The Ministry of Foreign Affairs announced the results of the ninth round of negotiations for the five-year Special Measures Agreement (SMA) between South Korea and the US on January 12.
The Korean government agreed to contribute 920 billion won (US$867 million) to keep US troops in the country. The number means a year-on-year increase of 5.8%. In addition, both countries decided to try harder to resolve differences starting from the allocation of Korea’s share of the costs for US troop presence in order to increase transparency.
The renewed agreement will be effective until 2018 with a maximum 4 percent annual increase in the amount.
At first, the negotiations encountered difficulties. Korea insisted on 900 billion won by applying a maximum 4 percent annual increase, while the US argued that it reduced the amount from a trillion won to 950 billion won. Ultimately, the costs were negotiated to 930 billion won.
Seoul reportedly accepted a large-scale hike, considering that the US forces have strengthened Korea’s readiness in light of a serious security threat in the Korean peninsula and US defense budget cuts. The fact that the previous SMA signed in 2009 expired at the end of 2013 also accelerated the deal.