London: Finance Minister Koo Yun-cheol highlighted South Korea's solid economic fundamentals and strong artificial intelligence (AI) capabilities to investors in Britain, promoting what he called the "Korea premium," his office said Tuesday.

According to Yonhap News Agency, Koo made the remarks during a meeting with global investors in Britain on Monday (London time), attended by around 20 senior officials from 17 leading financial companies, including BlackRock Inc., J.P. Morgan Asset Management, and BNP Paribas. The Ministry of Finance and Economy noted that the event was organized to engage with key global investors amid growing interest in the South Korean capital market.

Koo emphasized that the "Korea discount," a term used to describe the tendency for South Korean stocks to trade at lower valuations than their global peers due to financial regulations and other barriers, is now a thing of the past. He asserted that the "Korea premium" has become a new reality, marking the present as an opportune time to invest in South Korea.

The finance minister highlighted South Korea's introduction of investor-friendly tax reforms and efforts to overhaul the financial market. These measures have contributed to the Korea Composite Stock Price Index (KOSPI) surging more than 170 percent since the launch of the new administration in June last year, making South Korea's stock market the world's seventh largest.

South Korea has attracted additional funds worth US$10.9 billion as of Friday following its inclusion in the World Government Bond Index in April, Koo added. He also pointed out that South Korea is taking a leading role in sectors such as high bandwidth memory, secondary battery, and sensor industries, which are crucial to the physical AI industry. The country's infrastructure further enhances its attractiveness as an investment destination.

Looking ahead, Koo informed investors that South Korea is working to further lower barriers for foreign investors, including the launch of a 24-hour foreign exchange market. In response to concerns over supply disruptions caused by the Middle East crisis, he said South Korea is reviewing measures to strengthen its supply chains, such as expanding domestic production capacity and diversifying import sources.