The finance ministers of South Korea and Argentina have held talks over ways to ease volatility of cross-border capital flows and strengthen economic cooperation, the finance ministry said Friday.

Finance Minister Hong Nam-ki and his Argentine counterpart, Martin Guzman, held the meeting in Venice, Italy, on Thursday (local time) on the sidelines of the Group of 20 (G-20) meeting of top finance and economic officials, according to the Ministry of Economy and Finance.

They shared the view that the normalization of accommodative monetary policies by major economies could amplify cross-border movements of capital flows.

The finance chiefs said this will likely have unintended negative impacts on emerging economies and serve as a major risk factor for the global economic recovery.

Hong also welcomed the resumption of free trade talks between South Korea and a group of South American countries after around a year of hiatus amid the pandemic and called for the countries to swiftly strike an agreement on the FTA deal.

South Korea launched its first talks with the four member states of the South American trade block Mercosur -- Brazil, Argentina, Paraguay and Uruguay -- in 2018. (Yonhap)