[Editorial] Project financing debacle

South Korea’s financial regulators remain jittery about growing risks linked to real estate project financing loans. No wonder, then, that financial officials have been actively issuing more warnings with more details. One notable change is that their warnings are now coming with more explicit expressions. For instance, Lee Bok-hyun, governor of the Financial Supervisory Service, called real estate PF risks a “detonator” hooked up to the Korean economy at a press conference hel

Feb. 7, 2024

[Editorial] Medical reform

The government unveiled a set of measures on Sunday to revamp the national health insurance system to raise the compensation for general surgeons, cardiothoracic surgeons, emergency physicians, pediatricians and obstetricians in a bid to ease the shortage of doctors in those lifesaving fields. As the dearth of physicians has reached deadly levels in provincial regions, the Ministry of Health and Welfare also plans to announce this week a major increase of the annual medical school admission quot

Feb. 6, 2024

[Editorial] Gap in economic growth

The US and Europe have long been deemed the twin pillars driving prosperity in the Western world. Recent trends, however, suggest the center of gravity is shifting toward the US, according to a report released by the Bank of Korea. In the report titled “Background and Implications of Differential Growth Trends in the US and Europe," the BOK analyzes the key factors that resulted in different paces of growth in the two economic heavyweights, and offers takeaway points for a Korea that

Feb. 5, 2024

[Editorial] Rules of the game

With under 70 days left to the general election on April 10, South Korea's two main parties are yet to decide on the rules of the game. As separate splinter parties formed by former leaders of the People Power Party and the Democratic Party of Korea may or may not join forces, the process of setting election rules is likely to drag on until the last minute. The key question is over the method of proportional representation, through which 47 lawmakers are elected to the 300-member National A

Feb. 2, 2024

[Editorial] Deepfakes pose real threat

Sexually explicit fake images of Taylor Swift, widely believed to have been generated by artificial intelligence tools, spread on social media last week at a dizzying pace, deeply alarming government officials, security experts, actors and many others. The high-profile incident might be blamed on the widely expected side effects of generative AI, which is capable of creating fake photos using real images circulating on the internet. This creates an environment in which "deepfakes," fak

Feb. 1, 2024

[Editorial] Rush of retakers

Any change related to college admissions is an issue of paramount interest in South Korea, as it concerns not only pupils in middle and high schools, but also hundreds of thousands of high school graduates who plan to retake the annual state-administered exam. The retakers, known as “jaesusaeng” (second-timers), “samsusaeng” (third-timers) and “N-susaeng” (those sitting for the Suneung for the Nth time), are either already enrolled in colleges or are not regis

Jan. 31, 2024

[Editorial] Slow growth concerns

When the Bank of Korea announced last week that the country’s real gross domestic product inched up just 1.4 percent in 2023, the reaction from policymakers and the media remained largely the same: dismay and concern. Although the figure is technically in line with earlier projections from the government and the central bank, it is disappointing that Korea’s economic growth hit the lowest level in three years -- even though there was no profound crisis like the pandemic. The key econ

Jan. 30, 2024

[Editorial] Politics of hatred

It is certainly one of the most harrowing beginnings to a year. Just 23 days after main opposition Democratic Party of Korea leader Lee Jae-myung was stabbed in the neck by a man who approached him asking for an autograph, Rep. Bae Hyun-jin of the ruling People Power Party was struck on the head multiple times by a 14-year-old boy on Thursday. The boy, born in 2009, reportedly said he was a criminal minor, but he is not, as the Criminal Act exempts only those under 14 years of age from punishmen

Jan. 29, 2024

[Editorial] Scrapping outdated rules

The Yoon Suk Yeol administration on Monday announced it would push for a set of reform measures designed to lift regulations that hinder people’s livelihoods or cause inconvenience. Among the measures, two plans stand out: scrapping a handset subsidy ban and doing away with big retailers’ mandatory Sunday closures. These regulations have long been criticized for their questionable effects while placing extra burden on the public. Behind the government's attempt to abolish the Mo

Jan. 26, 2024

[Editorial] The handbag quandary

First lady Kim Keon Hee’s alleged acceptance of a designer handbag from a Korean American pastor in September 2022, caught on spy cam, has become something the presidential office must address. The pastor, Choi Jae-young, conspired with a YouTube channel called Voice of Seoul to film his meeting with Kim using a camera on his watch, without informing Kim that she was being filmed. Choi said in a press conference at the National Assembly on Monday that he decided to “collect evidence&

Jan. 25, 2024

[Editorial] Workplace safety matters

Concerns are mounting as the two-year grace period for small firms on a workplace safety law is set to expire this week, after major parties failed to agree on granting an additional grace period. The Yoon Suk Yeol administration and the ruling People Power Party sought an additional two-year grace period for the enforcement of the Serious Disasters Punishment Act for firms with fewer than 50 employees. The ruling party held a series of negotiations with the main opposition Democratic Party of K

Jan. 24, 2024

[Editorial] K-drama in reality

President Yoon Suk Yeol threads through the packed indoor venue for a ceremony, shaking hands and greeting participants. One of them, a lawmaker, holds the president’s hand for a few seconds like many Koreans do when greeting each other, and tells him that he must change the way he runs state affairs. The president moves on to others, but Rep. Kang Sung-hee of the minor opposition progressive Jinbo Party keeps repeating something at him, video footage from Thursday shows. Members of the Pr

Jan. 23, 2024

[Editorial] More signs of risks

Last week, South Korea’s policymakers noted their alarm at the risks of military clashes in the Middle East that spin out of control, dragging more nations in the region into complex conflicts and hurting weakened supply chains further. On Tuesday night, Iran carried out a missile and drone attack on what it called “terrorist” targets in Pakistan. In response, Pakistan struck militant targets inside Iran on Thursday. The tit-for-tat attacks, the biggest cross-border intrusions

Jan. 22, 2024

[Editorial] Upgrade intelligence capabilities

South Korea, the US and Japan staged their largest-ever joint naval exercise in international waters south of Jeju Island for three days through Wednesday, following North Korea’s launch of a hypersonic missile. Nine warships including the nuclear-powered aircraft carrier USS Carl Vinson with F-35C stealth fighters and F-18 Super Hornets on board, South Korean Aegis combat system-equipped destroyers and Japanese Kongo-class destroyers took part in the drill. The maritime exercise began a d

Jan. 19, 2024

[Editorial] Chip cluster plan

President Yoon Suk Yeol on Monday announced a plan to form a massive semiconductor chip cluster in southern Gyeonggi Province, which is projected to draw combined investments of 622 trillion won ($471.4 billion) for facilities and provide 3 million jobs over the next 20 years. The plan, unveiled at Yoon’s public debate event, aims to double the number of chip-producing plants in the region to 37, consolidating them into a vast chip cluster covering cities like Hwaseong, Giheung, Pyeongtaek

Jan. 18, 2024

[Editorial] Prosecutors' election rush

The Supreme Prosecutors’ Office requested the Justice Ministry last week to penalize two incumbent prosecutors over their inappropriate behavior related to the April 10 general election. Under the Public Official Election Act, state public officials who wish to stand for election are required to resign 90 days before the vote. A prosecutors’ code of ethics stipulates that a prosecutor shall not be involved in political campaigns, and remain politically neutral in performing his or he

Jan. 17, 2024

[Editorial] Taiwan’s election result

Lai Ching-te of Taiwan's ruling Democratic Progressive Party won Saturday's presidential election, defying continued warnings from China regarding the self-ruled democracy’s sovereignty. Lai, the current vice president, won with 40.1 percent of the vote, outpacing Hou Yu-ih from the conservative Kuomintang, who garnered 33.5 percent, and former Taipei Mayor Ko Wen-je from the Taiwan People’s Party, who secured 26.5 percent. The high-profile election result is expected to ha

Jan. 16, 2024

[Editorial] Another national disgrace

Police are investigating 12 board members and four executives of Posco Holdings on charges of occupational breach of trust over allegations that they had subsidiaries partially pay for a lavish five-night-seven-day trip to Canada in August last year. Some of them, including outside directors who are professors, are also suspected of violating the law on improper solicitation and graft. Citing a complaint filed with the prosecution last month by a Pohang-based civic group, the Chosun Ilbo newsp

Jan. 15, 2024

[Editorial] Help drive up tourism

South Korea chalked up a current account surplus for the seventh straight month in November. But there is a troubling detail that keeps policymakers concerned: the biggest deficit of the country’s travel account in five years. South Korea’s travel account deficit doubled to $1.28 billion in November 2023 compared to the previous month, the Bank of Korea’s preliminary data showed Tuesday. The latest figure marks the biggest deficit since November 2018, when the travel account de

Jan. 12, 2024

[Editorial] Gap in college education

Education in South Korea has been a contentious area that has only gotten worse over the past few decades. Children in Seoul’s Gangnam go to cram schools, even on Christmas. In the controversial capital of hagwon, the smartest fourth graders are cracking high school math, and others are expected to have learned at least two years ahead of their grade in order to pass “level tests” for admission to a hagwon. Parents agree it’s insane, that it’s as if their kids are l

Jan. 11, 2024