BOK hints at lowering inflation target band

South Korea's central bank said Thursday that downside pressure on consumer prices will persist on the demand side, hinting that it may possibly lower its three-year inflation target range."On the demand side, downside pressure will persist, with the output gap remaining in negative territory on slowing growth. On the supply side, the impact of low oil prices will continue," the Bank of Korea said in its semiannual report on consumer inflation.The forecast comes as Asia's fourth-largest economy

July 30, 2015

Offshore investors cut S. Korea's growth estimate: report

Global investment banks have lowered their growth forecasts for South Korea as it faces a double whammy of lethargic consumption and sluggish exports despite a series of rate cuts and plans to jack up fiscal spending, a report showed Thursday.The average growth estimate by 10 major investment banks for this year reached 2.6 percent, lower than earlier forecasts, according to the report by the Korea Center for International Finance. The figure is lower than the government's 3.1 percent projection

July 30, 2015

LG Electronics Q2 net plunges on weak smartphone sales

LG Electronics Inc., South Korea's No. 2 tech giant, said Wednesday its second-quarter net profit tumbled 45 percent on-year due to lackluster sales of its flagship G4 smartphone and unfavorable currency rates.Net profit came to 226.4 billion won ($195.7 million) in the April-June period, compared with 411.8 billion won a year earlier, LG Electronics said in a regulatory filing.Operating profit came to 244 billion won, also down 60 percent a year earlier, while sales shed 7.6 percent to 1.39 tri

July 29, 2015

Import settlements in euro, won up in Q2

The portion of the euro and the Korean won used to settle imports to South Korea both rose to a fresh high in the second quarter, central bank data showed Wednesday.The use of the euro accounted for 6.3 percent of all import settlements in the April-June period, the highest level since 6.3 percent in the third quarter of 2009, according to the data by the Bank of Korea.The portion of the Korean won in import settlements, meanwhile, hit a record 4.6 percent, compared with 4.2 percent three months

July 29, 2015

S. Korean steel firms face anti-dumping suit in U.S.

South Korean steelmakers have been sued by their rivals in the United States on anti-dumping charges, a trade association here said Wednesday. AK Steel and four other major U.S. steelmakers filed anti-dumping and countervailing duty petitions against South Korea and seven other countries, according to the Korea International Trade Association.  The petitions, filed with the U.S. International Trade Commission and the Department of Commerce, claim that the unfairly imported steel products are hur

July 29, 2015

Gasoline prices hit 6-year low in H1

Gasoline prices in South Korea dipped to the lowest level in six years in the first half of this year due to falling crude oil prices, the state-run oil company said Tuesday. The average gasoline price stood at 1,514.5 won ($1.29) per liter in the January-June period, the lowest since early 2009, when it was 1,514.4 won, according to the Korea National Oil Corporation. The retail price hovered over 2,000 won in the first half of 2012 as crude prices shot up to over $100 a barrel, but it came dow

July 28, 2015

Smart appliances market to grow sharply in next 5 yrs

The global market for smart home appliances is forecast to grow by more than twofold annually over the next five years, buoyed by advancement in the Internet-of-Things technology, a report said Tuesday. Production of consumer electronics, whose functions will be connected to other mobile devices, is estimated to reach an annual 223 million units by 2020, up an average of 134 percent each year from the current output of around 1 million units, according to market tracker IHS. Given that the forec

July 28, 2015

Gov't set to extend eased mortgage rules for another year

The government will extend a temporary measure to ease mortgage regulations for another year in a bid to prop up the local economy that is showing budding signs of recovery, the financial watchdog said Tuesday.In August last year, newly minted Finance Minister Choi Kyung-hwan announced the eased rules in order to give home buyers greater access to mortgages and thus help boost the sluggish local housing market as well as the overall economy.The loan-to-value ratio was adjusted to 70 percent at l

July 28, 2015

S. Korea's venture investment surges in H1

Investment in South Korean venture firms soared nearly 40 percent in the first half of 2015 from a year earlier due largely to government support measures to foster their growth, data showed Monday. A total of 517 venture startups received a combined 956.9 billion won ($816.1 million) in investment in the January-June period, up 38.4 percent from 691.2 billion won tallied the previous year, according to the data by the Small and Medium Business Administration. The number of the firms that receiv

July 27, 2015

S. Korea's GNI per capita to top $40,000 in 2023: think tank

South Korea's per capita gross national income is forecast to reach $40,000 as late as 2023, a local think tank said Monday, as the country is mired in a period of low growth.According to the prediction by the Korea Economic Research Institute, the country's per capita GNI is expected to take 17 years to double from when the number first topped the $20,000 level, which was in 2006.  GNI covers the growth domestic product, which is the total measure of all goods and services made in a country, as

July 27, 2015

S. Korea's GDP may slip for first time since 2009

South Korea's per capita gross domestic product may drop on-year in 2015 for the first time since the global financial crisis amid a feeble global economy and a weakening won, some economic institutions said Monday.LG Economic Research Institute, the think tank of business conglomerate LG, projected the country's per capita GDP to reach $27,600, down from last year's $28,100. The figures were based on the real growth rate estimate of 2.6 percent, an average foreign exchange value of 1,109 won ag

July 27, 2015

Top 10 biz groups' regular workers up in Q1: data

The number of regular workers hired by South Korea's top 10 business groups edged up in the first quarter of this year from a year earlier as they try to hire more employees on a stable employment contract, industry data showed Monday.According to the data provided by market tracker Chaebul.com, 96 listed affiliates of the country's 10 largest conglomerates in terms of assets hired 618,288 regular workers at the end of the first quarter, up 8,774, or 1.4 percent, from a year earlier.By gender, t

July 27, 2015

KOGAS seeks to expand global presence

Korea Gas Corp. president Lee Seung-hoon said Sunday that the state-run company will streamline its structure to focus more on the global business, aimed at becoming one of the key players in the international energy market. “The restructuring will provide the company with the momentum to become the world’s major energy developer, instead of being an importer of natural gas,” Lee said after his plan was approved by the board of directors on July 22. Lee, who was appointed on July 1, stressed tha

July 26, 2015