That's 8.two percent more than Seoul contributed last year, reflecting a rise in South Korea's defense budget this year.
The new deal must still be approved by South Korea's parliament, but it would boost its contribution to 1.03 trillion won (687.68 million pounds) from 960 billion won in 2018.
South Korea and the United States struck a new deal Sunday on how much Seoul should pay for the USA military presence on its soil, after previous rounds of failed negotiations caused worries about their decades-long alliance.
Last year, South Korea provided about $830 million, roughly 40 percent of the cost of the deployment of 28,500 US soldiers whose presence is meant to deter aggression from North Korea. The U.S. hopes North Korea will give up its nuclear weapons in exchange for an end to punishing global sanctions.
The president had been harping about South Korea not paying its fair share since the 2016 campaign, making this new agreement a clear victory for his policy of getting other nations to pay more for USA force protection.
Last month, a senior South Korean ruling party legislator said negotiations were deadlocked after the U.S. made a "sudden, unacceptable" demand that Seoul pay more than 1.4 trillion won ($1.2bn) per year.
But both sides worked to hammer out an agreement to minimise the impact on South Koreans working on USA military bases, and focus on nuclear talks ahead of a second U.S.
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Trump told CBS' Face the Nation last Sunday that he had no plans to withdraw troops from South Korea.
Overall, the study says North Korea "rolled back the threat" researchers believed Pyongyang to pose in 2017. Washington's top negotiator, Betts, also met with South Korea's Foreign Minister, Kang Kyung-wha, before signing the agreement.
After the June meeting, Trump announced a halt to joint military exercises with South Korea, saying they were expensive and paid for mostly by the United States.
Seoul said Sunday it agreed to hike its payment for maintaining American troops on its soil, settling a dispute with its longtime ally ahead of a second summit between the United States and North Korea. "These capabilities continue to hold the United States, [South Korea] and our regional allies at risk". The signed agreement is called "preliminary" as of now since it needs to be approved by South Korea's National Assembly.
Most US troops were withdrawn in 1949 but they returned the next year to fight alongside South Korea in the 1950-53 Korean war.