Tax revenue up W5.2t in June amid economic recovery

South Korea's tax revenue rose 5.2 trillion won ($4.5 billion) in June compared with a year earlier amid an economic recovery and a boom in property and stock markets, the finance ministry said Tuesday. The country collected 20 trillion won in taxes in June, higher than the 14.7 trillion won the previous year, according to the Ministry of Economy and Finance. The government said corporate tax income increased due to the economic recovery, while a boom in asset markets bolstered capital gains t

Aug. 10, 2021

Banks urged to set up tighter supervision of household debts

A top financial regulator called Tuesday for banks to set up tighter supervision of household debts as policymakers voiced warnings against growing financial imbalances amid a surge in home prices. Eun Sung-soo, the outgoing chairman of the Financial Services Commission (FSC), made the remarks at a meeting with chief executives of financial holding firms earlier in the day. Eun also urged banks to preemptively act to keep household debts in check, the FSC said. Eun's remarks came as the Bank

Aug. 10, 2021

Department store sales climb at fastest pace in Q2

Sales of department stores in South Korea grew at the fastest-ever clip in the second quarter of the year amid the coronavirus pandemic, data showed Tuesday. Local department stores saw their sales in terms of constant prices soar 20.3 percent on-year in the April-June period, according to the data from the Korean Statistical Information Service (KOSIS). It was the largest-ever on-year increase for the second quarter since data tracking began in 1995. Industry watchers attributed the second-q

Aug. 10, 2021

Supply of pork set to remain stable amid ASF outbreak: ministry

South Korea is expected to maintain a stable supply of pork products despite the latest outbreak of African swine fever (ASF) at a local farm, officials said Monday, although the country still needs to stay vigilant over the spread of the fatal animal disease. The combined number of domestic pigs at local farms was estimated at 11.1 million units as of the end of June, up 0.6 percent on-year, according to the data compiled by the Ministry of Agriculture, Food and Rural Affairs. South Korea rep

Aug. 9, 2021

Service output in all 16 provinces, cities rises in Q2 amid economic recovery

Combined service output rose in all 16 provinces and major cities for the first time in six quarters in the April-June period with the South Korean economy on a recovery track, data showed Monday. Service output grew 5.7 percent in the second quarter from a year earlier, the fastest on-year gain since the first quarter of 2008, according to the data from Statistics Korea. Service production increased in all 16 provinces and cities for the first time since the fourth quarter of 2019, the data s

Aug. 9, 2021

S. Korea to maintain exports of pears to Australia despite fire blight outbreak

South Korea's agricultural ministry said Monday it has reached an agreement with Australia to maintain its exports of pears despite the outbreak of fire blight in the country. The country has been shipping pears produced in four designated regions under the condition that the country verifies that farms in the area are free of fire blight infections. The country reported a series of fire blight cases nationwide this year, including regions neighboring the designated farms. Fire blight is a co

Aug. 9, 2021

Card spending rises 7% in July despite pandemic

SEJONG -- Payments made with cards in South Korea expanded 7 percent in July from a year earlier despite a resurgence of coronavirus infections, a report showed Monday. Spending made with credit, debit and prepaid cards issued by major card firm Shinhan Card Co. stood at 14.1 trillion won ($12.3 billion) in July, up from 13.1 trillion won a year earlier, according to the report from the office of Rep. Park Kwang-on of the ruling Democratic Party. It was up 11.4 percent from the same month in 2

Aug. 9, 2021

New trade minister vows to fight protectionism, expand free trade network

South Korea's newly appointed Trade Minister Yeo Han-koo said Monday he will make efforts to promote multilateralism in global trade and cope with the looming protectionism by expanding the country's free trade network. "We plan to play a leading role in establishing a new multilateral economic-trade regime in the Asia-Pacific region, which will emerge as the key pillar of the global economy in the future," Yeo said in his inauguration speech. In line with such efforts, Yeo added the

Aug. 9, 2021

S. Korean economy faces heightened uncertainty amid 4th wave of pandemic: KDI

The South Korean economy is facing heightened uncertainty as the recovery of domestic demand is likely to slow amid a recent spike in COVID-19 cases, a state-run think tank said Sunday. Asia's fourth-largest economy is on a recovery track amid solid exports, but the toughest-ever virus curbs, in effect due to the fourth wave of the pandemic, may dampen improving domestic demand, according to a monthly economic assessment report by the Korea Development Institute (KDI). "The intensifying s

Aug. 8, 2021

Economy is likely to bounce back quickly once COVID-19 subsides: Obama

The American economy is likely to bounce back quickly once the COVID-19 pandemic subsides, former US President Barack Obama has said during an interview with a Korean media outlet. “As soon as the public health situation improves ... I think the possibility of bouncing back more quickly rather than a long path toward economic recovery is more promising,” Obama said, appearing virtually on the local talk show “Monthly Connect” by cable channel tvN Friday night. Comparin

Aug. 7, 2021

New FSC, FSS heads concerned about snowballing household debt

A day after new leadership for South Korea’s two top financial regulators was announced, the new chiefs on Friday expressed concerns about the nation’s growing household debt and its looming effects on the economy. Financial Supervisory Service Gov. Jeong Eun-bo, speaking at an event marking his appointment, warned of “a perfect storm of risks tied to so-called zombie firms, financial instability of the self-employed and a possible price correction due to a housing bubble.&rd

Aug. 6, 2021

Korea Shipbuilding wins W660b offshore facility order in US

Korea Shipbuilding & Offshore Engineering Co., the world's biggest shipbuilder by order backlog, said Friday it has received a 660 billion-won ($578 million) offshore facility order in the United States. Hyundai Heavy Industries Co., main affiliate of the shipbuilder, will build a semi-submersible floating production system (FPS) for a US-based oil-developing company by Sept. 28, 2024, Korea Shipbuilding said in a statement. The offshore oil production facility will be installed in Shenand

Aug. 6, 2021

S. Korea logs current account surplus for 14th month in June on robust exports

South Korea posted a current account surplus for the 14th straight month in June as exports remained solid amid the global economic recovery, the central bank said Friday. The current account surplus reached $8.85 billion in June, compared with $10.76 billion the previous month, according to the Bank of Korea (BOK). The current account is the broadest measure of cross-border trade. The current account has been in the black since the country suffered a deficit of $3.33 billion in April last yea

Aug. 6, 2021

FSC, FSS leadership picks signal focus on stability, rather than reform

South Korea’s top two financial regulators are set to go through leadership changes simultaneously, with longstanding bureaucrats being assigned to lead them Thursday. In an apparent attempt to win back public trust on dealing with economic woes before his term ends in May 2022, President Moon Jae-in tapped Koh Seung-beom, one of the Bank of Korea’s seven-member monetary policy board and a former Finance Ministry official, to lead the Financial Services Commission. Current FSC Ch

Aug. 5, 2021

Amid prolonged pandemic, small businesses teeter over piling debt

　 　 Facing tougher social distancing measures over a recent surge in COVID-19 cases, South Korea’s small-enterprise owners are struggling to make ends meet, resorting to laying off employees or borrowing money from banks, data showed Thursday.  The country had 5.58 million self-employed people registered as of June, accounting for 20.2 percent of the total 27.6 million employed workers in the same month, the smallest proportion in nearly 39 years, according to data compiled by the Ko

Aug. 5, 2021

Veteran financial bureaucrat tapped as top financial regulator

Koh Seung-beom, who was nominated to lead the Financial Service Commission (FSC), is an expert with extensive experience in dealing with economic and financial policies. Born in 1962, Koh, currently a member of the Bank of Korea (BOK)'s rate-setting board, passed the civil service exam in 1984, spending most of his career as a public servant at the finance ministry and the financial regulator. The nominee was in charge of major financial policies over household debt, the capital market and cor

Aug. 5, 2021

S. Korea to increase stockpile of rare metals amid soaring demand

South Korea said Thursday it will increase its stockpile of so-called rare metals, in line with growing demand from emerging industries, such as electric cars and rechargeable batteries. Under the plan, the country will seek to maintain at least 100 days' worth of rare metals to cope with potential uncertainties in their supply, significantly up from the current 56.8 days, according to the Ministry of Trade, Industry and Energy. South Korea has been designating 35 different kinds of resources

Aug. 5, 2021

New trade minister tasked with post-pandemic trade recovery

Yeo Han-koo, who has been tapped as South Korea's new trade minister, is tasked with a mission to maintain a recovery in exports amid the virus pandemic and expand its trade portfolio with emerging economies. The 51-year-old bureaucrat has served various positions at the trade ministry, before taking the current position as the presidential secretary for New Southern and New Northern policies. "We anticipate that Yeo will successfully carry out pending issues, including coping with the ne

Aug. 5, 2021

Debt rollover for pandemic-hit merchants to be discussed soon: finance minister

Finance Minister Hong Nam-ki said Thursday the government will discuss with local banks whether to further roll over the debt and interest payments of small merchants hit hard by the pandemic. Since April last year, the government has encouraged local banks to extend loan maturity and hold off interest payments for micro business owners to help them cope with the fallout of the pandemic. The measures, which have been extended by six months twice, are set to expire at end-September. "The g

Aug. 5, 2021

S&P leaves S. Korea’s growth rate, credit rating unchanged

Despite the fourth wave of the COVID-19 pandemic striking a blow to the South Korean economy, global credit appraiser S&P Global Ratings said it would keep the country’s economic growth rate outlook for 2021 and credit rating unchanged, citing robust exports. The agency projected Asia’s fourth-largest economy to grow 4 percent and kept the credit rating at AA, same as estimates from last month and in April. “Overall economic forecasts for South Korea are still looking f

Aug. 4, 2021