S. Korea`s national debt to grow 4.2 pct this year

SEOUL, Oct. 1 (Yonhap) -- South Korea's national debt is expected to grow 4.2
percent this year mainly due to an overall increase in the issuance of state
bonds, the government said Wednesday.

State liabilities will amount to 311.6 trillion won (US$259 billion) this year,
an increase of 12.7 trillion won from 298.9 trillion won a year ago, according to
the Ministry of Strategy and Finance.
The 2008 government debt will account for 32.4 percent of the nation's gross
domestic product, down from 33.2 percent at the end of last year, the ministry
said.
Over the past five years and up until last year, state debt had expanded by 123.7
percent or 165.3 trillion won, the ministry added.
Most of the increase came from issuance of currency stabilization bonds and
conversion of public funds into Treasuries, according to the ministry.