China NDRC head: impact of yen's fall needs close monitoring

SEOUL - China's National Development and Reform Commission chief said on Monday that the effects of the Japanese yen's fall must be monitored closely given the potential impact on neighbouring economies.

"(Japan) will look to keep the economy growing by boosting exports through the yen's depreciation," Xu Shaoshi said at a bilateral meeting with South Korean finance minister Hyun Oh-seok in Seoul. "This is a policy that will affect South Korea and China, and therefore needs to be monitored closely."

Xu also said the tapering of the US Federal Reserve's bond-buying programme could lead to capital outflows from emerging economies.

Earlier, South Korean Deputy Minister Eun Sung-soo said Seoul was concerned about the yen's rapid depreciation against the won.