With the COVID-19 pandemic weighing on the airline industry, Finance Minister Hong Nam-ki said Thursday that the government would help local airliners launch international flights without landing. “To support the ailing airline industry and fuel the mood for spending, we have decided to pursue adoption of a new type of traveling -- international flights without landing,” Hong, who doubles as deputy prime minister said in a meeting of economic-related ministers. The special flight

Economy Nov. 19, 2020

Bank of Korea Gov. Lee Ju-yeol attended a videoconference with central bank representatives from 11 Asia-Pacific nations, the nation’s central bank said Monday. Key topics included the effects of COVID-19 on the economy. The 25th Executives’ Meeting of East Asia-Pacific Central Banks was a follow-up to a similar meeting held Aug. 19. The long-term effects of the pandemic on the economy, GDP outlooks and the digitalization of central banks were among the topics discussed, the BOK s

Economy Nov. 16, 2020

South Korean lawmakers of both the ruling and opposition parties’ latest attempt to amend the law to add the goal of maximum employment to the Bank of Korea’s mandate has been prompting divided response from onlookers as of Monday. The related proposals submitted by lawmakers -- which came as Asia’s fourth-largest economy has been seeing record-high jobless rates -- would be reviewed by the National Assembly’s strategy and finance committee, starting Monday. Unlike the

Economy Nov. 16, 2020

Shinhan Bank said Sunday said it would collaborate with Microsoft Korea in building and operating its new research and development platform. On Friday, the two companies signed a strategic partnership for Shinhan’s Expace -- a combination of “experience” and “space” -- which will allow the bank’s digital team to work with fintech companies, startups and other innovative firms to develop and test cutting-edge financial services and technology. Expace’s

Market Nov. 15, 2020

South Korea’s financial behemoth Shinhan Financial Group has pledged to promote carbon neutrality in Korea and the rest of East Asia by adopting environmentally friendly standards for its investment portfolios and intra-group management. By announcing its “zero carbon drive,” at a board meeting for social responsibility on Friday in Seoul, the nation’s No.1 banking group by total assets vowed to adopt eco-friendly lending and investment rules for firms and industries res

Market Nov. 15, 2020

The global economy will grow 5 percent next year, but risks will linger from the coronavirus pandemic, a state-run South Korean think tank forecast Thursday. “The global economy is projected to grow 5 percent in 2021, which is 10.1 percentage points higher than this year’s forecast of a 5.1 percent contraction, as it will likely recover from the spread of COVID-19,” Kim Heung-chong, president of the Korea Institute for International Economic Policy, said at an annual press br

Economy Nov. 12, 2020

South Korea’s household debt extended by local banks surged at a rapid pace in October, gaining more than 10 trillion won ($9 billion) on-month, central bank data showed Wednesday, despite government vows to put a brake on the momentum. Outstanding bank loans extended to local households gained 10.6 trillion won on-month to 968.4 trillion won as of end-October, propelled by home-backed lending, according to the Bank of Korea. The gain is the highest for an October reading since

Economy Nov. 11, 2020

South Korea’s largest proxy adviser, alongside Institutional Shareholder Service and Glass Lewis, has urged KB Financial Group shareholders against the appointment of two outside directors apparently recommended by the firm’s labor union, industry sources said Tuesday. The Korea Corporate Governance Service has officially requested KB’s shareholders to vote against the appointment of Sustinvest CEO Ryu Young-jae and Seoul National University environmental studies professor Yun

Market Nov. 10, 2020

South Korea’s currency surged to a 22-month high against the US greenback on Monday as Joe Biden’s election victory sent waves across the global financial market. After opening at 1,120 won against the US greenback, it was quoted at 1,113.9 won at Monday’s closing -- its highest level since Jan. 31, 2019.　 The won is projected to grow stronger and breach the 1,100 won mark this year and even the 1,050 won level next year, the chiefs of the five major commercial banks here told

Economy Nov. 9, 2020

Global investment banking giants, including Goldman Sachs, JP Morgan and Citi have raised their 2020 average growth forecasts for South Korea’s economy, a report compiled by the Korea Center for International Finance showed Friday. The report came as the export-driven economy’s outbound shipments have been riding on a path to solid recovery. Korea’s current account surplus hit a two-year high in September as exports rebounded for the first time in seven months amid the global

Economy Nov. 6, 2020

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

Economy Nov. 5, 2020

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

Economy Nov. 4, 2020

Non-face-to-face payments have surged 17 percent on-year since the outbreak of COVID-19, a report released by the central bank on Tuesday showed. Contactless payments made via electronic devices and other noncash methods inched up by 1.4 percent on-year in the first nine months of this year, the Bank of Korea said in a report.　 “Contactless payment transactions have expanded as usage of mobile payments have increased compared with actual credit or debit card payments,” the report

Economy Nov. 3, 2020

President Moon Jae-in’s former secretary for economic policy, Doh Kyu-sang has been tapped as new vice chairman of the Financial Services Commission, Cheong Wa Dae said Sunday. Doh, a 53-year-old veteran bureaucrat, is well known for his career and expertise in economic policymaking. He joined the Ministry of Economy and Finance in 1991 after passing the civil servant exam and built his career both at the ministry and the FSC while taking key roles. Doh served as the main spokesperson

Economy Nov. 1, 2020

While the global economy seems to be largely struggling under coronavirus woes, South Korea’s major banking groups are projected to see record-high earnings for this year, analysts said Sunday. “There has been an increase in core interest revenues due to a growth in won-denominated loans and a narrow on-quarter decline of the banking groups’ net interest margins by 0.01 percentage point,” a recent note released by local brokerage BNK Securities said. “Their brok

Market Nov. 1, 2020