SKorea backs down on privatisation plans
Updated
The South Korean government says it has dropped plans to privatise a string of public utilities.
The decision is being seen as a major policy turnaround for the new conservative administration.
The finance ministry says while electricity, gas, water and health care insurance have been withdrawn from sale, the government is still committed to privatising other state-funded or state-owned companies.
These include Daewoo Shipbuilding and Marine Engineering - the world's third largest shipyard.
The finance ministry says the decision was made during discussions last week with the ruling party, amid growing fears that privatisation could push up prices and fuel already high inflation.
President Lee Myung-Bak was elected in December partly on a pledge to transfer state-run companies to private hands to raise efficiency.
He took office in February but faced weeks of street protests against a decision to resume US beef imports and against other policies, including privatisation.
