Korea’s three major economic pillars ― the public sector, households and corporations ― have incurred 3,300 trillion won ($2.96 trillion) in financial debt as of June, threatening to undermine efforts to fuel Asia’s fourth-largest economy. The record amount of financial loans shouldered by key playe

Sept. 19, 2011

South Korea’s government is coming under pressure to adjust its 2011 growth forecast in the face of mounting downside risks caused by the sluggish global economy, sources said.The prediction comes as the finance ministry cut this year’s growth estimate from 5.0 percent to 4.5 percent in June and fol

Sept. 19, 2011

Hana SK Card said the personal information of about 200 of its customers has been compromised by a telemarketer, the latest in a series of data leaks at financial institutions.The Financial Supervisory Service, however, said the leak would be of a far larger scale than reported by the credit card co

Sept. 19, 2011

Lenders turn to extending loans to large corporations with higher credit ratingsHousehold loans extended by Korean banks tumbled about 400 billion won ($359 million) over about two weeks this month, banking data showed on Monday.The drop in local lenders’ loans to households came as the major banks

Sept. 19, 2011

SEOUL, Sept. 19 (Yonhap) -- South Korean savings banks were discovered to have extended illegal loans to their major shareholders, financial regulators said Monday, angering depositors and fueling anxiety following the suspension of seven local savings banks.The data comes a day after the Financial

Sept. 19, 2011

SEOUL, Sept. 19 (Yonhap) -- Hana SK Card Co., a South Korean credit card firm, said Monday that some 200 customers' personal information has been leaked, the latest in a series of security breaches that are spurring concern about private data protection. The card firm, a joint venture between Hana F

Sept. 19, 2011

The Financial Services Commission said on Sunday it would draw up a comprehensive plan to restructure the troubled credit card industry, which is under criticism for pursuing rapid expansion at the risk of generating market bubbles.“The average number of credit cards held by a single individual rose

Sept. 18, 2011

Local industries were seen bracing for the impact from the recent surge in the Korean won against the U.S. dollar exchange rate amid lingering concerns of a debt crisis in the European region.On Friday, the local currency ended at 1,112.5 won against the greenback, with the exchange rate stabilizing

Sept. 18, 2011

The government has been pushed to lower growth projections for the Korean economy as debt in Europe and dismal growth prospects in the U.S. are expected to set back exports and consumer spending this year and next.The latest data shows that shrinking consumer demand and depressed business sentiment

Sept. 18, 2011

The number of loan defaults in Korea reached 1.09 million as of June, up 19.5 percent from six months earlier, credit data showed on Sunday. According to Nice Information Service, the number of people who failed to pay back loans they got from local lenders and financial firms rose by 179,000 in the

Sept. 18, 2011

Hot money on currency market and risky bets on derivatives on the riseWith the local stock market riding a wave of volatility in recent weeks, speculative transactions have increased at an alarming pace, the country’s financial regulators warned on Sunday. Although it is often difficult to distingui

Sept. 18, 2011

The financial regulator on Sunday suspended operation of seven more savings banks that have failed to meet capital adequacy ratio set by the International Bank of Settlements, including major players Tomato and Jeil. A total of 16 savings banks have been suspended so far this year.“We decided t

Sept. 18, 2011

Senior regulatory officials are considering the timing of the announcement of the list of debt-saddled savings banks, which will face business suspension.In particular, the officials seem extremely cautious over choosing the date as the Financial Services Commission and the Financial Supervisory Ser

Sept. 16, 2011

GENEVA (AP) — Swiss banking giant UBS said Thursday that a rogue trader has caused it an estimated loss of $2 billion, stunning a beleaguered banking industry that has proven vulnerable to unauthorized trades. Police in London said they arrested a 31-year-old man in connection with the loss.Sw

Sept. 15, 2011

Korea’s conglomerates are scrambling to secure capital at a pace that suggests a credit crunch might be in the offing amid growing concerns over the global economy. The country’s large companies have raised about 60 trillion won ($54.6 billion) this year by issuing corporate bonds, drawing loans fro

Sept. 15, 2011

Senior official conducts virtual intervention in won-dollar marketPolicymakers have stepped up again to minimize negative effects on the local financial markets amid the eurozone debt crisis, following their efforts in early August.Their key countermeasures included curbing steep depreciation of the

Sept. 15, 2011

South Korea’s central bank has not submitted an application to its Chinese counterpart to get approval for investment in yuan bonds traded on China’s over-the-counter market, a bank official said Thursday.The remarks came after a local daily reported Thursday that the Bank of Korea is preparing to i

Sept. 15, 2011