W8.6b returned to people who sent money to wrong accounts

A total of 8.6 billion won ($6.7 million) was returned to 7,015 people who wired money to the wrong accounts since July 2021, the Korea Deposit Insurance Corporation said on Wednesday. The Misdirected Wire Transfers Recovery Support System, implemented in July 2021, is a system that returns money that was sent by mistake, which applies to those who wired amounts between 50,000 won and 50 million won. Requests for return need to be filed within a year of the date transfer was made. The average am

July 12, 2023

Korea looks to lure more foreign workers

The Korean government plans to ease the visa quota for foreign workers to resolve growing labor shortage issues. “We will resolve the imbalance in the labor market by improving the working environment and using foreign human resources,” Finance Minister Choo Kyung-ho said at a meeting Wednesday. Choo said the government will lift the quota for the E-7-4 visa for skilled workers from 5,000 to 35,000 within the year and ease the standard on minimum annual income, which currently stands

July 12, 2023

Hyundai workers to hold strike in protest against 'anti-union' government

Unionized workers at Hyundai Motor Co. will hold a partial strike Wednesday in the South Korean carmaker's domestic plants in protest against the "anti-union" Yoon Suk Yeol government, the union said. Hyundai's day-shift and night-shift workers will hold a two-hour strike Wednesday, respectively, under the guidelines of the Korean Metal Workers' Union, a union spokesman said over the phone. The KMWU has been calling on the Yoon government to stop union repression and for

July 12, 2023

S. Korean banks' net income from overseas businesses down in 2022

South Korean banks' net income from overseas businesses decreased in 2022 from a year earlier on increased bad debt expenses, data showed Wednesday. The net income of domestic banks' overseas businesses sank to $991 million from $1.17 billion on-year, according to the Financial Supervisory Service. The FSS attributed the decrease to a rise in banks' bad debt expenses intended to prepare for bad loans amid global rate hikes. The banks' interest income rose 13.7 percent on-year

July 12, 2023

Better-than-expected job additions continue in June on strong senior workforce

South Korea's job additions remained stronger than expected in June on the back of the senior workforce, data showed Wednesday, although the on-year growth slowed for the third consecutive month. The number of employed people came to 28.81 million in June, up around 333,000 from a year earlier, according to the data compiled by Statistics Korea. South Korea's on-year job additions slowed for nine consecutive months through February before rebounding in March, when they rose 469,000 on-

July 12, 2023

S. Korea to host intl. statistics congress in 2027

South Korea's statistics agency said Tuesday the country has been selected as the host of an international statistics event scheduled for 2027, which will bring together experts and government officials from around the world to share knowledge in the field of statistics. South Korea will host the World Statistics Congress of the International Statistical Institute in 2027 in the southeastern port city of Busan, marking the second time for the country to host the biennial event, following it

July 11, 2023

Exports down 14.8% during first 10 days of July

South Korea's exports fell 14.8 percent on-year in the first 10 days of July due to sluggish shipments of chips, data showed Tuesday. The country's outbound shipments reached $13.3 billion in the July 1-10 period, compared with $15.5 billion tallied a year earlier, according to the data from the Korea Customs Service. Imports fell 26.9 percent on-year to $15.5 billion during the period, resulting in a trade deficit of $2.27 billion. In June, South Korea's outbound shipments fell 6

July 11, 2023

M&A activity plummets 40% in H1

The total transaction volume of cross-border mergersand acquisitions involving Korean companies decreased by more than 40 percent in the first half of this year compared to the previous year, according to a major business lobby group, which called for the government support for deals with overseas tech companies. According to a report released by the Sustainable Growth Initiative, a think tank under the Korea Chamber of Commerce and Industry on Monday, the volume of transactions in domestic

July 10, 2023

BOK likely to hold key rate steady as inflation eases

The Bank of Korea is expected to keep its key interest rate unchanged this week as recent economic indicators show signs of waning inflation. If the central bank maintains the policy rate at 3.5 percent at its rate-setting meeting scheduled to take place on Thursday, it would be its fourth consecutive freeze since February. Signs of inflation cooling have created room for the BOK to keep the rate at the same level. Korea’s consumer prices, a key gauge of inflation, rose by 2.7 percent in

July 10, 2023

S. Korea's current account returns to black in May

South Korea's current account returned to the black in May on the back of a trade surplus and increased dividend payments from overseas, central bank data showed Friday. The country's current account surplus reached $1.93 billion in May, swinging from a deficit of $790 million a month earlier, according to the preliminary data from the Bank of Korea. May's surplus came as the country logged a trade surplus and the service account deficit narrowed. The primary income account, which

July 7, 2023

S. Korea removes tariffs on naphtha imports

South Korea has removed tariffs on imports of naphtha and crude oil used to produce the material, the finance ministry said Thursday, in line with efforts to support the local petrochemical industry. Under the measure, the tariffs on all naphtha imports will be lowered to zero through the end of 2023 immediately, compared with the current 0.5 percent, according to the Ministry of Economy and Finance. Those on crude oil used to produce naphtha will also be lowered to zero for the amount not excee

July 6, 2023

S. Korea's overseas plant orders jump 40.2% in H1

Overseas orders for industrial plants won by South Korean builders spiked more than 40 percent on-year in the first half of 2023 on brisk demand from the Middle East and Africa, data showed Thursday. Local builders clinched $13.05 billion worth of plant orders from abroad in the January-June period, up 40.2 percent from a year earlier, according to the commerce ministry data. The first-half jump came as orders from Middle Eastern and African countries shot up from a year earlier. Plant orders fr

July 6, 2023

[Photo News] Foreign reserves up in June

An official sorts dollar bundles at a Hana Bank branch in Seoul, Wednesday. As the US dollar weakens, Korea's foreign reserves amounted to $421.45 billion as of end-June, up $470 million from the previous month. The dollar's fall boosted the converted value of holdings denominated in other currencies such as the euro and pound. Financial institutions' foreign currency holdings also went up, the Bank of Korea explained.

July 5, 2023

S. Korea, India discuss industry, economic cooperation

South Korea's top trade official met with an Indian industry delegation in Seoul on Wednesday for talks on ways to expand bilateral economic and industry ties, Seoul's industry ministry said. Trade Minister Ahn Duk-geun met with the visiting delegation led by Sanjiv Puri, president designate of the Confederation of Indian Industry, and discussed how to enhance cooperation on the overall economy and major industry sectors, according to the Ministry of Trade, Industry and Energy. Two-way

July 5, 2023

Korea lowers growth outlook to 1.4% on slow recovery

The Korean government revised down its economic growth rate projection to 1.4 percent on Tuesday, as the exports sector struggles to rebound, delaying the economy's recovery to next year. The revision came as the Finance Ministry and other related ministries announced economic policy measures for second half of this year. The gross domestic product growth forecast was cut from the previous 1.6 percent to 1.4 percent. The ministry initially suggested that the Korean economy would see a rebou

July 4, 2023

S. Korea's consumer prices up 2.7% in June, slow for 5th month

South Korea's consumer price growth slowed for the fifth straight month in June, falling below 3 percent for the first time in 21 months, data showed Tuesday. Consumer prices, a key gauge of inflation, rose 2.7 percent last month from a year earlier, compared with a 3.3 percent increase tallied in May, according to the report from Statistics Korea. It also marked the first time for the on-year growth in consumer prices to fall below 3 percent since September 2021, the data showed. The price

July 4, 2023

Korean investors snap up Japanese stocks amid yen weakness

Korean investors have poured money into Japanese stocks this year, taking advantage of a weaker yen and the roaring Japanese stock market, according to data from the Korea Securities Depository on Monday. In recent months, the Korean currency has been traded in the 900 won range against 100 Japanese yen, as the Bank of Japan continues to maintain negative rates to spur the local economy. Backed by the record low yen, more local investors are scooping up Japanese shares. The KSD data showed that

July 3, 2023

Hana seeks to foster financial talent in Indonesia

Hana Financial Group said Monday it is working together with Binus University, a prestigious private university in Indonesia, to foster global talent in the financial sector. Under the partnership agreement signed in Seoul on Friday, Hana Financial Group will provide opportunities for Indonesian university students to work as interns at Hana offices starting in the second half of this year. Binus University plans to operate the International Talent Pool Management program, which provides credits

July 3, 2023

S. Korea's exports to US up 5.5% per year for 10 years under KORUS FTA

South Korea's exports to the United States rose more than 5 percent per year on average over the past decade thanks to the 2012 bilateral free trade agreement, compared with a 1.5 percent increase in the country's overall exports, a think tank said Monday. South Korea's shipments to the US jumped to $96.3 billion in 2021 from $56.4 billion in 2011, marking a yearly 5.5 percent growth on average, according to the Korea Institute for International Economic Policy. During the period,

July 3, 2023

[KH Explains] Korea’s economic recovery slower than hoped

Though Korea’s sluggish economy was initially expected to improve in the latter half of the year, the recovery is slowing, as the country struggles with a prolonged export slump. The Finance Ministry is likely to lower slightly the economic growth rate forecast for 2023 from the previous 1.6 percent when it announces economic policy measures for the second half of the year on Tuesday. The Korean economy was initially expected to rebound in mid-2023 when China’s economy reopened and t

July 2, 2023