Hanjin Energy sells S-Oil stake to Saudi Aramco’s unit

Hanjin Energy Co. has sold all of its stake in South Korean refiner S-Oil Corp. to Saudi Aramco’s overseas unit, the refiner said Tuesday, in a deal aimed at easing financial troubles at the energy firm’s parent company.The stake sale came six months after Hanjin Energy, an affiliate owned by No. 1 full-service carrier Korean Air Lines Co., announced its plan to sell 31.9 million shares worth 1.98 trillion won ($1.83 billion) to Aramco Overseas Company B.V., a unit of Saudi Arabia’s state oil fi

Jan. 20, 2015

Over W1.5tr invested in startups last year

South Korean start-ups and venture firms have received over 1.5 trillion won ($1.39 billion) in investment last year on the back of increased funding by institutional investors and a rise in investment funds, data showed Tuesday.According to the Small and Medium Business Administration, 1.64 trillion won was invested in start-ups last year, up 18.4 percent from a year earlier.The number of start-ups that received investment also increased to 901 from 755 over the cited period, the data showed.So

Jan. 20, 2015

Gaeseong-based firms enjoy strong growth: data

The overall earnings of 10 South Korean companies that are operating in a jointly run inter-Korean industrial complex have increased by an average of over 10 percent per year since 2005, data showed Monday, indicating that they have been doing relatively well despite political tensions that have emerged over the years.The South Korean firms doing business in the Gaeseong Industrial Complex, a manufacturing zone jointly run by the two Koreas in a North Korean border city, posted an annual operati

Jan. 20, 2015

FX forward net buying by Korean firms soars in 2014

South Korean companies saw their forward exchange net purchases increase in 2014 from a year earlier as the won strengthened against the dollar in the first half of the year, central bank data showed Tuesday.The net purchases reached $10 billion last year, sharply increasing from $1.6 billion in 2013, according to the data by the Bank of Korea. The amount is smaller than the $24.1 billion posted in 2012.The on-year rise was attributed to a fall in forward selling in the first half as shipbuilder

Jan. 20, 2015

S. Korea's fiscal balance deficit tops 30.2 tln won in Nov.

South Korea's operational fiscal balance was in the red by 30.2 trillion won ($27.96 billion) for January-November period last year, mainly due to a drop in tax earnings while the government spent more, the finance ministry said Tuesday.The deficit is significantly larger than the 21.1 trillion won deficit for the whole of 2013, the ministry's Monthly Finance Report showed."The steep rise in the fiscal balance deficit was caused by the drop in tax revenue brought on by the sluggish economy and e

Jan. 20, 2015

Korea’s mobile ad market to surpass W1tr this year

The local market for mobile advertisements is anticipated to top the 1-trillion won ($928 million) mark in 2015, a report showed Monday, as people spend more time on smartphones compared to traditional PCs.South Korea’s market for mobile advertisements is estimated to rise 27 percent on-year to reach 1.06 trillion won this year, according to the report released by market researcher DMC Media.The market expanded 74.1 percent on-year to reach 832.9 billion won in 2014.The researcher said the growt

Jan. 19, 2015

Budget carriers fly over half of domestic travelers in 2014

South Korea’s low-cost carriers transported more than half of domestic passengers for the first time last year as more consumers opted for their cheaper and improving flight services for short-distance travel, industry data showed Monday.According to the data compiled by Jeju Air Co., the country’s largest budget carrier, the country’s five LCCs provided flight service to a combined 12.49 million passengers on their domestic lines last year, up 16 percent from a year earlier. The figure accounte

Jan. 19, 2015

Turnover ratio of Korean stocks down in 2014

The turnover ratio of Korean stocks decreased last year as the local equity market remained sluggish despite ample liquidity under low interest rates, the main bourse operator said Monday. The turnover ratio of stocks listed on the main KOSPI market was 198.38 percent in 2014, down 37.76 percent from a year ago, the Korea Exchange said. Stocks changed hands twice on average last year. The corresponding ratio for shares on the tech-laden KOSDAQ market was tallied at 390.51 percent, 72.71 percent

Jan. 19, 2015

Producer prices fall for 5th straight month

South Korea’s producer prices posted a fifth month of decline in December as global oil prices continued to slide, falling to the lowest level in four years, central bank data showed Monday.The producer price index, a barometer of future consumer inflation, reached 103.23 in December, slumping 2 percent from the previous year, according to the preliminary data from the Bank of Korea.It marks the lowest level since 102.71 in December 2010. It also marks the fastest on-year decline since May 2013

Jan. 19, 2015

Tax office to reduce burden on taxpayers, encourage accurate income reporting

South Korea's tax office said Monday it will take steps to reduce burden on ordinary taxpayers and small and medium enterprises (SMEs) while encouraging accurate income reporting in order to boost state revenue this year.The National Tax Service (NTS) in the past few years had collected less money than planned, with the deficit for last year estimated at around 10 trillion (US$9.2 billion) to 15 trillion won. For 2015, the National Assembly Budget Office estimated the shortfall would likely reac

Jan. 19, 2015

Oil prices edge lower in Asian trade

Oil prices edged lower in Asia on Monday as a rally late last week fizzled out, owing to lingering concerns about weak demand and a global supply glut, analysts said.US benchmark West Texas Intermediate (WTI) for delivery in February eased 37 cents to $48.32 in afternoon trade and Brent crude for March fell 37 cents to $49.80.Prices rebounded Friday after the International Energy Agency said there were signs "the tide will turn" in the battered market after a recent plunge to near six-year lows.

Jan. 19, 2015

Perceived inflation differs widely from government statistics from rise in meat, utility prices

The sharp rise in meat, dairy and public utility prices pushed up inflation perceived by ordinary people last year to more than the marginal gains tallied by the government, statistics agency said Monday.Data by Statistics Korea showed that while inflation rose 1.3 percent last year compared to 2013, prices of certain key commodities that directly impact people's everyday lives rose at a faster clip, offsetting some of the advantages of lower costs for consumers.Last year's inflation gain is unc

Jan. 19, 2015

Seoul shares open higher on ECB hope

South Korean stocks opened higher Monday amid the rising hopes for an additional stimulus by the European Central Bank (ECB), analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) gained 21.03 points, or 1.11 percent, to 1,909.16 in the first 15 minutes of trading.Shares gathered ground across the board, with Samsung Electronics rising 1.6 percent, and top chipmaker SJ hynix advancing 0.53 percent. Samsung SDI added 1.83 percent, and LG Electronics climbed 1.32 percent.Builders a

Jan. 19, 2015

Turnover ratio of Korean stocks down in 2014

The turnover ratio of Korean stocks decreased last year as the local equity market remained sluggish despite ample liquidity under low interest rates, the main bourse operator said Monday. The turnover ratio of stocks listed on the main KOSPI market was 198.38 percent in 2014, down 37.76 percent from a year ago, the Korea Exchange (KRX) said. Stocks changed hands twice on average last year. The corresponding ratio for shares on the tech-laden KOSDAQ market was tallied at 390.51 percent, 72.71 pe

Jan. 19, 2015

S. Korea's economy to grow 3.6 percent this year: global investors

Global investment banks (IBs) see a mid-3 percent growth rate for South Korea's economy this year, which is higher than an estimate by the country's central bank, industry data showed Monday.Average projections from 10 major IBs, led by BNP Paribas and Citibank, show South Korea's gross domestic product (GDP), the broadest measure of economic performance, growing 3.6 percent this year, according to the data. The figure is 0.1 percentage point higher than a month ago.Last year, the Korean economy

Jan. 19, 2015

S. Korea's mobile ad market to surpass 1 tln won this year: report

The local market for mobile advertisements is anticipated to top the 1-trillion won (US$928 million) mark in 2015, a report showed Monday, as people spend more time on smartphones compared to traditional PCs.South Korea's market for mobile advertisements is estimated to rise 27 ercent on-year to reach 1.06 trillion won this year, according to the report released by market researcher DMC Media.The market expanded 74.1 percent on-year to reach 832.9 billion won in 2014.The researcher said the grow

Jan. 19, 2015

Producer prices fall for 5th straight month

South Korea's producer prices posted a fifth month of decline in December as global oil prices continued to slide, falling to the lowest level in four years, central bank data showed Monday.The producer price index, a barometer of future consumer inflation, reached 103.23 in December, slumping 2 percent from the previous year, according to the preliminary data from the Bank of Korea (BOK).It marks the lowest level since 102.71 in December 2010. It also marks the fastest on-year decline since May

Jan. 19, 2015