BOK set to begin normalization to ease side effects of low rates: chief

The Bank of Korea (BOK) is preparing to begin normalizing its pandemic-era easing of monetary policy as it seeks to ease side effects of low interest rates, BOK Gov. Lee Ju-yeol said Friday. The remarks came a day after Lee strongly hinted it may conduct its first post-pandemic rate hike by the end of this year, despite a recent spike in COVID-19 infections. The BOK has "notified markets in advance that it could start normalization to ease side effects of low rates for too long if the eco

July 16, 2021

S. Korea eyes deeper economic ties with Kenya

South Korea said Friday it seeks to forge deeper economic ties with Kenya in line with its efforts to diversify its trade portfolio and penetrate deeper into the African market. Vice Industry Minister Park Jin-kyu met his Kenyan counterpart Betty Maina in Seoul to discuss a wide array of economic issues, according to the Ministry of Trade, Industry and Energy. During the meeting, Park said South Korea wishes to expand its presence in Kenya's consumer goods and biohealth segments, as the launch

July 16, 2021

Sales of short-term bonds climb 12% in H1

Sales of short-term corporate bonds in South Korea rose 12 percent in the first half of the year from a year earlier amid the coronavirus pandemic, data showed Friday. Local companies issued 577.4 trillion won ($505 billion) worth of bonds maturing within one year in the January-June period, up from 515.5 trillion won a year earlier, according to the data from the Korea Securities Depository (KSD). Compared with a year earlier, the amount was also up 11.9 percent. Sales of general short-term

July 16, 2021

Flare-up in COVID-19 cases ups economic uncertainty: ministry

The South Korean economy is on a recovery track, but a recent flare-up in COVID-19 cases could heighten uncertainty over an improvement in domestic demand, the finance ministry said Friday. In its monthly economic assessment report, the ministry said the country's exports remain robust and domestic demand showed signs of improvements while the job market is recovering from slumps. "But a resurgence in COVID-19 cases could increase uncertainty about domestic demand," the Ministry of E

July 16, 2021

[Contribution] Korea Customs Service’s war on drugs

This June, a telescope arrived in South Korea as an express consignment from the US.  At a glance, it looked like an ordinary item, but when customs officers examined it closely, they discovered a steel plate welded onto the original product. Through an intrusive search, officers seized 442 grams of methamphetamine hidden inside. Earlier in March, 4 kilograms of methamphetamine disguised as sea salt was found among international parcels from the US. It amounted to a whopping 150,000 dos

July 15, 2021

BOK keeps rate at record-low amid 4th wave of virus outbreaks

South Korea’s central bank on Thursday kept its key policy rate anchored at record-low of 0.5 percent, with the latest wave of COVID-19 infections dampening its path to a hawkish policy. While some experts have said that a rate hike may come as early as this month, the widely-expected rate freeze decision came during this year’s fifth rate-setting meeting. The Bank of Korea has been keeping the rate at 0.5 percent since May 2020 after slashing it by a combined 0.75 percentage point

July 15, 2021

S. Korea to export nuclear reactor tech to Bangladesh

South Korea's science ministry said Thursday the country's nuclear research institute has won a deal worth $3.88 million to export nuclear reactor technology to Bangladesh. The Korea Atomic Energy Research Institute has signed a deal with the Bangladesh Atomic Energy Commission to deliver digital instrumentation and control systems for the South Asian country's research nuclear reactor by January 2023, according to the Ministry of Science and ICT. The South Korean nuclear institute will provid

July 15, 2021

KRX's gold trading volume surges in H1

The trading volume of South Korea's gold market soared in the first half this year, largely as pandemic-incurred uncertainties boosted individuals' demand for safe assets, the local exchange said Thursday. The average daily trading volume of gold in the Korea Exchange (KRX) jumped 19.4 percent on-year to 126.2 kilograms in the January-June period, according to the bourse operator's data. Its cumulated gold trading volume in the six-month period stood at 15.5 tons. The average daily turnover in

July 15, 2021

Air passenger traffic falls 29% in H1 amid pandemic

South Korea's air passenger traffic fell 29 percent in the first half from a year earlier amid the prolonged coronavirus pandemic, the transport ministry said Thursday. From January to June, the number of passengers on domestic and international routes fell to 16.67 million from 23.58 million in the year-ago period, as governments imposed entry restrictions due to the pandemic, the Ministry of Land, Infrastructure and Transport said in a statement. The number of passengers on international rou

July 15, 2021

BOK stands pat as 4th wave of outbreaks ups uncertainties

South Korea's central bank on Thursday held its benchmark policy rate unchanged at a record low of 0.5 percent amid a recent spike in COVID-19 infections but strongly hinted it may conduct its first post-pandemic rate hike by the end of this year. Bank of Korea (BOK) Gov. Lee Ju-yeol said the central bank will review whether a policy adjustment is needed at next month's rate-setting meeting, maintaining his hawkish stance on inflation and financial imbalances. The BOK "could raise its key

July 15, 2021

Amicogen to raise W22.3b via stock sale

Amicogen Inc. on Thursday announced that it will sell stocks to raise 22.3 billion won The proceeds from the stock offering will be used primarily to finance its facilities. According to a regulatory filing, the company will issue 532,198 common shares at a price of 41,850 won per share. The stocks will be sold to the investors that the firm designated. (Yonhap)

July 15, 2021

Korea Herald's The Investor to co-host webinar on digital currencies in Asia

The Investor, the financial news platform run by The Korea Herald, is to jointly hold a webinar on government-backed digital currencies and the future of cryptocurrencies next week. As a co-host, The Investor joins with the Asia News Network, an alliance of 23 national media outlets in 20 Asian countries, to discuss the prospect of digital currencies and their role in decentralized finance in the post-COVID era. The Star of Malaysia, also an ANN member, participates as a co-host of the virtu

July 14, 2021

Korea to add W60tr more to tackle economic polarization by 2025

South Korea will scale up its “Korean New Deal” stimulus package by making additional investments worth 60 trillion won ($52.2 billion) to nurture human talents for future industries, and improve ill-functioning employment and the social safety net, the government said Wednesday. Marking the first anniversary of the launch of the Korean New Deal initiative, President Moon Jae-in unveiled an upgraded version focusing on responses to deepening social inequality and economic polar

July 14, 2021

Banks' household loans swing to upturn in June

South Korean banks' household loans swung to an upturn in June following the previous month's one-off decline, central bank data showed Thursday. Outstanding bank loans to local households came to 1,030.4 trillion won ($896 billion) as of end-June, up 6.3 trillion won from a month earlier, according to the data from the Bank of Korea (BOK). It marks a turnaround from the 1.6 trillion-won on-month decline in May, which was attributed to repayments of loans by customers after the initial public

July 14, 2021

S. Korea to expand investment in New Deal initiative, eyes more job creation

South Korea said Wednesday it plans to expand its investment in its signature New Deal policy projects in a bid to create more jobs and better prepare for the post-pandemic era. Under the "New Deal 2.0" initiative, the government will invest 220 trillion won ($191 billion) in pushing for digital and green energy projects and promoting inclusive economic growth by 2025, up from its earlier investment plan of 160 trillion won. It is an upgraded version of the New Deal 1.0 drive unveile

July 14, 2021

Banks' loan delinquency rate rises for 2nd month in May

The delinquency rate for South Korean banks' won-denominated loans rose for the second straight month in May due to an increase in overdue corporate and household loans, the financial watchdog said Wednesday. The rate for bank loans more than 30 days overdue stood at 0.32 percent at the end of May, up from 0.3 percent the previous month, according to the Financial Supervisory Service (FSS). Banks' loan delinquency rate hit a record low of 0.28 percent in March. Compared with a year earlier, t

July 14, 2021

Korea Shipbuilding wins W910b in orders for 4 LNG carriers

Korea Shipbuilding & Offshore Engineering Co. (KSOE) said Wednesday that it has signed deals worth a combined 911 billion won ($792 million) to build four LNG carriers. A 454 billion-won deal with a Bermudian company calls for Hyundai Heavy Industries Co., a unit of KSOE, to build and deliver two LNG carriers by September 2025, KSOE said in a regulatory filing. Under a 458 billion-won deal with a European company, Hyundai Samho Heavy Industries Co., another subsidiary of KSOE, will build a

July 14, 2021

Airlines to resume flights to Saipan this month

South Korean airlines will resume flights to Saipan later this month as scheduled despite a recent surge in COVID-19 cases. The Seoul government recently signed a quarantine-free travel bubble agreement with Saipan to allow group tours of fully vaccinated Koreans to such holiday destinations. The government is in talks with Guam and Singapore to sign travel bubble deals in preparation for an increase in outbound travel demand as early as late this year. Among local carriers, Jeju Air Co. resu

July 14, 2021

S. Korea's ICT exports hit record high in June

South Korea's exports of information and communication technology (ICT) products reached a record high in June, data showed Wednesday, on the back of robust global demand for semiconductors and displays as the global economy picks up steam from the pandemic-induced slump. Outbound shipments of ICT products stood at $19.3 billion in June, up 29.1 percent from a year earlier, according to the data from the Ministry of Science and ICT. The figure marks the highest ever for the month and the 13th

July 14, 2021

ELS sales in S. Korea gain 12.8% in H1

Sales of equity-linked securities (ELS) in South Korea swelled nearly 13 percent in the first half of the year despite the coronavirus pandemic, data showed Wednesday. The value of ELS issues stood at 35.6 trillion won ($30.9 billion) in the January-June period, up 12.8 percent from a year earlier, according to the data from the Korea Securities Depository. The figure, however, was down 5.1 percent from the 37.5 trillion won floated during the second half of last year. ELS refers to hybrid de

July 14, 2021