SEOUL, March 20 (Reuters) - South Korea's Vice Finance Minister Hur Kyung-wook expects Morgan Stanley Capital International (MSCI) to upgrade the country to its developed market category, local media reported on Saturday.
'We are contacting the index compiler and I think we may be included during the first half,' Hur was quoted as saying by Yonhap news agency.
Hur said the country had not secured specific answers yet, but he was optimistic on a possible upgrade, Yonhap added.
Hur made the comments to South Korean reporters in New York after meeting investors.
When global index compiler FTSE upgraded South Korea to developed market status in September, Seoul's stock market saw a massive buying spree by foreign investors, lifting the main KOSPI (.KS11) index to a 15-month high.
Analysts said an upgrade by MSCI would likely spur a fresh foreign buying streak.
Foreign investors have bought a combined net 3.52 trillion won ($3.11 billion) so far this month, about 85 percent of their total purchases of this year.
Separately, a local online news service quoted Hur as saying the country's bonds would be included in Citigroup's global bond index in the first half.
'It is a matter of time, not a matter of 'yes' or 'no'... in the first half of this year, the inclusion of Korea in WGBI will be decided,' he was quoted as saying by eDaily.
The government has sought inclusion in the global bond index since early last year in an effort to attract more foreign investors to the domestic bond market.
But analysts said the government was becoming reluctant to join the World Government Bond Index as inclusion could bring more foreign investors and further strengthen the won currency .
Hur and finance ministry officials were unavailable for comment.
($1=1132.7 Won)
(Reporting by Cheon Jong-woo; Editing by Ron Popeski)
((jongwoo.cheon@thomsonreuters.com; +82 2 3704 5665; Reuters Messaging;jongwoo.cheon.reuters.com@reuters.net)) Keywords: KOREA STOCKS/MSCI (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
'We are contacting the index compiler and I think we may be included during the first half,' Hur was quoted as saying by Yonhap news agency.
Hur said the country had not secured specific answers yet, but he was optimistic on a possible upgrade, Yonhap added.
Hur made the comments to South Korean reporters in New York after meeting investors.
When global index compiler FTSE upgraded South Korea to developed market status in September, Seoul's stock market saw a massive buying spree by foreign investors, lifting the main KOSPI (.KS11) index to a 15-month high.
Analysts said an upgrade by MSCI would likely spur a fresh foreign buying streak.
Foreign investors have bought a combined net 3.52 trillion won ($3.11 billion) so far this month, about 85 percent of their total purchases of this year.
Separately, a local online news service quoted Hur as saying the country's bonds would be included in Citigroup's global bond index in the first half.
'It is a matter of time, not a matter of 'yes' or 'no'... in the first half of this year, the inclusion of Korea in WGBI will be decided,' he was quoted as saying by eDaily.
The government has sought inclusion in the global bond index since early last year in an effort to attract more foreign investors to the domestic bond market.
But analysts said the government was becoming reluctant to join the World Government Bond Index as inclusion could bring more foreign investors and further strengthen the won currency .
Hur and finance ministry officials were unavailable for comment.
($1=1132.7 Won)
(Reporting by Cheon Jong-woo; Editing by Ron Popeski)
((jongwoo.cheon@thomsonreuters.com; +82 2 3704 5665; Reuters Messaging;jongwoo.cheon.reuters.com@reuters.net)) Keywords: KOREA STOCKS/MSCI (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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