Today the world is running for the money and overfilled with the wealth but still there are many people who died due to lack of money and enough resources to survive, children don’t go to their enough heights and mental strengths due to lack of food, people have not clean water to drink and indulge in different diseases. There are many people who are living an unhealthy life around the world. Many countries are still living under the poverty line.
I am starting here a story of a country which was in object poverty and its land revenge with war without any enough resources. The country was so poor and no one can think of its revival.
Almost after six decades, Korea became an empowered and one of the largest economy. Korea continuously gone through an amazingly rapid and successful technological information’s. Korea was one of the poorest countries in the world and managed a successful economy by replacing poverty with such outstanding success.
After the World War II Korea was separated from Japan ruling and administratively partitioned in 1945. But war broke out in Korea even before they enjoy the perks of their independence which they get from Japan. Many soldiers lost their lives. After 5 million causalities Korean finally get the newly formed republic. The Government of South Korea and citizen did an abundance of sacrifices and struggle a lot to raise their country. South Korea after the war has no resources to survive but they know how they can raise.
They started focus over Education, Parents send their children for miles just for the sake of Education. Government invests a maximum of its budget on the education. Their priority was education and parents did not ignore their responsibility. They know the importance of education and they did focus over study because they were knowing the fact that this is the only way to succeed.
Education to children soon show its fruits, they developed the highly trained workforce which later on becomes the epics for the career and economic growth.
But they need a foreign aid because without financials no one can grow. That time was really crucial for the Koreans and they did sacrifices for their future generations. At that time they were 90% dependent upon foreign Aid which was very crucial for the govt. After the restoration of necessary things, the right time for Korean growth started.
At this crucial time, the military took charge of the country a development was their top priority. They developed the economic planning board for planning, allocating budget and for attracting the foreign capital in order to spread economic growth.
Economic planning board developed the first five-year plan, but the only problem was funds. Unfortunately, the United States acted negatively and they raise the voice on negative impacts of the plan. But Korea doesn’t give up. After unless efforts, they receive funds from Germany. The nurses and taskforces sent to Germany and sent back their earnings to Korea. And government put their income into the investment plans. This was really helpful but not enough. Fortunately, their textiles grow rapidly and played a positive role in the growing economy. Then Govt. launched many enterprises for increasing the per capita income. The Govt. starts the steel industry which is a powerful engine in industries. Steel industry development was not an easy task as it was the first heavy industry of Korea. Despite the capsize and concern about the feasibility of venture the govt. launch missive efforts in 1970 to launch the integrated steel mill. The US looked upon this projects with doubts because this project needs much investment. And infect the US the most advanced country become failed to successfully launch the steel mill.
The steel mill “Pohang integrated steel mill” started in 1973 successfully. All the big industries are dependent over the steel mills like automobile, steel plates, buildings etc.
The steel industry one of the biggest promoter of Korean economic.
They produce their country by providing free cement and steel to their locals and people did hard work to bubbling the living standards up. The nation then knows that anything can be possible with the positive attitude and self-power and they started to hope for their bright future.
Govt. started work in society in means of social awareness program in society, factory. And Villages. Their focus is to tell their people that poverty cannot be overcome with the foreign aids and help it can only be ended by the manpower, faith planning and core of society.
The country growth was amazing and per capita income was increasing every year.
But a crisis of war yam Kapoor broke out. While inflation started in which Korea was also affected because of oil prices and shortage. Korea was an industrial country and oil was necessary for the industries. But this becomes an opportunity for Korea when they start working with the middle-east and started construction for them and in return they got the oil to run their industries. After this when they meet again with oil shortage second time they have the best solution prepared already and while all countries were decreasing their investments but not Korea.
For the first oil, short Korea invested in its industries like steel, machinery and shipbuilding industries. And in second oil short, they have built their own economy. They know the phenomena of oil prices, the US Dollar and interest rate and they built their economy by targeting the right points. They have a struggle for the democracy to boost the economic development and their nation.
Korea is an export-based country and they increase their exports to increase per capita GNP.
Korea has developed itself within the 33 years of their independence. Korea became the member of WTO and a member of OECD in 1996 in the achievements of their economic development.
In the meantime, Asian financial crises started and spread like the fire. South Korea got lost due to this and much major corporate businesses of Korea were in danger. therefore Korea applied the loan to IMF but they rejected the loan amount. The downsizing and inflation at that time was the big problem for the country. Then again they found the opportunity from these crises. They used their foreign reserves for the economy revivals they again restructured their businesses and changed the management systems and principals of promotions based on the performance. They forcefully change the leadership roles and did double the foreign reserves.
So by the first quarter of 1999, its growth rate is increased again up to 5.4% and the yearly growth rate was up to 10.5%.
After the 1990’s crises Korea learned a lesson as always they learn from their past and their growth rate continued to increase. They faced the bankrupt and growth graph slowed again but they increased their production rate up to 5% and the demand for their products was already maximized due to reliability.
In the late 2000’s as worldwide recession came and like other countries it gives set back to Korea as well. Their growth chart fell down up to 3.4% which was the greatest drop down of Korea of the last 10 years.
But Korea is a larger export country and it’s a big advantage of Korea that they have become an industrialized country in earlier years. Korea made 6.1% growth rate in 2010 that was a signal of return of the economy to the pre-crisis level.
Korea has signed the Free trade Agreement with Australia named as KOREA_AUSTRALIA FREE TRADE AGREEMENT which is a big benefit for Australian country. South Korea is one of the strongest economy holder countries.
“Their stance and courage are remarkable, they have proved that no problem is big it depends upon the maturity of the nation”.