South Korea conservatives win slim majority in MP vote

By Jack Kim

SEOUL (Reuters) - The conservative Grand National Party (GNP) of South Korea's new president won a slim majority in a parliamentary election, according to preliminary results released on Thursday by the National Election Commission.

The GNP won 153 seats in the 299-seat National Assembly, giving President Lee Myung-bak, who took office in February, the majority he needs to implement the business-friendly economic reforms he plans for Asia's fourth-largest economy.

"This is a great victory for the people who wanted the economy revived and the nation united," GNP chief Kang Jae-sup told a news conference late on Wednesday.

But the win was short of the commanding lead Lee might have hoped for, intent on radical changes to how the government manages an export-driven economy that faces increasingly tough competition from its neighbors.

Lee began his five-year term pledging to boost growth this year to 6 percent from 5 percent last year, cut red tape stifling business, win approval for a trade deal with major ally the United States, and open the economy to more foreign investment.

The GNP win marked the end of a string of victories for liberals in parliamentary races since the country began open, democratic elections 20 years ago.

The left-of-centre United Democratic Party collected 81 seats. Two conservative minority parties picked up 32 seats, with the rest split by minority liberals and independents.

To bolster his grip on power, Lee may need to call on the conservative stalwarts who bolted from the faction-ridden GNP in anger at his leadership.