South Korea‘s government vowed Friday to apply a speedy process to the payment of special disaster relief subsidies so that those heavily hit by the COVID-19 fallout may receive the money before the Chuseok holiday at the end of this month. “We shall simplify the qualification examination standards, and hand out the subsidies first, and carry out the (detailed) verification afterwards,” said Kim Yong-beom, first vice minister of finance, in an economic policy meeting at Go

Economy Sept. 11, 2020

The South Korean government’s recent issuance of low-yielding foreign exchange equalization fund bonds indicates the credibility for the fundamentals of Asia’s fourth-largest economy, the country’s top fiscal policymaker said Thursday. “We have been able to reconfirm the overseas investors’ positive assessment of Korea’s economic fundamentals,” the fiscal chief said via Facebook. His remark addressed the government’s earlier announcement that

Economy Sept. 10, 2020

Lee Dong-gull, chairman of South Korea’s largest state-run lender the Korea Development Bank, has de facto clinched his second term in office, officials said Wednesday. Once the presidential office Cheong Wa Dae makes it official, Lee is to become the first KDB leader in 26 years to serve two consecutive terms and the fourth to do so in the state-run bank’s 65-year history. Speculation about the KDB’s leadership had been rampant as no plausible candidates were in sight wh

Market Sept. 9, 2020

Home prices in Seoul and the neighboring area have shown some signs of stabilizing on the back of the government’s price-curbing measures, Deputy Prime Minister and Finance Minister Hong Nam-ki said Tuesday. He also rolled out plans to provide some 60,000 new public apartments in greater Seoul in 2021-2022, with subscriptions due to start next year. “A month passed since taking effect, the Aug. 4 (housing) supply measures appear to be paying off to a certain extent,” the

Economy Sept. 8, 2020

The government, ruling party and presidential office vowed Sunday to draft an additional budget worth more than 7 trillion won ($5.88 billion), mostly to fund another set of disaster relief subsidies to deal with the economic fallout from COVID-19. The decision, which rekindled concerns about the country’s fiscal soundness, came as the densely populated greater Seoul area faced an extended week of social distancing to contain the second wave of the pandemic. Representatives of the go

Economy Sept. 6, 2020

In the age of COVID-19 and the prolonged lockdown, getaways to nature and relaxing summer holidays no longer seem available for urban dwellers. A’strict, a multimedia installation showcase by design company d’strict to run from Aug. 13 to Sept. 27 at Seoul’s Kukje Gallery, may be an attractive alternative for those dreaming of seascapes and serenity. Driven by a relentless interest in the interaction between mankind and technology, along with the burgeoning importance of dig

Arts & Design Sept. 5, 2020

Shin Chang-jae, chairman of Kyobo Life Insurance, has been named the organizing chief for the Youth Olympic Games, a quadrennial global sports event that is to be held here in 2024, the company said Thursday in a release. In a joint inaugural meeting held at the Seoul Press Center, the Ministry of Culture, Sports and Tourism and Gangwon Province agreed to appoint Shin as president of the organizing committee for the 2024 Gangwon Winter Youth Olympic Games. “Based on the Olympic spiri

Market Sept. 3, 2020

South Korea on Tuesday unveiled a record-high state budget worth 555.8 trillion won ($469.87 billion) for 2021, up 8.5 percent from this year, in continued efforts to revitalize the economy amid the COVID-19 fallout. The expansionary policy road map and the consequent rise in sovereign debt, however, rekindled worries about the nation’s fiscal soundness. “Next year will be the golden time for our economy, when we should exert all efforts to overcome the COVID-19 crisis and brace

Economy Sept. 1, 2020

South Korea’s industrial output inched up in July but consumption slipped as the COVID-19 pandemic continued and disaster relief funds were mostly exhausted by June, data showed Monday. The overall industrial production for July increased 0.1 percent from a month earlier, extending the on-month rise for two months straight but slowing from the 4.1 percent on-month gain observed in June, according to data compiled by Statistics Korea. The latest figure, however, was down 0.7 percent fr

Economy Aug. 31, 2020

Fitch Solutions, the consultancy arm of global credit appraiser Fitch Group, forecast that South Korea will further cut its policy rate by the end of the year, extending economic stimulating efforts amid the prolonged COVID-19 crisis. “We now expect the Bank of Korea to undertake one more 25 basis point rate cut before end-2020 in order to continue providing support to the economy,” the company said in a release. “We have also revised down our forecast for consumer price inf

Economy Aug. 29, 2020

The market price of large-sized apartments in Seoul surpassed the 2 billion won ($1.69 million) mark in August, reflecting the unsubdued housing price rally in popular areas, industry data showed Friday. According to the monthly housing price trend report by KB Kookmin Bank, the average transaction price for large-sized apartments came to 2.03 billion won, exceeding the milestone for the first time since the bank started tallying such data in 2016. The latest figure was up 171.54 million w

Market Aug. 28, 2020

South Korea’s Deputy Prime Minister and Finance Minister Hong Nam-ki said Thursday that the government will work to diversify the current parental leave system, allowing parents to split their leave period according to needs. “In order to respond to the decreasing number of productive age population, it is crucial that we should encourage everyone to participate in economic activities,” Hong said in a meeting of economy-related ministers held at Seoul Government Complex.

Economy Aug. 27, 2020

South Korea’s government and ruling party have agreed to allocate more than 20 trillion won ($16.85 billion) of the 2021 state budget to financing the “Korean New Deal” stimulus package, party officials said Wednesday. They also vowed to keep up the current expansionary fiscal policy tone throughout next year, bracing for a prolonged economic downturn. The decision came during a meeting held at the National Assembly between the government and the ruling Democratic Party o

Economy Aug. 26, 2020

The Korea Herald is publishing a series of articles to address the Moon Jae-in administration’s “Green New Deal” policy, one of the key pillars of the so-called “Korean New Deal” economic stimulus package. -- Ed. While giving momentum to its “Green New Deal,” the South Korean government should now strive to make tangible commitments in order to involve the private sector in green financing, according to a top representative of the European Union here

Economy Aug. 25, 2020

With the second wave of COVID-19 outbreak fast approaching amid reinforced social distancing measures, pessimism is mounting once again on South Korea’s economic growth outlook this year. According to previously suggested scenarios by key global institutes and local think tanks, the country could see its economy contract as much as 2 percent. Some market watchers and the central bank, however, also warned against excessive fear and pessimism, claiming that the latest turnouts will not

Economy Aug. 24, 2020