Regulator to determine Lone Star's eligibility as KEB owner in April

South Korea's top financial regulator has said the watchdog will push to make a final decision this month over whether Lone Star Funds has the legal right to be the top shareholder of Korea Exchange Bank (KEB).Financial Services Commission (FSC) Chairman Kim Seok-dong said in a meeting with reporters, "We are working to make a final decision on Lone Star's eligibility in April."The regulator is ex

April 2, 2011

Seoul to levy tax for transactions among affiliates

The government is to toughen its crackdown on conglomerates’ irregular support for affiliates, often used to evade taxes and hide the transfer of owners’ wealth to their siblings. The Ministry of Strategy and Finance said Thursday the government will widen its investigation into and levy new taxes on corporations unfairly giving orders to subsidiaries. As part of the government’s commitment to est

March 31, 2011

Samil PwC looks to global markets

Samil PricewaterhouseCoopers is seeking to strengthen its global accounting and consulting services as the nation’s largest accountancy marks its 40th anniversary.Chairman Ahn Kyung-tae will unveil the roadmap to become a specialized global player in an anniversary ceremony on Friday.The firm stressed that advancing into the global market is not an option but a necessity.“Samil dispatched skilled

March 31, 2011

Financial regulator accused of lax supervision of banking fees

Financial regulators have been glossing over commercial banks’ long-standing practice of charging customers irregular service fees on transactions via automated teller machines.The Financial Services Commission recently held a low-key internal meeting to map out comprehensive measures to ease the growing financial burden of low- and middle-income households.During the meeting composed of FSC senio

March 30, 2011

BOK head calls for steady steps for household debt

  South Korea's top central banker has stressed the need to steadily tackle growing household debt, which market watchers fear will undercut the country's economic growth momentum.   South Korean household debts came to nearly 800 trillion won ($721.8 billion) as of the end of last year, which analysts say had been stoked by the country's low borrowing costs.     In a dinner meeting with reporters

March 30, 2011

S. Korea ranks 2nd in consumer prices hike in Feb.

   South Korea's consumer prices grew at the second-fastest pace among member countries of the Organization for Economic Cooperation and Development (OECD) in February, data showed Wednesday.   According to the data offered by the OECD, South Korea's consumer prices jumped 4.5 percent last month from a year earlier, the second steepest hike among its 34 member nations. Estonia ranked first with 5.

March 30, 2011

Banks seek to go global via IB services

Korean commercial and state-controlled banks are seeking to strengthen their investment banking sectors in the belief they will be their new growth engines.Beyond the saturated loan issuance market, most local banks share the view that investment banking is one of many priorities for globalization in the coming years.Among them are KB Kookmin Bank, Woori Bank, Shinhan Bank and Industrial Bank of K

March 29, 2011

Japanese funds return to S. Korean markets

Japanese investors have been putting their money into the South Korean financial market even after Japan's devastating quake, data showed Monday, easing speculation that they may repatriate overseas assets to finance Japan's post-quake rehabilitation.The 9.0-magnitude earthquake and ensuing tsunami hit the northeastern part of Japan on March 11, leaving more than 20,000 people dead or injured.Japa

March 28, 2011

Seoul shares open a tad higher

South Korean stocks began marginally higher on Monday but traded in a narrow range as investors opted to take a breather following last week's climb, analysts said.   The benchmark Korea Composite Stock Price Index (KOSPI) inched up 0.51 points, or 0.02 percent, to 2,054.55 in the first 15 minutes of trading. Last week, the KOSPI finished up 3.68 percent from a week earlier.   Techs were bullish w

March 28, 2011

Warning against banks comes again

Major commercial banks should refrain from engaging in excessive competition to increase their assets as there is a possibility that they will face financial difficulties, a report said on Sunday.The Korea Institute of Finance likened the current situation to that of the period between 2005 and 2008, when banks saw their profitability continue to worsen due to heated competition.The cautionary adv

March 27, 2011

Korea moves to contain bird flu

South Korea is moving to stem future cases of bird flu as foot-and-mouth disease outbreaks have been largely put under control, the government said Sunday.The farm ministry said it currently maintains poultry movement restrictions in 14 rural cities and counties across the country after quarantine authorities had to cull 6.27 million birds on 269 farms since Dec. 29, when the first case of bird fl

March 27, 2011

Seoul shares rebound on foreign buying

Korean stocks ended 1.22 percent higher on Thursday as foreign investors sharply increased their holdings on reviving appetite for riskier assets, analysts said. The local currency gained ground against the U.S. dollar.The benchmark Korea Composite Stock Price Index advanced 24.6 points to 2,036.78. Trading volume was light at 290.3 million shares worth 6.56 trillion won ($5.8 billion), with gaine

March 24, 2011

Seoul examines China FTA benefits: minister

Korea’s top trade official said Thursday that the government is carefully looking into the impact of a free trade deal with China on Asia’s fourth-largest economy as there are divided views on benefits.“We are cautiously examining the impact of a free trade deal with China on our economy,” Korean Trade Minister Kim Jong-hoon said in a meeting with business leaders. Kim said there are opinions that

March 24, 2011

BOK to raise key rate by 0.75 percentage point this year: HSBC

   SEOUL, March 24 (Yonhap) -- South Korea's central bank is expected to hike its key interest rate by 0.75 percentage point this year to fight oil and commodity price gains, a senior economist at HSBC Holdings Plc. said Thursday.   "South Korea's central bank may raise its interest rate 75 basis points further from where we are now through the course of this year," HSBC Group Chief Economist Step

March 24, 2011

Loan rules to hurt home sales

Reinstating debt-to-income caps may further weaken property marketKorea’s plans to reinstate mortgage lending limits that were temporarily scrapped in August to spur property transactions may lead to a further decline in the real estate market. Korean banks will resume restrictions on the amount of loans homebuyers can get as a proportion of their annual income starting in April, the government sa

March 23, 2011

Watchdog to unveil Woori Finance sale plan by June

South Korea's financial watchdog plans to announce its road map to resume the sale of a major stake in state-owned Woori Finance Holdings Co. by the second quarter of this year, its chief said Wednesday.   The Financial Services Commission (FSC) put the 56.97 percent government stake in the second-largest banking group up for sale in November last year but suspended the sale process in December af

March 23, 2011