[Monitor] Korean businesses post largest revenue increase

According to the business analysis report for 2017 released by the Bank of Korea, the amount of revenue made by South Korea’s entire industries last year posted a 9.9 percent increase on-year.The on-year increase rate in revenue for large businesses turned from a minus 0.3 percent in 2016 to 9.5 percent, while the corresponding ratio for small and mid-sized companies expanded from 7.4 percent to 11.3 percent.Revenues made by manufacturing and non-manufacturing companies each surged by 9.8

May 29, 2018

Moon urges early implementation of extra budget to create more jobs

President Moon Jae-in on Tuesday instructed the government to quickly implement its extra budget to create more jobs and called for efforts to smoothly implement the cut in working hours."The working hour reduction that goes into effect as of July 1 will bring significant changes to our society. It will be a chance for our workers, who have been working over 300 hours more than the average working hours of OECD countries, to escape from overwork and start enjoying a full life by spending mo

May 29, 2018

Korea's consumer sentiment rebounds in May

South Korea's consumer confidence rebounded in May after five months of losses thanks to improved inter-Korean relations, a central bank poll showed Tuesday.The composite consumer sentiment index for this month stood at 107.9, up 0.8 point from the previous month, according to the survey by the Bank of Korea. A reading above 100 means that people have an optimistic outlook, compared to the average sentiment over the past 14 years.The May figure ended the five consecutive months of losses that st

May 29, 2018

Shipbuilding cities to get emergency assistance

South Korea has designated Ulsan, Geoje, Mokpo and other cities reeling from the ailing shipbuilding business as emergency industrial zones, in line with its economic drive to boost employment and growth, the country’s chief economic policymaker said Tuesday.The designation is a follow-up measure, as the cities were already subject to government subsidies and incentives due to the prolonged slump of the country’s once-prosperous shipbuilding industry.“The newly designated areas

May 29, 2018

Dispute rising over pace, effect of minimum wage hike

The parliamentary move to revise the labor act to expand the scope of the minimum wage marks a rare legislative step that works against the interests of waged workers in the country.Under an agreement reached last week by lawmakers on the parliamentary labor committee, monthly bonuses and lodging and transportation expenses will be gradually incorporated into minimum wage calculations by 2024. Next year, monthly bonuses that exceed 25 percent of the minimum wage and lodging and transportation ex

May 28, 2018

K-Water leads regional meeting on water problems

South Korea’s state-run Korea Water Resources Corp., or K-Water, last week chaired a key regional council meeting to discuss Asia’s water problems, as part of its initiative to alleviate water scarcity and to promote jobs in the water industries.The sixth annual meeting of the Asia Water Council, the largest regional body dedicated to water-related problems, was held in Bangkok from Thursday to Saturday, officials said Sunday. The AWC, established in March 2016 under the leadership o

May 27, 2018

S. Korea's Q1 growth ranks 5th among OECD nations

South Korea's economic growth rate ranked fifth among members of the Organization for Economic Cooperation and Development in the first quarter of the year, a sharp turnaround from three months earlier, OECD data showed Sunday.Asia's fourth-largest economy expanded 1.1 percent in the January-March period from three months earlier, the fifth-highest among OECD member nations after Latvia (1.7 percent), Poland (1.6 percent), and Hungary and Chile (1.2 percent).South Korea tied with Finland and Mex

May 27, 2018

Korea to maintain 3% growth target despite doubts: minister

South Korea’s economy will remain on its course to a 3 percent growth this year, the nation’s top economic policymaker said Thursday, downplaying lower forecasts by think tanks on sluggish employment and investment.“As for now, we have no plans to revise the 3 percent growth target,” Deputy Prime Minister and Finance Minister Kim Dong-yeon said in a morning radio interview with CBS.“The economy grew 1.1 percent in the first quarter this year, which is more or less o

May 24, 2018

BOK freezes policy rate at 1.5% for May

South Korea's central bank on Thursday held its key rate steady for May amid signs of an economic downturn and low inflation pressure.In a widely expected move, the monetary policy board of the Bank of Korea voted to keep the policy rate unchanged at 1.5 percent, extending its wait-and-see stance to six months.In November last year, South Korea's central bank adjusted up the key rate for the first time in more than six years, citing economic recovery.Gov. Lee Ju-yeol said the rate-freeze decisio

May 24, 2018

Value of shares owned by 30 richest stockholders in Korea declines 5%

The combined value of shares owned by South Korea's 30 richest stockholders dropped 5 percent compared with the beginning of the year, industry data showed Tuesday. As of Monday, the combined value of shares owned by the stockholders stood at 85.8 trillion won ($79 billion), down 4.49 trillion won from 90 trillion won on Jan. 2, according to market tracker Chaebul.com.The benchmark Korea Composite Stock Price Index, compared with the closing price of 2,479.65 of the first trading session of this

May 22, 2018

Different economic diagnoses confuse markets

Key economic officials have recently expressed different views on the performance of the Korean economy, leaving market watchers confused about their intended policy direction. Last week saw the three top economic aides to President Moon Jae-in and the central bank head strike different tones on the current state of the economy and the effect of minimum wage hikes on employment.Finance Minister Kim Dong-yeon, who concurrently serves as deputy prime minister for economic affairs, came forward Thu

May 21, 2018

Korea to spend extra budget to create more youth jobs

SEJONG -- South Korea will make use of an extra budget as soon as possible to create new jobs for young people and help industrial regions grappling with massive layoffs, the finance ministry said Monday. With the National Assembly having passed the 3.83 trillion won ($3.54 billion) supplementary budget, an extraordinary Cabinet meeting will be held later in the day to approve a budget implementation plan.As it took 45 days to pass the bill submitted by the government due to political wrangling

May 21, 2018

Foreign funds in Korea more than double over decade

The number of foreign funds investing in the South Korean stock market has more than doubled over the decade, exceeding the 20,000 mark this year, the financial watchdog said Monday.A total of 21,328 foreign stock investment funds were registered with the Financial Supervisory Service as of the end of March, up 112.7 percent from 10 years earlier and accounting for slightly over 62 percent of foreign institutions operating in South Korea.Equity investment funds were followed by pensions and othe

May 21, 2018

Number of new hires in small retail, wholesale jobs falls in Q1

The total number of people finding work in the country's small retail and wholesale sectors fell in the first quarter, a report by a local think tank showed Sunday. The findings by the Korea Institute of Finance said that the number of jobs in the key service sector was down 86,000 from a year earlier. Small businesses refer to businesses that employ one to four workers, and have generally been seen as reflective of the number of people setting up their own businesses.KIF said that this year's d

May 20, 2018

Panel to look into minimum wage's impact on jobs

The government will look into the impact of the minimum wage hike on employment, amid a heated debate over whether the increase is actually hurting entry level jobs and weighing down the local economy, the head of a special commission said Sunday.Ryu Jang-soo, the chairman of Minimum Wage Commission under the labor ministry, said his commission will delve into the real impact of the 16.4 percent raise in the minimum wage on the local economy since it went to effect in January."The minimum w

May 20, 2018

BOK to hold key rate steady at upcoming monetary meeting: Moody's

South Korea's central bank is expected to freeze its policy rate at the current 1.5 percent at its upcoming monetary meeting due to low inflation pressure and the sluggish job market, a market watcher said Sunday.Scheduled to take place Thursday, the seven-member monetary policy panel under the Bank of Korea will decide whether to keep or adjust the key rate. The May meeting is the fourth round out of eight sessions set for this year.The BOK has maintained the present level in the previous three

May 20, 2018

Households' overseas spending rises up

South Korean households’ overseas spending rose 18.9 percent in the fourth quarter from a year earlier on increased outbound travel to foreign countries, the central bank said Saturday.South Korean households spent 8.43 trillion won (US$7.8 billion) overseas in the October-December period, the Bank of Korea (BOK) said.The data includes expenditure by South Koreans on accommodation and food while traveling or taking business trips to foreign countries.The hike in overseas spending is attrib

May 19, 2018

S. Korea may face continued US trade pressure: experts

South Korea is feared to continue to face US trade pressure despite the amendment of a bilateral free trade deal and the recent settlement of a row over steel imports, experts said Friday.In late March, South Korea and the US revised their free trade agreement, with Seoul agreeing to open its auto market to the US in exchange for an exemption from steel tariffs.Washington formally exempted South Korea from steep tariffs on steel imports on April 30, saying the move was in line with national secu

May 18, 2018

Annual salaries of top 30 firms increase 2.6% in 2017

The average annual salary of employees at South Korea's top 30 listed companies grew in the mid-2 percent range in 2017, with the growth rate for women nearly twice that for men, market trackers said Friday.The per-capita annual salary of the leading companies increased at an average rate of 2.6 percent last year from a year earlier, according to the job portals Job Korea and Albamon.Female workers of the companies saw their annual salaries expand 3.4 percent last year from the previous year, mu

May 18, 2018

S. Korean economy in good position as N. Korea tensions ease: S&P

Standard & Poor's, a global rating agency, made a positive assessment of the South Korean economy amid eased inter-Korean tensions, the country's chief economic policymaker said Thursday."S&P sees the overall conditions surrounding the Korean economy positively, and it also views progress in the geopolitical risks involving North Korea in a favorable light," Finance Minister Kim Dong-yeon said after a meeting with a S&P delegation."But they expressed concerns over the

May 17, 2018