Manufacturers' domestic supply declines for 2nd straight quarter amid pandemic

South Korean manufacturers' domestic supply declined for the second straight quarter in the third quarter, as production remained sluggish amid the new coronavirus outbreak, data showed Friday. The manufacturing domestic supply index stood at 102.7 in the July-September period, down 0.3 percent from a year earlier, according to the data from Statistics Korea. The third-quarter tally compared with a 4.5 percent on-year drop in the second quarter, when the index fell at the sharpest pace since t

Nov. 6, 2020

Major foreign IBs revise up S. Korea's growth outlook on recovery hopes

Major foreign investment banks (IBs) have upgraded their forecasts for South Korea's economic growth for 2020 on growing expectations for an economic recovery, a report showed Friday. As of end-October, nine major global IBs, including Barclays and Goldman Sachs, projected Asia's fourth-largest economy to shrink 1.2 percent this year, compared with their median outlook of a 1.4 percent contraction offered a month earlier, according to the report by the Korea Center for International Finance. T

Nov. 6, 2020

Vice finance minister says US election has limited impact on local markets

South Korea's vice finance minister said Thursday uncertainties surrounding the US presidential election will have limited impact on the local financial and foreign exchange markets, vowing for swift countermeasures if market volatility increases.  “The US presidential election risks have already been reflected in the local financial markets. Since the US government is likely to maintain its quantitative easing policies, there is a limited possibility of volatility in the local finan

Nov. 5, 2020

[Herald Interview] ‘S. Korea to serve as model for innovation in post-pandemic int’l development’

While the prolonged COVID-19 pandemic has struck the global economy hard, it is developing countries with limited access to innovative solutions that are reeling the most. To provide a safety net for struggling economies and move toward common prosperity, it is crucial that innovation leaders such as South Korea share their experience and expertise, according to a senior international development expert. “Leveraging its expertise, experience, and knowledge will be the key for Korea to g

Nov. 5, 2020

Current account surplus reaches two-year high in Sept.

South Korea’s current account surplus, a key barometer of the nation’s trade, surpassed $10 billion and hit a two-year high in September, the central bank said Thursday, feeding anticipations that it would easily top its 2020 outlook of $54 billion. On the back of improved exports, the surplus came to $10.21 billion in September, compared to $6.57 billion the previous month, the Bank of Korea said. This marked a surplus for Asia’s fourth-largest economy for five consecutive m

Nov. 5, 2020

BAT Korea to up ratio of non-combustible cigarettes to 50%

British American Tobacco (BAT) Korea said Thursday it will increase the ratio of non-combustible cigarette products to 50 percent by 2030 to boost sales amid regulations and health concerns over smoking. The British tobacco company has sold the heat-not-burn glo tobacco heating product (THP) series in the Korean market since 2017 on top of its traditional cigarette products. Currently, traditional cigarette products account for 90 percent of BAT Korea's total sales, with the remaining 10 perc

Nov. 5, 2020

S. Korea to offer $30m to local office of World Bank by 2023

South Korea pledged Thursday to provide U30 million to the local office of the World Bank by 2023 in an effort to promote cooperation with the international organization. South Korea's Ministry of Economy and Finance made the pledge in a conference in Seoul on innovative technology, which it hosted with the Korean office of the World Bank and the International Development Association. The conference was the first face-to-face forum held by the World Bank since the COVID-19 pandemic hit the glo

Nov. 5, 2020

Builder sentiment hits yearly high in Oct.

South Korean builders' business sentiment surged to a yearly high in October on a recovery in housing orders despite the prolonged coronavirus crisis, a poll showed Thursday. The construction business survey index (CBSI) stood at 79.9 last month, up 4.6 points from the prior month, according to the survey by the Construction and Economy Research Institute of Korea. The October figure was the highest monthly tally for this year, but it was still below the benchmark level. A reading below 100 i

Nov. 5, 2020

S. Korea's current account surplus hits 2-year high in Sept. on export recovery

South Korea's current account surplus hit a two-year high in September as exports rebounded for the first time in seven months on brisk shipments of chips and autos amid the new coronavirus outbreak, the central bank said Thursday. The current account surplus reached $10.21 billion in September, compared with $6.57 billion the previous month, according to the Bank of Korea (BOK). The current account is the broadest measure of cross-border trade. It marked the largest surplus since September 20

Nov. 5, 2020

[KH Finance Forum] COVID-19 provides financial firms new opportunities to go digital, global

Despite the uncertainties posed by the pandemic, South Korea’s financial industries are met with fresh opportunities to accelerate digitalization in response to the major changes in financial consumers’ behavior, as more people turn to mobile phones instead of brick-and-mortar branches to use financial services in times of COVID-19, said speakers at The Korea Herald’s first finance forum Wednesday. At Korea Herald Finance Forum 2020, held under the tagline “Korean Econo

Nov. 4, 2020

[KH Finance Forum] Korea-ASEAN’s strong ties to offer new opportunities for financial firms

Efforts should be made to support Korean financial companies’ entry to Southeast Asian markets to secure sustainable future growth and foster stronger financial ties, a senior researcher said Wednesday. The country’s financial competitiveness along with the development of its economy has grown at large, and it is the time for the local financial industry to seek new opportunities by bolstering economic cooperation with Southeast Asia, said Jeong Young-sik, senior researcher for inte

Nov. 4, 2020

[KH Finance Forum] World Bank Korea to establish platform for Korean startups to participate in global projects

World Bank Group Korea Office plans to launch a platform that connects local startups with global projects designed and operated by the international financial institution, special representative to World Bank Group Korea Office said Wednesday. “We plan to establish an ‘Innovation Fund’ to connect global Bank projects and clients with Korean and East Asia Pacific suppliers of innovative and technology enabled solutions,” Soh Hoon Sahib said during the Korea Herald

Nov. 4, 2020

Online shopping hits new high in Sept. on virus, Chuseok holiday

SEJONG -- Online shopping in South Korea soared to a new high in September due to the coronavirus pandemic and the Chuseok holiday, data showed Monday, The value of online transactions stood at 14.72 trillion won ($12.9 billion) in the month, up 30.7 percent from a year earlier, according to the data from Statistics Korea. It was also the largest monthly amount since the agency began tracking related data in 2001. The surge was attributed largely to the pandemic that prompted more shoppers t

Nov. 4, 2020

Imported car sales rise 9.8% in Oct. amid pandemic

Sales of imported vehicles in South Korea rose 9.8 percent in October from a year earlier due to strong demand for German cars, an industry association said Wednesday. The number of newly registered foreign vehicles climbed to 24,257 units last month from 22,101 a year earlier despite the COVID-19 pandemic, the Korea Automobile Importers & Distributors Association (KAIDA) said in a statement. The three bestselling models were the Volkswagen Tiguan 2.0 TDI SUV, Volvo XC40 B4 AWD SUV and BM

Nov. 4, 2020

Finance minister pledges utmost efforts to do his job after resignation offer was rejected

Finance Minister Hong Nam-ki vowed Wednesday he will do his best to perform his duties in sync with the president after his resignation offer over a taxation issue was rejected. "In conformity with the intention of the personnel authority, I will do my utmost to do my official duties as a deputy prime minister," Hong said during the parliamentary budget and accounts committee's interpellation session. "As parliament kicks off its review of the (2021) budget bill, I will do my b

Nov. 4, 2020

S. Korea's FX reserves up for 7th straight month to fresh record high in Oct.

South Korea's foreign reserves climbed for the seventh straight month in October due to a rise in the value of non-dollar assets and an increase in investment returns, central bank data showed Wednesday. The country's foreign reserves came to a record high of $426.5 billion as of end-October, up $5.96 billion from a month earlier, according to the Bank of Korea (BOK). Foreign reserves consist of securities and deposits denominated in overseas currencies, International Monetary Fund reserve pos

Nov. 4, 2020

Finance Minister offers to resign over major-shareholder taxation furor

South Korea’s Deputy Prime Minister and Finance Minister Hong Nam-ki offered his resignation on Tuesday, in an apparent response to the market backlash against the government’s proposed changes to the taxation rules. “I have offered my resignation and submitted my letter today, taking responsibility over the prolonged disputes,” the fiscal chief said during a parliamentary finance committee meeting. His abrupt announcement came while answering a question from Rep. Ch

Nov. 3, 2020

[News Focus] On economy, pessimists outnumber optimists for 29 consecutive months

SEJONG -- It has been found that nearly half of South Koreans were still pessimistic about economic conditions, far outnumbering optimists, a survey showed. According to a poll conducted on Oct. 27-29 by Gallup Korea, 46 percent of the 1,000 respondents said that economic conditions would deteriorate in the coming year. Only 23 percent were upbeat about the economy. Another 27 percent said the economic conditions ahead would remain roughly the same. Further, pessimists outnumbered optimists f

Nov. 3, 2020

Pricey Gangnam apartments stand out as homeowners' safe haven

Apartment units in southern Seoul's Gangnam-gu stood out among housing options in South Korea’s capital city in October in terms of their valuation, as they are increasingly regarded as a safe haven in times of uncertainty in housing market regulation. The estimate comes as multiple-home owners are struggling to keep multiple flats in their portfolio due to tougher housing regulations to stamp out the speculative buying. The price gap between Gangnam-gu and adjacent districts in southeas

Nov. 3, 2020

Doosan's nonprofit foundation to sell stake in fuel cell unit

Doosan Group's scholarship foundation signed a deal Tuesday to sell its 3.16 percent stake in Doosan Fuel Cell Co., the fuel cell maker said. The foundation will sell 2.27 million preferred shares in Doosan Fuel Cell after the market closes via a block deal, Doosan Fuel Cell said in a regulatory filing. The stake sale to be made Thursday will lower the interest in Doosan Fuel Cell held by the group's holding company, Doosan Corp., and major shareholders to 50.31 percent from 53.47 percent.

Nov. 3, 2020