitch's estimate stands at "AA- stable."

colin@yna.co.kr
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