S. Korea's outstanding state bonds top 450 tln won: data

The amount of outstanding state bonds issued by South Korea has exceeded 450 trillion won ($418.2 billion) as the government is raising money to make up for tax revenue shortfalls caused by the prolonged economic slump, data showed Thursday.According to the data provided by the finance ministry, the outstanding state bonds, including Treasurys and currency stabilization bonds, stood at 457.3 trillion won as of August. This marked the first time that the amount has topped the 450 trillion won mar

Oct. 10, 2013

Korea welcomes new Fed chief amid tapering concerns

South Korea welcomed the nomination of Janet Yellen to be Federal Reserve chairman and said that she will need to weigh the effects on other nations of reducing U.S. monetary stimulus.“She has rich experience and an impressive resume as a policy maker,” Choi Hee-nam, director general of the Finance Ministry’s international finance bureau, said by phone from Sejong on Wednesday. “I expect her to consider well the ripple effects on other countries” from policy decisions such as altering the Fed’s

Oct. 9, 2013

Pilots, airline fault equipment in Asiana crash

WASHINGTON (AP) ― The pilots of Asiana Flight 214 that crashed in San Francisco in July, as well as the airline, are raising the possibility that a key device that controls the Boeing 777’s speed may have malfunctioned, an aviation expert familiar with the investigation into the crash said Tuesday.National Transportation Safety Board Chairman Deborah Hersman said early in the crash investigation that her experts had found no mechanical problems with the plane, but were investigating further. One

Oct. 9, 2013

Korea’s key industries may fare better in Q4

A majority of South Korea’s major industries are predicted to see their business conditions improve in the fourth quarter compared with the previous quarter, a report said Wednesday. According to the report by the Korea Chamber of Commerce and Industry and nine industrial bodies, the Information Technology industry is expected to fare the best among nine local industries in the fourth quarter, thanks to the launch of new IT devices and a rise in memory chip prices. The IT industry enjoyed stella

Oct. 9, 2013

S. Korea's money supply growth slows to over 2-year low in Aug.

South Korea's money supply grew at the slowest annual pace in more than two years in August on eased growth of bank lending, the central bank said Wednesday.South Korea's M2, a narrow measure of the money supply, rose3.9 percent to 1,888.7 trillion won ($1.76 trillion) in August from a year earlier, slowing from a 4.6 percent on-year gain in July, according to the Bank of Korea (BOK).It marked the slowest growth since a 3.2 percent on-year advance in July 2011.On a seasonally adjusted basis, the

Oct. 9, 2013

Banks' household loan growth slows in Sept.

Household loans by South Korean banks grew at a slower pace in September than in the previous month due to slowed growth of mortgage lending and an absence of a one-off factor, the central bank said Wednesday.Outstanding household loans extended by local banks, including home-backed and credit loans, reached 472 trillion won ($439.8 billion) as of end-September, up 153.9 billion won from the previous month, according to the Bank of Korea (BOK).The growth of such lending slowed from a 1.9 trillio

Oct. 9, 2013

Korean economy expected to grow 3.5 pct next year: forecasters

Most economic forecasters at home and abroad Wednesday said they expect the South Korean economy to grow an average of 3.5 percent next year, which is lower than the government estimate of 3.9 percent, citing volatile economic conditions, including the Fed's plan to pull back from bond purchases. Of 36 economic forecasters, 29, or 80.6 percent, predicted the country's economy growth rate will fall below 3.9 percent next year. Only seven forecast it will rise above the government projection, or r

Oct. 9, 2013

IMF cuts Korea's growth outlook to 3.7 pct

The International Monetary Fund (IMF) on Tuesday trimmed its growth estimate for the South Korean economy next year to 3.7 percent, saying "global growth is in low gear and downside risks persist."   In the previous outlook half a year ago, the IMF predicted South Korea would expand at a pace of 3.9 percent in 2014. The IMF kept its growth forecast for the nation this year at 2.8 percent.    Consumer prices are expected to rise 2.6 percent in 2013, with unemployment rates standing at 3.2 percent

Oct. 9, 2013

Gov't liabilities exceed 900 tln won in 2012: data

Government liabilities, including the debt that will highly likely arise in the future, exceeded 900 trillion won ($840.3 billion) last year, data showed Tuesday.According to the data recently submitted by the finance ministry to Rep. Kim Tae-ho of the ruling Saenuri Party, government liabilities stood at 902.1 trillion won as of end-2012. The number is higher than the 773.5 trillion won tallied a year earlier. The 2012 figure represents 70.9 percent of the country's gross domestic product.The l

Oct. 8, 2013

S. Korea's economy shows signs of recovering: finance minister

South Korea's economy is showing signs of recovering from its prolonged slump, the country's top economic policymaker said Tuesday, citing the latest major indicators pointing to the overall improvement. "Given major economic indicators, our economy is recently showing signs of recovering," Finance Minister Hyun Oh-seok said at a meeting with other government officials. He cited a 1.8 percent growth in industrial output in August and the upward trend in home prices in Seoul and its surrounding a

Oct. 8, 2013

Nearly half of districts in FEZs face possible default

Nearly half of all individual districts in the country’s eight free economic zones may be undesignated even before they ever take off, partly due to their failure to attract investors, a lawmaker said Monday, citing related data.According to Rep. Oh Young-sik of the main opposition Democratic Party, 46, or 46.9 percent, of 98 districts in eight FEZs still lack any development plan.Only 19 of the total have been fully developed with the remaining 33 still in the development phase, Oh said, citing

Oct. 7, 2013

Korea, U.S. to discuss country of origin for Gaeseong products

Korea and the United States will hold a special committee next month to discuss whether or not to label Gaeseong-manufactured products as Korean-made, according to the Ministry of Trade, Industry and Energy.MOTIE Minister Yoon Sang-jick and U.S. Trade Representative Michael Froman met in Bali, Indonesia, on Saturday to attend the second joint committee of the Korea-U.S. Free Trade Agreement.After reviewing the progress since last year’s initial meeting in May, the two counterparts agreed to hold

Oct. 6, 2013

Will Korea’s 2014 growth to face further downward revision?

Korea is expected to see its growth projections for 2014 revised by financial organizations as external uncertainty over the global economy is weighing down its prospects.Even though recent data on Korea’s economic activity showed significant improvements, a government shutdown and expected monetary stimulus cuts in the U.S., as well as China’s slower growth forecast, would inevitably undermine Korean exports.The Bank of Korea and the International Monetary Fund are expected to revise down their

Oct. 6, 2013

BOK likely to cut S. Korea's 2014 growth estimate

South Korea's central bank is expected to lower its 2014 forecast of the country's economic growth this week amid growing signs of the world economy's slowdown, experts said Sunday.After a monthly rate-setting meeting on Thursday, the Bank of Korea (BOK) could cut next year's growth prospect for South Korea to between 3.8 percent and 3.9 percent, citing a possible move by the International Monetary Fund (IMF) to slash its growth forecast for the world economy in 2014, they said.In July, the BOK

Oct. 6, 2013

BOK vows to stabilize market amid Fed's tapering uncertainty

South Korea's central bank said Friday it plans to aggressively pursue measures to stabilize the financial market, if speculation over U.S. monetary stimulus reduction increases market jitters.Uncertainty over the timing of the Federal Reserve's stimulus cut has grown as the U.S. central bank surprised the market last month by deciding to delay tapering its US$85 billion monthly bond-buying stimulus program.The Bank of Korea (BOK) said in its monetary policy report that if necessary, it will car

Oct. 4, 2013

Individuals' card spending hits 10-year high: data

The amount of individual credit card spending in South Korea rose to the highest level in more than 10 years in July, reflecting improving consumer sentiment, data showed Friday.The figure stood at 38.85 trillion won (US$36.28 billion) at the end of July, up 9.6 percent from a year earlier, according to the data by the Bank of Korea (BOK).It marks the highest monthly amount since the 39.30 trillion won tallied as of end-January in 2003, the BOK said, adding that the data include transactions mad

Oct. 4, 2013

S. Korea's FX reserves rise by most in 2 years in Sept.

South Korea's foreign-exchange reserves climbed by the largest amount in almost two years in September, aided by a weaker U.S. dollar and sales of currency stabilization bonds, the central bank said Friday.The country's foreign reserves totaled a record high of $336.92 billion as of end-September, up $5.83 billion from the previous month, according to the Bank of Korea (BOK).The September gain marked the largest monthly growth since October 2011 when the FX reserves rose by $7.59 billion.The for

Oct. 4, 2013