Equity market Raise ceiling on aggregate foreign ownership of listed Korean shares from 26 to 50 percent and the individual ceiling from 7 to 50 percent. Money market Set timetable, in consultation with IMF mission, to permit unlimited foreign investment in domestic money market instruments. Obtain National Assembly approval to reactivate treasury bill issues. Corporate borrowing Lift the restriction on foreign borrowing of over 3 years maturity. Mid-January 1998 5.
Financial institutions Allow foreign banks and brokerage houses to establish subsidiaries.
Foreign borrowing Place prudential controls on short-term external borrowing of financial institutions. Measures Timing 1. Deal with financial crisis Establish a high-level task force chaired by the MOFE to coordinate development and implementation of a strategy to address the present financial crisis. Task force to include BOK, MOFE, KAMC, KDIC, and private sector. Terms of reference describing the objectives and staffing of the task force will be finalized by December 30.