Companies to raise 670 bln won to promote shared growth with smaller firms

SEOUL, Oct. 21 (Yonhap) -- Big South Korean companies plan to raise 670 billion won (US$631 million) by 2016 to help promote shared growth with smaller businesses, an official said Monday.

Still, it was not yet fixed how much each company will contribute to creating the fund, said Lee Woo-young, an official of the National Commission for Corporate Partnership, a private body responsible for shared growth between conglomerates and smaller businesses.

The latest move comes as President Park Geun-hye has vowed to tackle alleged unfair business practices by the country's conglomerates, known as chaebol, and to level the playing field for smaller firms in a country that has been dominated by family-controlled chaebol for decades.

"The shared growth is an indispensable strategy for sustainable growth," Park said in a video message to a meeting in Ilsan, just northwest of Seoul, that was meant to celebrate a week of shared growth.

Park also asked companies to further expand the scope of shared growth and create jobs.

The meeting drew about 300 people, including government officials and business leaders.

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