The Korea Herald

Korea bets on foreign investment for Foodpolis

The South Korean government is strongly committed to attracting foreign investment to make Foodpolis, Asia’s first food cluster, a success, officials said Friday. “The government will step up its efforts to strengthen the global competitiveness of the nation’s food industry and to encourage foreign investment in Foodpolis,” Lee Ju-myeung, head of the Agriculture Ministry’s Food Industry Policy Bureau, told international media and embassies at a briefing. The nation plans to invest 553 billion wo

Industry Nov. 14, 2014

Korean M&As reach W11.2tr in H1

The value of mergers and acquisitions in South Korea amounted to 11.2 trillion won ($10.5 billion) in the first six months of this year on the back of mega deals like Daum Kakao Corp., the financial watchdog said Thursday.There were 82 mergers, spinoffs and business sales in the January-June period, compared with 133 cases worth 11.11 trillion won in the second half of 2013, according to the Financial Supervisory Service.Over the cited period, M&As in the global market soared 72.8 percent on-yea

Nov. 13, 2014

BOK holds rate at 2%

In a widely expected move, South Korea’s central bank stood pat on its 2 percent base rate Thursday as it gauges the policy impact of two rate cuts earlier this year.The rate freeze came after the Bank of Korea lowered the policy rate by a quarter percentage point in August and October as part of efforts to bolster growth in Asia’s fourth-largest economy.Slowing growth momentum has been a major headache for policymakers as domestic demand has lagged and property transactions have failed to reviv

Nov. 13, 2014

Korea’s growing reliance on China poses risk

South Korea’s recent free trade deal with China was not all good news, experts said, warning that the nation’s reliance on the Chinese economy would rise to excessive levels.Earlier this year, Korea and China agreed to allow direct trading between the won and yuan starting in December to encourage Korean businesses to trade in the Chinese currency.And now, the two sides have signed a historic free trade agreement that will eliminate tariffs on key bilateral export items.A stronger relationship w

Industry Nov. 12, 2014

Korea’s growing reliance on China poses risk

IBK spurs entry into technology financing

The Industrial Bank of Korea said Tuesday that it hosted a two-day internal workshop called “IBK tour for technology financing,” aimed at discussing technology’s impact on the finance sector and finding business opportunities in the field.On Monday, the bank met with its corporate clients, including ATKO Planning, an eco-material company, and Meta Boimed, a surgical materials producer, to both of which the bank offered technology financing. Industrial Bank of Korea CEO Kwon Seon-joo (right) pro

Industry Nov. 11, 2014

IBK spurs entry into technology financing

Economy losing momentum: ministry

The South Korean government voiced concerns about the economy Tuesday, saying that growth was losing momentum due to mounting uncertainties in the domestic and global markets.“Despite the rise in employment, low prices continue and the economic recovery has failed to gather momentum due to factors such as strikes in the auto industry,” the Finance Ministry said in its economic trend report. “Amid the uncertainties rising from the quantitative easing in the U.S. and the weak yen, Korea’s economic

Nov. 11, 2014

Korea to contribute W305 billion to lending groups

The South Korean government plans to contribute 305.9 billion won ($281 million) to multinational lending organizations next year, a slight increase from this year’s 300.4 billion won, according to the Finance Ministry. A large portion of the nation’s contributions to international society will be given to the World Bank and its lending arms.The country plans to offer $35 million to the World Bank next year. This will increase the nation’s voting share in the financial institution to 1.63 percen

Industry Nov. 10, 2014

Korea to contribute W305 billion to lending groups

BOK may freeze key interest rate in November

Korea’s central bank is expected to keep its benchmark interest rate at 2 percent this month amid growing concerns over household debt and foreign capital outflows. The Bank of Korea cut its key rate twice this year ― in August and October ― to a record low of 2 percent. Industry watchers are concerned that another cut may increase the level of Korea’s household debt. South Korea’s household debt has reached 1 quadrillion won ($940 billion) last year, which is threatening the economic health of

Industry Nov. 9, 2014

‘Shanghai-H.K. connect a disaster for Korea’

The launch of the Shanghai-Hong Kong stock connect scheme will be a disaster for South Korea’s stock market, according to a local professor specializing in Chinese finance and business.“In the short term, there will be massive capital outflows from local investors who have not been able to make a profit here on account of the low interest rates and weak stock market,” said Jeon Byeong-seo, a professor at Kyung Hee University, in an interview with The Korea Herald. The Shanghai-Hong Kong stock co

Industry Nov. 6, 2014

‘Shanghai-H.K. connect a disaster for Korea’

“후강통 시행되면 한국 증시에 악재"

　후강통에 대한 기대감이 높아지면서, 전문가들은 시행이 될 경우 한국 증시에는 큰 악재로 다가올 것이라고 예견하고 있다. 　전병서 China MBA 경희대 교수는 코리아헤럴드와의 인터뷰에서 “단기적으로 저금리와 주식시장 침체로 마땅한 투자처를 찾지 못하는 국내 투자자들의 자금이 중국으로 대거 이탈할 것”이라고 전망하면서 앞으로 다가올 위기에 대응할 수 있는 전략이 필요하다고 말했다. 전병서 China MBA 경희대 교수.　후강통은 상해거래소와 홍콩거래소의 교차거래를 가능하게 하는 제도로 외국인 개인투자자도 별로 자격제한 없이 상하이증시에 투자할 수 있다. 당초 10월 27일에 시행이 유력했으나 출범이 다소 지연된 상태다. 　그는 이어 “중장기적으로 중국이 모건스탠리캐피털인터내셔널 (MSCI) 이머징마켓 지수에 편입될 가능성이 높아지면서, 국내 증시에 투자한 외국인 자금도 유출될 것”이라고 전망했다. 　현재 MSCI 이머징마켓 지수 내에서 한국 시장이 차지하는 비중이 15.9 퍼센트로

한국어판 Nov. 6, 2014

Ministry fires back at ‘Choinomics’ critics

The Ministry of Strategy and Finance issued a statement on Wednesday to refute claims that expansionary economic policies promoted by Finance Minister Choi Kyung-hwan to boost the economy are confusing the market. The statement came after the Wall Street Journal published an article titled “South Korea’s Confused Growth Plan” on Monday. The U.S. business daily said Choi Kyung-hwan’s road map for growth, dubbed “Choinomics,” is as disappointing as Japan’s “Abenomics” has proven to be.The article

Industry Nov. 5, 2014

Ministry fires back at ‘Choinomics’ critics

World Bank chief calls on North Korea to open doors

World Bank chief Jim Yong Kim was adamant that the multilateral organization could not support North Korea unless the country opened up its economy and joined the global community.Citing the case of Myanmar, he requested the communist country ― albeit indirectly ― to open up and enjoy the full benefits. “When Myanmar opened its economy, we were able to move very quickly in providing support for everything, from improving telecom and health sectors, reforming its government structure, and opening

Industry Nov. 4, 2014

World Bank chief calls on North Korea to open doors

Won-yuan direct trading market to open in December

The South Korean government said Friday that it would open a won-yuan direct trading market in December. The Finance Ministry said it plans to raise the portion of yuan as a trade settlement currency with China from the current 1.2 percent to 20 percent over the long term. Currently, over 95 percent of the both nations’ trade is done in U.S. dollars. To boost won-yuan direct trading, the government will adopt a market maker system considering the nascent stage of the market. Market makers, which

Industry Oct. 31, 2014

KB Financial Group recognized as public’s most trusted partner

Corporate PR Awards/Silver PrizeKB Financial GroupI would like to begin with a word of gratitude for having received The Korea Herald Advertising Awards 2014.KB Financial Group is the nation’s leading financial company with over 30 million clients at its banking, credit card, securities, insurance, capital and savings divisions. For the past many years, the company has continued to see its productivity and efficiency improve, largely because the management has been faithful to the basics. As a r

Industry Oct. 30, 2014

KB Financial Group recognized as public’s most trusted partner

Korean firm develops locker operated by smartphones

A local company has unveiled the world’s first smartphone-connected lockers at the ITU Plenipotentiary Conference 2014, which kicked off in Busan Oct. 20. Smart Box said on Wednesday it has set up 1,500 of its digital lockers at the venue for the convenience of the conference participants. The smart lockers, which come with wireless communications modules, allow users to set the passwords via their smartphones. The company said its system has appealed to the participants whose main agenda happen

Industry Oct. 29, 2014

Korean firm develops locker operated by smartphones

Articles by Shin Ji-hye