South Korea postpones $1b bond sale

---

SEOUL, Sept 13 (AFP): South Korea said today it has postponed an overseas sale of sovereign bonds worth one billion dollars due to concerns over liquidity and the health of North Korea's leader.
The Ministry of Strategy and Finance, in a statement announcing the delay, said there are fears of a renewed global credit crunch due to problems at investment giant Lehman Brothers.
It also noted geopolitical risks following reports of Kim Jong-Il's illness.
"We will swiftly issue the bonds without holding another roadshow when global financial market conditions improve," the ministry said.
Seoul had held overseas "road shows" to promote the bonds in hopes that a successful sale would quell concerns over its financial markets.
The markets had been rocked by rumours-which proved groundless-of an exodus of foreign capital this week.
"It seems money is in scant supply in the US financial market due to an aggravating liquidity crunch," Deputy Finance Minister Shin Je-Yun told reporters in New York Thursday.
"Also, the North Korean issue worked as a risk," Yonhap news agency quoted him as saying.
It was disclosed this week that North Korean leader Kim underwent brain surgery following a stroke last month, but is recovering.