Finance minister renews call for truckers to return to work

Finance Minister Choo Kyung-ho on Thursday reiterated his call for local truckers to return to work, stressing that their strike is causing severe damage to the country's economy, already hurt by uncertainties. The remark came after South Korea invoked a return-to-work order on truckers of the cement industry earlier on Tuesday, as thousands of truckers have been on strike since last week, demanding the government guarantee what they call a "wage for safe operation." "If (the

Dec. 1, 2022

Foreign investors snap up tech shares

Foreign investors purchased a net of more than 6 trillion won ($4.5 billion) worth of shares on South Korea's stock market in October and November as they picked up chips and other related tech shares, the Korea Exchange's data showed Wednesday. According to the securities exchange operator, foreign investors purchased net 6.78 trillion-won worth of shares on the benchmark Kospi from Oct. 1 to Nov. 29, while they sold 30 billion won on Kosdaq. The Kospi purchase was heavily focused on

Nov. 30, 2022

Industry minister, BOK chief discuss economic situation

Industry Minister Lee Chang-yang met with Bank of Korea Gov. Rhee Chang-yong on Monday and discussed the economic situation amid high inflation and interest rates, the industry ministry said. During their first one-on-one meeting, the officials reviewed difficulties in the real economy weighed down by high prices, interest rates and the weak local currency, and agreed on close consultations to help overcome challenges, according to the Ministry of Trade, Industry and Energy. South Korean compani

Nov. 28, 2022

S. Korea to reduce bond issuance of state-run firms, stabilize market

South Korea plans to reduce the issuance of bonds by state-run companies, the finance ministry said Monday, in line with the country's efforts to stabilize the bond market hit by uncertainties. The plan was announced during an emergency meeting of economy-related ministers in Seoul earlier in the day, presided over by Finance Minister Choo Kyung-ho, according to the Ministry of Economy and Finance. "Under cooperation with the banking sector, we will seek to have state-run organizations

Nov. 28, 2022

Bank of Korea flags growth, credit fears as it reins in interest rate hike

The Bank of Korea raised its policy rate by 25 basis points Thursday, returning to its usual pace of tightening as growth and credit markets falter in the face of 24-year-high inflation running close to three times the central bank’s 2 percent target. The unanimous decision the seven-member board reached to put the current rate at 3.25 percent -- a rise of 275 basis points since August last year -- underscored the central bank’s commitment to more increases despite their impact on gr

Nov. 24, 2022

Inflation expectations down in Nov. ahead of BOK's rate decision

South Korea's inflation expectations edged down on-month in November ahead of the Bank of Korea's widely-anticipated rate increase this week aimed at bringing price growth under control, a central bank survey showed Tuesday. Ordinary people predicted that consumer prices will grow 4.2 percent over the next year, down 0.1 percentage point from 4.3 percent surveyed the previous month, according to the poll the BOK conducted early this month. The figures are closely watched as their upwar

Nov. 22, 2022

Exports down 16.7% during first 20 days of Nov.

South Korea's exports fell 16.7 percent on-year in the first 20 days of November due mainly to weak outbound shipments of chips and mobile devices, data showed Monday. The country's monthly exports stood at $33.2 billion in the Nov. 1-20 period, compared with $39.8 billion a year earlier, according to the data from the Korea Customs Service. Imports also went down 5.5 percent on-year to $37.6 billion during the cited period, resulting in a trade deficit of $4.4 billion. South Korea had

Nov. 21, 2022

S. Korea to foster service, entertainment industries amid economic challenges

South Korea plans to draw up a five-year development plan for the country's service industry in line with its efforts to foster new growth engines amid protracted economic challenges, the finance minister said Friday. "Recently, various cultural and entertainment content, such as BTS and 'Squid Game,' have gained popularity around the globe, emerging as new growth and export engines," Finance Minister Choo Kyung-ho said during a meeting with economy-related ministers. &q

Nov. 18, 2022

Singapore, Germany forge stronger ties to bolster supply chains

SINGAPORE -- Germany and Singapore bolstered their partnership for supply chain diversification, stressing pipeline expansion instead of decoupling with China. The move comes as the European Union member nation, among many other key economies, has been burdened with the task of cutting back their reliance on China. “Reducing risky, one-sided dependencies when it comes to certain raw materials or critical technologies will play an important role in the National Security Strategy that we a

Nov. 16, 2022

S. Korea's kimchi imports hit new high in Oct.

South Korea's imports of kimchi touched an all-time monthly high in October amid runaway inflation in the country, government data showed Wednesday. Inbound shipments of the spicy Korean traditional side dish stood at a record $17.02 million last month, up 50.9 percent from a year earlier, according to the data from the Korea Customs Service. It was also up 16.2 percent from the previous month and marked the first time for South Korea's monthly kimchi imports to surpass the $17 million

Nov. 16, 2022

Import price growth slows as BOK readies rate hike

South Korea’s import prices rose annually at their slowest pace in 15 months in October, fueling speculation over an inflation peak ahead of the central bank’s rate hike next week -- the last one for the year in the face of 24-year-high inflation. Preliminary data from the Bank of Korea showed Tuesday that import prices rose 19.8 percent, at the slowest rate since July 2021, though they edged up for the second straight month in October on higher energy import costs. The depreciating

Nov. 15, 2022

Import prices up for second straight month in Oct. on energy costs, weak currency

South Korea's import prices rose for the second straight month in October on high energy prices and the weak local currency that drove up overall import bills, central bank data showed Tuesday. The import price index rose 1.5 percent in October from a month earlier, following a 3.4 percent on-month increase in September, according to the preliminary data from the Bank of Korea. Compared with a year earlier, the index jumped 19.8 percent. The BOK attributed the increase to high crude oil pri

Nov. 15, 2022

Watchdog calls on banking giants for transparency

South Korea’s top financial watchdog said Monday that the local banking giants should seek more transparency in how they elect their chief executives, a week after the Financial Supervisory Service’s disciplinary move against one of the chiefs over “junk funds.” The chief of Woori Financial Group -- one of the five biggest banking groups -- is now banned from holding a job in finance for up to five years as part of punishment for having sold funds the regulator says shoul

Nov. 14, 2022

[Newsmaker] S. Korea’s working hours decrease 10% over decade

South Koreans' working hours may have decreased by 10 percent compared to a decade ago, but the country still works longer hours than most of its OECD peers, ranking fifth among them, data found Monday. According to the recent OECD's data, Koreans worked 1,915 hours last year, the fifth-longest among 38 OECD member countries. The hours marked a 10.3 percent decline from 10 years earlier, when the country topped the list with 2,136 hours in 2011. Despite the decrease in average annual hours worke

Nov. 14, 2022

BOK board member calls for 'simple, direct' communication on monetary policy

A monetary policymaker of the Bank of Korea on Friday underlined the need for "simple" and "direct" communication when the central bank tries to send signals to the market on its future policy directions. Park Ki-young, one of the BOK's seven-member monetary policy board that determines the key policy interest rate, also raised the need for more research for the central bank's effective communication with market participants. "Such practical restrictions as the

Nov. 11, 2022

Auto exports jump 28% in October on solid demand for eco-friendly cars

South Korea's car exports jumped 28.5 percent on-year last month on brisk demand for eco-friendly cars, data showed Friday. The value of outbound shipments of automobiles came to $4.92 billion last month, the largest ever for any October, according to the data from the Ministry of Trade, Industry and Energy. In terms of volume, a total of 208,544 vehicles were sold last month, up 30.2 percent from the previous year, the data showed. By region, exports to North America jumped 60.2 percent to $2.3

Nov. 11, 2022

BOK chief says continued monetary tightening necessary but worries about 'growing signs of stress'

South Korea's top central banker said Friday that it is a top priority to ensure price stability and reduce inflation pressure through monetary tightening but worried there are "growing signs of stress" in various sectors amid recent steep interest rate hikes. Rhee Chang-yong, governor of the Bank of Korea, also voiced worries over money moving from non-banking sectors to the banking sector due to fast-rising deposit rates, saying that it is an "important issue" to turn

Nov. 11, 2022

Exports down 2.8 percent during first 10 days of Nov.

South Korea's exports slipped 2.8 percent on-year in the first 10 days of November due mainly to weak shipments of chips and mobile devices, data showed Friday. The country's outbound shipments stood at $17.7 billion in the Nov. 1-10 period, compared with $18.2 billion a year earlier, according to the data from the Korea Customs Service. Imports also went down 6.7 percent on-year to $19.8 billion during the cited period, resulting in a trade deficit of $2.05 billion. Outbound shipments

Nov. 11, 2022

Mortgage rules to be loosened as slowing market threatens economy

South Korea will ease lending rules for those looking to buy their first home in the capital and in the greater Seoul area starting Dec. 1 to prevent a property market slowdown prompted by higher interest rates from hurting economic growth. According to an interagency government meeting led by the Finance Ministry on Thursday, such home buyers will be able to borrow up to 50 percent of the property value, up from as low as 20 percent currently approved, and take out mortgage loans on properties

Nov. 10, 2022

Prices of food, daily necessities soar

Prices of major food items such as flour, cheese, tofu and chicken have risen over 20 percent in the past year, while prices of daily necessities such as detergents and shampoo have also jumped. Milk prices will surge again next week, which means the prices of bread, ice cream and coffee will also climb. According to the Korea Price Research Center on Thursday, the price of a 1-kilogram pack of flour (CJ Beksul all purpose flour) surged 37.7 percent from a year ago to 1,900 won in the second wee

Nov. 10, 2022