The finance ministers of South Korea and the United States have agreed to strengthen bilateral cooperation in implementing international sanctions on North Korea for its recent nuclear and long-range rocket tests, the finance ministry said Sunday.

The United Nations Security Council, led by the U.S., is set to adopt a fresh resolution for strong sanctions over the North's latest provocations.

Earlier this week, Washington unveiled key points of the draft sanctions resolution that requires mandatory inspection of all cargo going in and out of North Korea, ban its exports of coal, iron and other mineral resources, a key source of hard currency for Pyongyang, and prohibit all small arms and other conventional weapons from being sold to the North.

On the sidelines of the Group of 20 finance ministers meeting in Shanghai, China, South Korea's Finance Minister Yoo Il-ho met with his U.S. counterpart Jacob Jack Lew on Saturday to discuss viable ways to implement the fresh North Korean sanctions through the Seoul-Washington policy coordination.

South Korea has already joined efforts to cut off the source of dollars for North Korea by shutting down a joint industrial park in the North's border city of Kaesong on Feb. 10 in response to the North's provocations.

The government insists that 70 percent of the money that flowed into Kaesong Industrial Complex was funneled into the ruling Workers' Party of Korea (WPK) to bankroll its weapons development.

The South has prohibited any inter-Korean economic and other exchanges to punish Pyongyang for the sinking of a South Korean warship in March in 2010.

Yoo also had talks with International Monetary Fund Managing Director Christine Lagarde to share views on the challenging situation of the world economy and the necessity of global policy coordination to overcome a low growth of the world economy. (Yonhap)