Major foreign IBs cut S. Korea's growth outlook on virus resurgence

Major foreign investment banks (IBs) have downgraded their forecasts for South Korea's economic growth following the resurgence of the coronavirus here, a report showed Monday. As of end-September, nine major global IBs, including Barclays and Goldman Sachs, forecast Asia's fourth-largest economy to shrink 1.4 percent this year, compared with their median outlook of a 0.9 percent contraction offered a month earlier, according to the report by the Korea Center for International Finance. The out

Oct. 12, 2020

S. Korea's coal use for power generation dips 7% in 2019

South Korea's coal consumption for electricity generation decreased 7 percent in 2019 from a year earlier due to its efforts to cut carbon emissions, a report said Monday. Asia's fourth-largest economy consumed 94 million tons of coal to generate electricity, compared with 101 million tons a year earlier, according to the report by the Korea Energy Economics Institute. It marks the second consecutive year of decline. South Korea's coal consumption for power generation rose from 101 million ton

Oct. 12, 2020

Exports drop 28.8% in first 10 days of October

SEJONG -- South Korea's exports dropped 28.8 percent on-year in the first 10 days of October amid the fallout from the new coronavirus outbreak, customs data showed Monday. The nation's outbound shipments stood at $9.3 billion in the Oct. 1-10 period, compared with $13 billion a year ago, according to the data from the Korea Customs Service. Per-day exports, however, rose 2.8 percent on-year in the Oct. 1-10 period, the Korea Customs Service said. The coronavirus pandemic has disrupted trad

Oct. 12, 2020

S. Korean workers' income rises to $42,300 a year: OECD

South Korean full-time employees' average annual income reached $42,300 last year, placing the country 19th among 35 members of the Organization for Economic Cooperation and Development, data showed Sunday.  The figure was the highest ever for the nation’s fourth-largest economy. Korea’s next-highest average annual income was in 2003, when it posted $32,100 and ranked 24th, said Rep. Yang Kyung-sook of the ruling Democratic Party, citing the OECD data.  The average ann

Oct. 11, 2020

Govt. to seek new steps to curb soaring 'jeonse' rates: finance minister

The government will seek to come up with additional measures to rein in soaring "jeonse" rates as part of efforts to stabilize the housing market, the country's chief economic policymaker said Thursday. Finance Minister Hong Nam-ki, who doubles as the deputy prime minister for economic affairs, made the remark during an annual parliamentary inspection of the ministry. "Jeonse rates have risen considerably over a short period of time and they are unlikely to go down easily down t

Oct. 8, 2020

S. Korea, China agree to extend currency swap deal

South Korea and China have agreed to extend their bilateral currency swap agreement, the Bank of Korea (BOK) said Thursday, in a move aimed at helping ease a potential liquidity crunch amid the new coronavirus outbreak. In 2017, the BOK and People's Bank of China extended the won-yuan currency swap deal worth 64 trillion won ($55.3 billion) for three years, and the arrangement was set to expire Saturday. The two Asian nations inked the currency swap deal in April 2009 in the midst of the globa

Oct. 8, 2020

S. Korea's rice output forecast to dip 3% in 2020

South Korea's rice output is expected to shrink 3 percent in 2020 due mainly to bad weather conditions and reduced cultivation area, government data showed Thursday. The country's rice production is likely to come to 3.63 million tons this year, compared with 3.77 million tons a year earlier, according to the data compiled by Statistics Korea. The amount would represent the lowest level since 1980, when South Korea produced 3.55 million tons of rice. It would also mark the fifth consecutive y

Oct. 8, 2020

BTS, S. Korean biz lobby win Van Fleet Award

South Korean K-pop boy band BTS won the 2020 Van Fleet Award for its contribution to strengthening ties between South Korea and the United States, South Korea's leading business lobby group said Thursday. The two other recipients are the Korean War Veterans Association and the Korea Chamber of Commerce and Industry (KCCI), according to the KCCI. The KCCI became the first Korean organization to earn the award. In 2014, KCCI Chairman Park Yong-maan received the same prize as an individual. The

Oct. 8, 2020

S. Korea lags behind in hydrogen charging infrastructure

South Korea needs to further expand the country's hydrogen charging infrastructure as it lags behind advanced countries amid growing interest in zero-emission vehicles, a business association said Thursday. South Korea has emerged as a major player in technologies involving hydrogen fuel-cell electric vehicles and fuel-cell battery-based power generation in recent years. But the country still is behind developed nations in hydrogen charging stations and the production, storage and transport o

Oct. 8, 2020

S. Korea logs current account surplus for 4th month in Aug.

South Korea posted a current account surplus for the fourth straight month in August as exports declined at a slower pace than imports amid major economies' reopenings after the pandemic-caused lockdowns, the central bank said Thursday. The current account surplus reached $6.57 billion in August, down from $7.45 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

Oct. 8, 2020

Seoul's trade minister among 2 finalists in race for new WTO chief: report

South Korean Trade Minister Yoo Myung-hee has made it onto the shortlist of two finalists in a race to become the new chief of the World Trade Organization (WTO), a news report said Thursday. The South Korean candidate will now compete with Ngozi Okonjo-Iweala from Nigeria for the top seat, Reuters reported, citing three unidentified sources. The WTO earlier said the candidates for the final round of the selection process will be announced later Thursday (Geneva time). Member states will reac

Oct. 8, 2020

S. Korea’s forex reserves extend 6-month uptrend in Sept.

South Korea’s foreign reserves continued to rise in September for the sixth straight months, mostly on the back of the country’s sale of foreign exchange stabilization bonds and partly due to investment returns, central bank data showed Wednesday. The foreign reserves totaled at a record high of $420.6 billion as of the end of September, up $1.59 billion from a month earlier, according to data compiled by the Bank of Korea. The given figure comprises securities and deposits denomin

Oct. 7, 2020

LS Cable buys land in Poland for possible expansion of plants

LS Cable & System Ltd., South Korea's leading wire and cable manufacturer, said Wednesday it has purchased a 30,000-square-meter plot of land in Poland for a possible expansion of its operations. A company official said no decision has been made yet on building production facilities on the new site, which is next to LS Cable's second plant in the southwestern Polish town of Dzierzoniow. The second plant, which is yet to be completed, will produce parts for electric vehicle batteries. Last

Oct. 7, 2020

Finance chief renews calls for creating rules for fiscal soundness

SEJONG -- Finance Minister Hong Nam-ki on Wednesday renewed calls to establish rules to ensure fiscal soundness as he voiced concerns about South Korea's debt and fiscal deficit. Hong made his case for the rules during a parliamentary annual inspection of the ministry, citing a looming hike in South Korea's debt-to-gross domestic product (GDP) ratio. The ratio is expected to reach 43.9 percent this year as South Korea drew four rounds of extra budgets meant to ease the fallout of the coronavir

Oct. 7, 2020

BOK to virtually test distribution of digital currency next year

South Korea’s central bank said Wednesday that it plans to start testing the distribution of its digital currency next year. The Bank of Korea announced in April that it had launched a 22-month pilot program that would run through December 2021. According to the BOK, the distribution and circulation test is the final part of the three-step pilot program. Phase 2, which focuses on analyzing related processes and seeking outside consulting, started recently. Phase 1, designing

Oct. 7, 2020

Households' excess funds sharply up in Q2 amid virus outbreak

Excess funds held by South Korean households and nonprofit agencies sharply rose in the second quarter from a year earlier due mainly to the government's emergency handouts and an extended slump in private consumption amid the pandemic, the central bank said Wednesday. Net financial funds -- the value of financial assets minus financial liabilities -- held by local households and nonprofit organizations serving households amounted to 64 trillion won ($55 billion) in the April-June period, sharp

Oct. 7, 2020

S. Korea adopts tougher safety measures at ASF-hit farms

South Korea said Wednesday it has set up new guidelines for pig farms hit by African swine fever (ASF) as they are gradually preparing for reopening after the disease swept the inter-Korean border area last year. "As the virus can spread by automobiles, people or other mediums, it is necessary to enforce sanitary measures to prevent the farms from contacting the virus," the Ministry of Agriculture, Food and Rural Affairs said in a statement. The new measures center on providing detai

Oct. 7, 2020

Fitch keeps S. Korea's credit rating at 'AA-,' outlook stable

Global credit appraiser Fitch Ratings said Wednesday it has maintained South Korea's credit rating at "AA-" with a stable outlook. Fitch's rating for South Korea has been AA-, the fourth-highest level of the agency's sovereign ratings, since 2012. "Korea's rating balances robust external finances, steady macroeconomic performance and sufficient fiscal headroom going into the coronavirus pandemic against geopolitical risks related to North Korea and medium-term structural challe

Oct. 7, 2020

Imported car sales rise 15% in Sept. amid pandemic

Sales of imported vehicles in South Korea rose 15 percent in September from a year earlier due to strong demand for German cars, an industry association said Wednesday. The number of newly registered foreign vehicles rose to 21,839 units last month from 20,204 a year earlier, the Korea Automobile Importers & Distributors Association (KAIDA) said in a statement. The three bestselling models were Mercedes-Benz's E300 4MATIC sedan and A 220 sedan, and the Audi A6 45 TFSI sedan, the statement

Oct. 7, 2020

T'way Air to start flights to Japan next month

T'way Air, a South Korean low-cost carrier, said Wednesday it will begin flights to Japan next month mainly to meet business travel demand. T'way Air will resume services on the routes from Incheon to Osaka and Tokyo on Nov. 5 and Nov. 6, respectively, with a plan to eventually provide flights on routes to Nagoya and Fukuoka, the company said in a statement. The budget carrier said it will initially offer one flight a week on the routes to Osaka and Tokyo as the new coronavirus outbreak cont

Oct. 7, 2020