Bangkok--7 Sep--Moody's Investors Moody's Investors Service says that Korea's structured finance markets grew moderately in 1H07 and represented close to 65% of Asian issuance (ex-Japan and ex-Australia, and excluding regional derivatives). "Total structured finance issuance in 1H07 was close to USD19 billion, while it had neared USD17 billion in 1H06," says Dominique Gribot-Carroz, a Moody's AVP in Hong Kong and the author of a new report jointly written with Moody's affiliate -- Korea Investors Service -- which reviews 1H07 and examines the outlook for 2H07. "Looking ahead, the extent of growth in 2H07 is uncertain for South Korea, given a slowdown in real estate issuance, while possible changes in regulations may favour credit derivatives development on the domestic market," says Gribot-Carroz. "The number of domestic deals in 1H07 was lower than in 1H06 due to the fall in real estate project finance loan securitizations, while average issuance was 20% higher," says Gribot-Carroz, adding, "One of the most distinctive features of 1H07 was the introduction of repackaged creditderivative securitizations and the appearance of 8 deals which securitized M&A syndicated loans and leveraged buy-outs." In 1H07, cross-border issuance was USD1.98 billion, compared to USD1.35 billion last year. It represented 10.6% of the total cross border and domestic 1H07 issuance, versus 8.0% in 1H06. Three deals closed (1 RMBS and 2 ABS), the same as in 1H06. The South Korea report is being released in conjunction with a similar structured finance report for India, a combined report for China, Hong Kong and Taiwan, another combined report for Singapore, Malaysia, Thailand and Indonesia, a report summarizing developments in the entire region, and another on regional derivatives.