PRESS DIGEST - South Korean newspapers - July 31

SEOUL, July 31 (Reuters) - The following is a summary of major South Korean newspapers on Friday, prepared by Reuters in Seoul. Reuters has not checked the stories and does not guarantee their accuracy.

KOREA ECONOMIC DAILY

Several domestic companies are interested in purchasing Daewoo Engineering & Construction (047040.KS), the chief executive of its main creditor Korea Development Bank said on Thursday.

South Korea will triple state funding for embryonic stem cell research to 120 billion won ($97.51 million) until 2015, the Ministry of Education, Science and Technology said on Thursday.

DONG-A ILBO

The government will introduce a loan programme for underprivileged college students from 2010 that will allow them to pay off debts after getting a job, to ease the social burden of rising college tuition and youth unemployment, the Education Ministry said on Thursday.

THE KOREA TIMES

The government is considering offering education programmes for backpackers who go abroad for working holidays, Foreign Ministry officials said on Thursday. The move came after two working holiday visa holders in Australia were found dead Wednesday, a week after they went missing. The ministry officials said their cause of death has yet to be determined.

JOONGANG ILBO

Ssangyong Motors' (003620.KS) labour union and management on Thursday resumed negotiations over a layoff plan for the first time in 42 days. ($1=1230.5 Won)