S. Korea's foreign currency deposits sink to 15-month low in Sept.

Foreign currency deposits at banks in South Korea dipped for a fifth consecutive month in September, hitting the lowest level in 15 months, central bank data showed Thursday.Outstanding foreign currency deposits held by local residents came to $59.19 billion as of the end of last month, down $500 million from the previous month, according to the data from the Bank of Korea.Local residents include firms and foreign nationals who have stayed in the country for more than six months. The figure excl

Oct. 8, 2015

KDB sends out bidding notice for two units

State-run policy lender Korea Development Bank on Thursday posted a bidding notice for its brokerage and asset management units in a package deal as part of a government-led privatization scheme.The KDB said it will divest some 43 percent in KDB Daewoo Securities Co. and a 100 percent stake in KDB Asset Management Co. It will close the bidding on Nov. 2.It said investors can buy a package of the two KDB affiliates.Market watchers estimate the deals at as much as 2.3 trillion won ($1.99 billion).

Oct. 8, 2015

Park calls for change of S. Korea's economic structure

President Park Geun-hye said Wednesday that South Korea should change its economic structure to better cope with challenges caused by economic changes in China.China is pushing to boost domestic consumption in a major transition for the world's second-largest economy that has long relied on exports and investment for economic growth."We should make efforts to expand our overseas markets through a free trade agreement with China," Park said in a meeting with members of an advisory committee on ec

Oct. 7, 2015

Korea seeks to reach more free trade deals: official

South Korea is seeking more free trade pacts and is committed to the establishment of a global value chain, the country's vice trade minister has said.Speaking at a two-day G-20 trade ministers meeting which ended in Istanbul on Tuesday, Vice Minister Moon Jae-do said that following the 2008 global financial crisis, heightened uncertainty and volatility have become the "new normal" on the international stage."Asia's fourth-largest economy is seeking to reach more free trade agreements with partn

Oct. 7, 2015

Large firms' labor costs growing faster than earnings: data

The labor costs for South Korean conglomerates have risen at a pace over the past decade faster than the growth in their bottom lines, data showed Wednesday. The average salary paid by 72 out of the country's top 100 companies by market capitalization to their workers, came to 69.6 million won ($59,900) last year, up 46.3 percent from 2005, according to the data compiled by corporate researcher CEO Score. In contrast, the surveyed firms' operating income grew at the slower pace of 20.3 percent o

Oct. 7, 2015

30 public firms carry W373tr debt

State-controlled corporations remain laden with heavy debts despite their struggle to improve financial statements under the incumbent administration’s overhaul initiative, data from the Ministry of Finance showed Tuesday.Korea’s 30 major public corporations saw their collective debt come to 373.6 trillion won ($320.1 billion) as of June 30 this year, which is higher than the 371.7 trillion won on June 30, 2014 and 371 trillion won on June 30, 2013.Debt in the public sector has continued to surg

Oct. 6, 2015

Korea moving toward joining TPP: finance minister

South Korea is examining various factors as it moves toward joining the mega regional partnership that is expected to become the world's single largest trading bloc, the country's top economic policymaker said Tuesday.Speaking to lawmakers at the parliamentary audit in Seoul, Finance Minister Choi Kyung-hwan said Seoul is actively reviewing the possibility of becoming a member of the Trans-Pacific Partnership.The United States, Japan and 10 other Pacific Rim countries reached the landmark free t

Oct. 6, 2015

Korean exports stay weak amid gaining domestic demand: KDI

A continued slump in South Korean exports remains a drag on the economy, though its domestic demand is improving gradually, a state-run think tank said Tuesday.In its latest report on the economy, the Korea Development Institute said the country's exports to all major economies stayed weak in September, with most flagship goods, except wireless communication devices and vehicle parts, losing ground in overseas markets.South Korea's outbound shipments plunged 8.3 percent on-year in September, wit

Oct. 6, 2015

ASEAN cooperation can be emulated in Northeast Asia: deputy FM

Northeast Asia should draw upon the experience of Southeast Asia to build trust and expand cooperation within the region, a senior government official said Monday.Deputy Foreign Minister Kim Hong-kyun made the remark during an international conference meant to examine the link between the trust-building and multilateral cooperation mechanisms of the Association of Southeast Asian Nations and the Northeast Asia Peace and Cooperation Initiative, one of South Korea's key diplomatic campaigns aimed

Oct. 5, 2015

Cigarette tax revenue equal to income taxes on salaried workers: report

A spike in local cigarette taxes is expected to push up the amount of next year's tobacco tax revenue on par with what the government receives from salaried workers, a local civic group claimed Monday.According to the Korea Taxpayers Association, cigarette tax revenue is estimated to top 12.6 trillion won ($10.7 billion) in 2016. Seoul marked up taxes levied on cigarettes by 2,000 won, starting in January, citing the need to push people to quit smoking.The estimate is only slightly smaller than

Oct. 5, 2015

Foreign investment inflow tops $10 bln mark in first nine months of 2015

Foreign direct investment that arrived in South Korea surpassed the $10 billion mark in the first nine months of 2015, up 9 percent compared to the year before, the government said Sunday.The total that arrived by the end of September stood at $10.82 billion compared to $9.92 billion tallied for the same three quarters last year, the Ministry of Trade, Industry and Energy said."After a weak start in the January-March period, FDI numbers clearly showed signs of improvement coming into the second

Oct. 4, 2015

Korea to resume pear exports to Australia

South Korea will resume exporting pears to Australia that were halted after the outbreak of fire blight in the country, the government said Sunday.According to the Ministry of Agriculture, Food and Rural Affairs, the ban on locally grown pears that has been in place since June will be lifted Monday. Joint inspections carried out by South Korean and Australian officials confirmed that Seoul is keeping the highly contagious disease under control, and that it has not spread across the country, it a

Oct. 4, 2015

Investors withdraw money from MMF amid earnings worries

Investors increasingly withdrew their money out of short-term financial instruments, such as money market funds, throughout last month on worries over lackluster corporate earnings, data showed Sunday. Money market funds are short-term debt securities, such as Treasury bills and commercial papers. They are widely considered as safe as bank deposits yet provide a higher return.MMFs have enjoyed popularity after the key interest rate was cut to a record low of 1.5 percent, with their net asset val

Oct. 4, 2015

S. Korea to hold joint economic forums with Czech Republic, Bulgaria next week

South Korea will convene joint economic committees with the Czech Republic and Bulgaria respectively next week to discuss ways to bolster bilateral trade and investment, the Ministry of Foreign Affairs said Friday.  In the committee meetings set for Monday in Prague and for Tuesday in Sofia, Lee Tae-ho, deputy minister for economic affairs, will discuss ways to boost economic cooperation with the European countries, the ministry said in a statement.  The Czech side will be represented by Vladimi

Oct. 2, 2015

S. Korea's exports to Australia jump following free trade deal

South Korea's exports to Australia have grown sharply since a bilateral free trade agreement went into effect last December, trade data showed Friday.  According to the data provided by the Federation of Korean Industries, South Korea's exports to Australia rose 15.6 percent on-year during the January-August period.   During the cited period, the country's total exports, however, declined 6.3 percent. The business lobby did not provide detailed trade figures.  With the increased exports, the pro

Oct. 2, 2015

S. Korea's consumer prices edge up 0.6 pct on-year in Sept.

South Korea's consumer prices grew less than 1 percent for the 10th month in a row in September, a government report showed Friday, as Asia's fourth-largest economy grapples with deflation concerns.  The country's consumer price index inched up 0.6 percent last month from a year earlier, the report by Statistics Korea showed.   The latest number, however, fell 0.2 percent from the previous month, the first time it has dropped into minus territory this year.  "Low international oil prices, along

Oct. 2, 2015