Finance ministers of Japan and South Korea agree to resume currency swap agreement as ties warm

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TOKYO (AP)–Japan and South Korea agreed Thursday to revive a currency swap agreement for times of crisis, in the latest sign of warming ties as the countries…

Japanese Finance Minister Shunichi Suzuki announced the agreement after meeting with his South Korean counterpart, Choo Kyungho. It was the first time the two countries have held annual financial talks in seven years, though Suzuki and Choo also met in South Korea in May.Sign up to receive daily headline news from the Calgary Herald, a division of Postmedia Network Inc.By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc.

The two major Asian economies, both U.S. allies, have recently mended ties as they contend with challenges posed by China and North Korea, despite tensions over issues left over from Japan’s 35-year occupation of the Korean Peninsula before and during World War II.Article content Japan’s tightening of trade controls against Seoul was in apparent retaliation for South Korean court rulings in 2018 that ordered Japanese companies to compensate Korean workers for abusive treatment and forced labor during World War II.

South Korean President Yoon Suk Yeol and Japanese Prime Minister Fumio Kishida met in March in the first formal summit between the two countries since 2015.

 

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