Korea concerned about looming U.S. gov't shutdown

WASHINGTON, Sept. 30 (Yonhap) -- As the clock ticks down to a U.S. government shutdown, South Korean officials here said Monday they are preparing for its possible negative impact on the South Korean economy and Seoul-Washington diplomatic affairs. "A certain degree of impact appears to be inevitable. We are studying the possible impact and making relevant preparations," an official at the South Korean Embassy in Washington said. A State Department official said the department's business will continue as usual. "We have been told that the Department of State is an exception and will be open until further notice if this is not resolved," the official said. The department would continue processing foreign applications for visas, which are among "critical services," added the official. Time is running out for U.S. lawmakers to resolve longstanding disputes over a spending bill to keep the government running. If they don't produce a deal by midnight, the U.S. government will be shuttered provisionally as of Oct. 1. Around 783,000 federal workers are expected to be furloughed. It remains uncertain how long the shutdown will last. "Most of all, we are worried about the impact to the world economy, more specifically the Korean economy," the official said. "For instance, customs services will be affected, hampering trade between South Korea and the U.S., let alone financial markets." Adding to the concerns, another official said, is the possibility of a default on the federal debt in mid-October. "We don't expect such a nightmarish scenario to materialize," said the official. "But we are keeping close tabs on the situation." lcd@yna.co.kr leechidong@gmail.com (END)