Korean companies paid a record-high $10 billion in dividends to foreign shareholders last year, the central bank said Monday. The Bank of Korea said a total of $10.28 billion was paid to nonresident investors in 2014, exceeding the previous record of $7 billion in 2006. This is the highest figure since 1980, when the nation’s financial authorities began keeping track of foreign dividend payouts, a move to monitor the outflow of national wealth. “The Korean companies’ (earnings to) foreign divide

Feb. 23, 2015

South Korean stocks ended 0.35 percent higher Monday on relief from an agreement to extend Greece's financial rescue program, analysts said. The South Korean won lost ground against the U.S. dollar.   The benchmark Korea Composite Stock Price Index rose 6.94 points to 1,968.39. Trading volume was moderate at 330.8 million shares worth 4.04 trillion won ($3.64 billion), with gainers beating decliners 487 to 314.   The tech-laden KOSDAQ climbed to its highest since June 2008, extending its rally a

Feb. 23, 2015

Daily foreign exchange turnover by South Korean banks reached a four-year low in 2014, as an increase in overseas investment offset a rise in the current account surplus, the central bank said Monday.  The daily FX turnover averaged $44.40 billion last year, down 3.4 percent, or $1.58 billion, from $45.98 billion the previous year, according to the Bank of Korea.  The 2014 foreign exchange trading volume marks the lowest since 2010 when the comparable figure was $41.89 billion, it said.  The dai

Feb. 23, 2015

South Korean companies paid out a record high of more than $10 billion in dividends to their foreign shareholders last year, according to central bank and financial data Monday.  A total of $10.28 billion in dividend payments was sent to overseas investors in 2014, breaking the previous high of $8.18 billion in 2007, according to the data.   It marks the highest figure since related record keeping began in 1980.  Previous numbers include $490 million in 1998 and $7 billion in 2006.  "Dividends p

Feb. 23, 2015

South Korean banks' loans to smaller companies increased at the fastest pace in six years in 2014 as the government pressured them to support start-ups and firms with high-level technologies, data showed Monday.   According to the data compiled by the Bank of Korea, outstanding loans extended by local banks to smaller firms stood at 521.28 trillion won ($472 billion) at the end of last year, up 7.3 percent, or 35.35 trillion won, from a year earlier.  The 2014 growth marks the highest since the

Feb. 23, 2015

Foreign investors and owner families of South Korean business groups took away a dividend windfall as local firms jacked up dividend payouts under growing pressure to share more of their earnings with investors, data showed on Sunday.According to the data compiled by conglomerate tracker Chaebul.com, the country's top 4 business groups -- Samsung, Hyundai, SK and LG -- have announced their plans for fiscal 2014 dividend payouts at an estimated 7.73 trillion won (US$6.99 billion), which represent

Feb. 22, 2015

South Korean listed companies' dividend payouts for their fiscal 2014 are expected to rise by more than 30 percent compared with a year earlier, data showed on Sunday, largely due to growing pressure on them to deliver more to investors. According to the data compiled by KB Investment & Securities Co., their dividend payouts for fiscal 2014 are estimated at 17 trillion won ($15.4 billion), compared with the 13 trillion won a year earlier.So far this year, a total of 490 listed firms have reveale

Feb. 22, 2015

Major banks will increase their dividend payout ratios this year, in line with the government’s shareholder-friendly policy.This is good news for conventional stockholders and those seeking profitable investments, but industry observers cautiously argue that the generous payout could harm their financial soundness over the long term.The nation’s largest banking group, Shinhan Financial, announced earlier this month that it would execute a cash dividend of 950 won (86 cents) per share, a total of

Feb. 17, 2015

Fixed indemnity health plans, or reimbursement-backed medical insurance, was the first type of health coverage in the U.S. Under South Korean regulations on indemnity health plans, patients are eligible for reimbursement of 90 percent of medical costs not covered by state medical insurance. These plans typically require enrollment fees and monthly premiums, which are raised every three to five years. “I signed up for an IHP because I needed periodic treatment for my atopic dermatitis,” said Song

Feb. 17, 2015

South Korean stocks started a whisker lower Tuesday on losses in tech and bank shares, analyst said. The benchmark Korea Composite Stock Price Index (KOSPI) lost 2.88 points, or 0.15 percent, to 1,955.35 in the first 15 minutes of trading.Techs led the decline with the world's largest smartphone maker Samsung Electronics falling 0.58 percent and chipmaker SK hynix slipping 1.16 percent.No. 1 banking group Shinhan Financial Group edged down 0.12 percent and Hana Financial Group retreated 0.17 per

Feb. 17, 2015

The Ministry of Strategy and Finance said Monday it would expand the scope of its tax incentives for conglomerates in line with efforts to induce them to increase investments, dividends and employees’ wages.The ministry said companies that increased investments to expand headquarters as well as production, retail and sales facilities would be exempted from paying related taxes.Spending on infrastructure such as warehouses, logistics centers and training institutes for employees will also be reco

Feb. 16, 2015

South Korea and Japan agreed to end the bilateral currency swap agreement that has been maintained since 2001, the Finance Ministry said Monday.According to the Korean ministry, the $10 billion swap arrangement between the Bank of Korea and the Bank of Japan will expire on Feb. 23 as scheduled.The pact was originally set up in July 2001, with the total that can be swapped being expanded at one time to $70 billion.But it said authorities from the two countries would cooperate in an appropriate ma

Feb. 16, 2015

Hyundai Motor Group's multi-trillion won land acquisition in southern Seoul has been recognized as part of its business investment, making it eligible for tax benefits, the government said Monday.According to the Ministry of Strategy and Finance, land that the world's fifth largest automotive conglomerate pledged to buy for 10.55 trillion won ($9.63 billion) in September 2014, can be classified as corporate office building space. The money used to buy land for commercial purposes and the constru

Feb. 16, 2015

Chinese and Japanese investments in South Korea more than doubled on-year to an all-time high last year, data showed Monday, as investors from the neighboring countries increased purchases of local stocks and bonds. Last year's outstanding investment in Asia's fourth-largest economy by Japanese and Chinese investors amounted to a combined 7.38 trillion won (US$6.73 billion), rising by more than twofold compared to 3.54 trillion won in the previous year, according to data compiled by the Financia

Feb. 16, 2015

Major South Korean banks and insurers are planning to pay record high dividends for their 2014 fiscal year, industry sources said Monday, rekindling heated debate that it would only line the pockets of foreign shareholders.According to the sources, Shinhan Financial Group Co., the No.1 player by market capitalization, has announced that it will pay out a record 512.4 billion won ($465.7 million) in dividends at 950 won per share, up from 650 won the previous year.Its dividend payout ratio, refer

Feb. 16, 2015