The South Korean authorities are “ carefully ” watching the economic conditions despite improving data as escalating geopolitical risks following another missile provocation from North Korea aggravate uncertainties , said Yoo Il - ho , deputy prime minister for economy . “ We can hardly afford to loosen watch due to the North Korea risk on top of overseas uncertainties from trade barriers and interest rate increases in the United States , ” Yoo told reporters after heading an economy - related cabinet meeting on Wednesday . North Korea around 6 . 42 a . m . Wednesday fired a ballistic missile - its fourth launch so far this year - off its eastern coast that flew about 60 kilometers ( 37 miles ) before plunging into the East Sea . Pyongyang is said to be in the final stage of carrying out sixth nuclear test . Yoo said the government will judge whether it needs to create a supplementary budget after studying the economic conditions and data . The decision on additional fiscal spending , however , would be up to the next administration following the May 9 presidential election . From data alone , the economy is recovering mostly on a boon in memory chips and refined oil products from rebound in international prices . Current - account surplus jumped 59 percent on exports growth of 23 percent in February . Inflation accelerated by 2 . 2 percent in March due to spike in petroleum - related prices . “ Conditions improved for recovery in business sentiment due to five - month growth in exports , but they are too fragile because of lingering uncertainties , ” he said . Yoo said the spike in February current - account surplus won ’ t likely influence much in the U . S . Treasury Department ’ s upcoming foreign exchange report on major trading partners . He claimed the conditions have not changed greatly to make Korea go on the list of currency manipulating states . The won has appreciated sharply against the U . S . dollar over the last two months . The dollar that was at 1 , 204 . 5 won on Jan . 9 slipped to 1 , 108 . 5 won on March 27 . The dollar was up 1 . 30 won at 1 , 125 . 80 as of 1 : 45 p . m . Wednesday Seoul trading upon news of another missile launch from North Korea . Yoo reiterated what financial authorities have been saying , warning that the government and state creditors would choose the option of placing Daewoo Shipbuilding & Marine Engineering Co . ( DSME ) under prearranged court restructuring if the shipbuilder cannot persuade private lenders to agree to the new government - led debt relief program . [ ⓒ Maeil Business Newspaper & mk . co . kr , All rights reserved ]