In 2015, Korea's economy is expecte

In 2015, Korea's economy is expected to grow at about 3.4 percent, a very promising outlook from a European point of view. Korea keeps on attracting more foreign investors, with a 30 percent increase of inbound FDI, at $19 billion. Of the $19 billion, $6.5 billion came from companies based in the European Union. European companies' contribution to Korean economic growth is positively acknowledged by the government.

European businesses are generally content with their recent performance and acknowledge the importance and weight of the Korean market in their strategy, as revealed by a joint survey carried out in November 2014 by the FKCCI along with 4 other European chambers. Nevertheless, this survey highlights some challenges faced by European companies, such as rising labor costs and inconsistent regulations, for which they hope to carry out dialogue with the concerned government officials to tackle the problems in a cooperative manner. I am confident that the 2015 economic plan recently unveiled by the Korean government (the so called "4 pillars") is going in the right direction but still needs to be commented on from a foreign investors' point of view.

The first of the four pillars deals with vitalizing the creative industries. Indeed, 2015 will see the promotion of innovation and entrepreneurship through various measures, such as the opening of 17 additional Centers for Creative Economy and Innovation or a "high tech campus for business starters", supported by the Small and Medium Business Administration. European companies have long maintained a strategy of producing innovative or state-of-the-art products as they ensure that Korean companies and consumers benefit from the latest product developments. Hence, this kind of initiative raises numerous collaborative opportunities with startup platforms such as with French Tech. I strongly encourage these new innovative environments to be opened to foreign actors, promoting international collaboration.

Secondly, the government's plan to focus on deregulation, raising a lot of expectation from the European community. Inconsistent regulations, grey areas subject to interpretation and so on are some of the most challenging obstacles to operate a foreign business in Korea. According to a joint survey, over half of foreign companies have missed out on opportunities in Korea due to regulatory barriers. I am confident that the Korean government will continue to hear the foreign business community's feedback to build a more transparent and less interventionist regulatory environment, as it will be key to attracting more FDI and revitalizing the economy.

The third pillar gives priority to structural reforms, such as improving public welfare efficiency and pushing for changes in the labor code. A country like France, with strong social and labor rights system, understands such initiatives. However, those regulations, such as the one concerning the base of calculation of contributions on ordinary wages, are implemented too quickly with short deadlines and with different interpretations depending on the jurisdictions. Such a rapidly changing and inconsistent regulatory environment brings confusion and can discourage investors and entrepreneurs. I hope for a more predictable process that takes into account foreign voices.

Finally, as the fourth pillar, the government is strongly determined to expand its FTA network and develop its export markets. Such an initiative can make Korea a platform for foreign investors. Nevertheless this focus should not overshadow the other three pillars targeting the local market which needs to be strong as a prerequisite for foreign investment. All pillars must be equally sturdy for the Korean economy's foundations to be solid. As an architect, by profession, I can only stress that the balance of load and strength (of domestic market and exports) should always be harmonious.

After 19 years in Korea, I am convinced about the merits of the country. Nevertheless, the Korean government needs to ensure that its local market allows foreign companies to develop profitable business in a secure environment. In this respect, we would highly appreciate more dialogue with governmental institutions, such as with trade minister Yoon Sang-jick's reactivity regarding working visa issuance for foreigners. Working hand in hand can only make Korea global and more attractive.

The writer is the chairman of the French Korean Chamber of Commerce and Industry (FKCCI).