In an interview with Bloomberg, South Korea’s Prime Minister, Kim Min-seok, stated that South Korea’s investment projects in the United States would remain in a state of limbo until issues related to visas are resolved. He emphasized that meaningful progress is virtually impossible without addressing the visa problem. In response to Bloomberg’s inquiry about whether current investment projects are halted, Prime Minister Kim clarified that while the projects are not completely stopped or officially on hold, it is very challenging for many personnel to enter or re-enter the United States until the issue is resolved.
The Prime Minister’s Office further explained that the visa issue pertains specifically to investments currently taking place in Georgia and is unrelated to the $350 billion investment being discussed between South Korea and the United States. They clarified that the remarks were not an indication of investment suspension but rather an explanation of the reluctance of South Korean workers and their families to enter the U.S. without resolving the visa issues.
Regarding the $350 billion investment fund negotiations, Prime Minister Kim highlighted that the commitment exceeds 70% of South Korea’s foreign exchange reserves and could significantly impact the Korean economy without a currency swap agreement with the U.S. He stressed the need for such an agreement to avoid a financial crisis similar to the 1997 Asian financial crisis, should South Korea comply with all U.S. demands.