South Korean stocks closed almost flat Monday as investors took to the sidelines amid the prolonged concerns about the U.S. fiscal cliff, analysts said. The local currency inched up against the U.S. dollar.The benchmark Korea Composite Stock Price Index edged up 0.07 percent, or 1.40 points, to finish at 1,981.82. Trading volume was low at 343 million shares worth 3.2 trillion won ($2.98 billion) with gainers outstripping losers 398 to 391. “Local shares traded almost flat as the rising uncertai

Dec. 24, 2012

South Korea’s government debt neared 470 trillion won ($437.2 billion) in 2011 under new accounting rules adopted to reflect international norms, government data showed Monday.According to the data offered by the finance ministry, South Korea’s ordinary government debt came to 468.6 trillion won last year. The ratio of the debt to the country’s gross domestic product stood at 37.9 percent.The figures were calculated on an accrual basis, different from the existing cash basis accounting rules und

Dec. 24, 2012

Following is the third in a series of articles on President-elect Park Geun-hye’s key policies. ― Ed.The nation’s top financial regulator and its decision-making panel are likely to undergo systematic reorganization under the incoming administration which emphasizes financial governance.President-elect Park Geun-hye has not directly commented on financial policies, but is known to be planning to split the Financial Supervisory Service into two separate units while adding more functions to the Fi

Dec. 24, 2012

South Korea’s stock market is expected to remain in a tight range this week with most major stock markets closed for yearend holidays, analysts said.They said the U.S. fiscal cliff issue will continue to weigh down on the local market but that a drop, if any, will not be too severe as the inflow of foreign investment continues to grow.The benchmark Korea Composite Stock Price Index closed at 1,980.42 last week, down 0.7 percent from a week earlier, as U.S. lawmakers and President Barack Obama fa

Dec. 23, 2012

South Korean stocks retreated 0.95 percent on Friday, led by institutional selling in tech issues amid the stalled U.S. fiscal budget negotiations, analysts said. The local currency edged up against the U.S. dollar. The benchmark Korea Composite Stock Price Index slipped 19.08 points to finish at 1,980.42. Trading volume was moderate at 545.5 million shares worth 5.27 trillion won ($4.90 billion) with losers outstripping gainers 445 to 359. “Institutions unloaded quite a bit of their holdings in

Dec. 21, 2012

The Financial Supervisory Service on Friday said it has issued an English language guidebook on investing in the Korean stock markets.The book is meant to provide assistance to foreign investors who are seeking to or are currently investing in local stocks, the financial watchdog said. Guidelines and regulations, such as how to register to make an investment, the ceiling on equity ownership, along with other “frequently-asked-questions” that the financial companies said they faced from the forei

Dec. 21, 2012

South Korean banks should take the initiative in boosting the slumping local economy as political uncertainties have been lifted with the presidential election now wrapped up, the central bank chief said Friday.    "Lenders need to step up efforts to bring the economy back on track," Bank of Korea (BOK) Gov. Kim Choong-soo told a meeting with heads of major banks. "Four major world powers tied to the Korean Peninsula, including Japan and China, are at a new phase in their leadership."   His rema

Dec. 21, 2012

GM Korea Co., the South Korean unit of U.S. automaker General Motors Co., is recalling more than 7,000 cars sold here for a defective shaft in the transmission that may break, causing the loss of power, the government said Thursday.The recall affects 4,649 Lacetti compact vehicles and 2,606 Chevrolet Captiva family SUVs that were produced between July 24, 2008 and May 29, 2012, according to the Ministry of Land, Transport and Maritime Affairs.Renault Samsung Motors Co., the local unit of France’

Dec. 20, 2012

South Korean stocks closed slightly higher Thursday as investors stayed on the sidelines following another bump on the U.S. fiscal spending talks overnight, analysts said. The local currency fell against the U.S. dollar. The benchmark Korea Composite Stock Price Index rose 6.41 points to finish at 1,999.50. Trading volume was moderate at 416.2 million shares worth 5.43 trillion won ($5.05 billion) with decliners outpacing gainers 408 to 395. “All that investors are waiting for now is for the U.S

Dec. 20, 2012

The financial sector is on high alert to keep tabs on where the incoming government’s “economic democratization” policies are headed.Saenuri Party’s Park Geun-hye had laid out a much more moderate approach to economic democratization compared to her rival Moon Jae-in of the Democratic United Party, but scrutiny on the financial sector is likely to grow under her rule compared to the incumbent government.First of all, if Park strongly pushes for various measures to resolve the household debt prob

Dec. 20, 2012

HONG KONG (Yonhap News) ― The victory of a conservative contender in South Korea’s presidential election is seen to be rather positive for Asia’s fourth-largest economy and its markets, with no drastic change in the country’s policies expected, market watchers said Thursday.Park Geun-hye, a candidate from the conservative ruling Saenuri Party, won a tight but decisive election victory earlier in the day, becoming South Korea’s first female president-elect. Park, the daughter of the late Presiden

Dec. 20, 2012

The burden of small and mid-sized retailers will be eased as the Financial Supervisory Service has instructed credit card companies to slash their transaction service fees.Over the past few years, some 1 million retailers continued to demand credit card issuers to cut the service charge for consumers’ payments for goods with their credit cards.After talks between the regulator FSS and the credit card industry, about 2 million retailers will see service fees lowered to a level deemed more reasona

Dec. 20, 2012

Shinhan Bank, the flagship unit of South Korea’s No. 4 banking group, Shinhan Financial Group Co., said Thursday it has signed a deal to acquire a stake in an Indonesian bank.Under the deal, the South Korean bank will purchase a 40 percent stake in Bank Metro Express, whose net assets stand at $70 million, with non-performing loans accounting for 0.72 percent.A non-performing loan refers to debts that have been overdue for more than three months and thus put creditors at a high risk of being una

Dec. 20, 2012

South Korean stocks closed 0.51 percent higher on Tuesday on the back of foreigners’ buying, but the gain was capped due to remaining corporate uncertainties, analysts said. The local currency fell slightly against the U.S. dollar. The benchmark Korea Composite Stock Price Index added 10.02 points to finish at 1,993.09. Trading volume was moderate at 446.9 million shares worth 4.55 trillion won ($4.24 billion) with gainers outnumbering losers 426 to 384.“We’ve seen steady foreign inflows in rece

Dec. 18, 2012