Most Popular
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Russia sent more than 165,000 barrels of refined petroleum to N. Korea in March: White House
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Key suspects grilled over alleged abuse of power in Marine death inquiry
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S. Korean children, teens grow taller, mature faster than before: study
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Army takes group action against Hybe for neglecting BTS
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Marine Corps commander summoned by CIO for questioning on alleged influence-peddling case
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[Graphic News] Number of coffee franchises in S. Korea rises 13%
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Some junior doctors are returning: Health Ministry
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[Robert J. Fouser] AI changes rationale for learning languages
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Ador CEO's request for exclusive right to terminate NewJeans' contract with Hybe refused in February
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Woman dangling from power lines rescued by residents holding blanket
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BOK hints on interest rate hikes for 2023
The Bank of Korea put forward price stability as its major commitment for next year, hinting on further hikes of its key rate to fight ongoing inflation. The central bank released a report on its monetary policy for next year on Friday, suggesting forecasts on the economic outlooks in and out Korea. The bank said it will focus on price stability next year, so that consumer inflation will move towards the target level, currently set at 2 percent. “Although consumer inflation is expected to
Dec. 23, 2022
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15 futuristic projects unveiled for next big leap
The government has drawn up new growth strategies to secure future technology such as aerospace and artificial intelligence and to accelerate digital transformation to help its sluggish economy leap forward. Through the "New Growth 4.0 Strategy" unveiled by economy-related ministries on Wednesday, the country seeks to secure forward-looking technology, digital transformation and further expanding the country's prowess in chips and display panels to gain a competitive advantage o
Dec. 21, 2022
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Korea sets sight on real estate, financial reform to spur economy
Finance Ministry offers growth outlook at 1.6%, lower than BOK, KDI estimates The Korean government has vowed to bring back the economy, speeding up regulatory reforms on real estate and financial markets. Deputy Prime Minister and Finance Minister Choo Kyung-ho highlighted the goals while unveiling the economic policy directions for next year at the government complex in Seoul on Wednesday. According to Choo, the four pillars of the state’s economy management will be freedom, innovation
Dec. 21, 2022
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[Newsmaker] 14 years a miser...to be a home owner in Seoul
An average wage earner in South Korea would have to save up one’s entire income for 14 years to buy a home in Seoul, a government study showed Wednesday. The price-to-income ratio -- the median home price divided by the median annual household income -- for Seoul in 2021 jumped to 14.1 from 12.5 in the year before, according to the 2021 Korea Housing Survey released by the Ministry of Land, Infrastructure and Transport. The figure was higher than that of any other region in the country, wi
Dec. 21, 2022
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Exports down 8.8% during first 20 days of December
South Korea's exports slipped 8.8 percent on-year in the first 20 days of December, data showed Wednesday, due mainly to weak shipments of chips and mobile devices. The country's outbound shipments stood at $33.6 billion in the Dec. 1-20 period, compared with $36.8 billion a year earlier, according to the data from the Korea Customs Service. Imports moved up 1.9 percent on-year to $40 billion during the cited period, resulting in a trade deficit of $6.4 billion. Outbound shipments of c
Dec. 21, 2022
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Monetary policy will keep focus on fighting inflation in 2023: BOK
The Bank of Korea is likely to continue with its aggressive monetary tightening stance next year, as inflation is expected to remain well above its target. The nation's inflation rate is expected to remain at around the 5 percent range "for the time being" and then to be moderate over the next year as oil prices stabilize and higher interest rates slow the local and international economies, said Rhee Chang-yong, governor of the Bank of Korea, at a press briefing at the central ban
Dec. 20, 2022
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Korea to extend tax cuts as inflation saps demand, growth
The Ministry of Economy and Finance announced Monday plans to extend tax reduction on certain products such as vehicle and energy fuel as well as consumption tax on passenger vehicles. However, the tax cut for gasoline will only be partially reduced due to some stabilization. The fuel tax reduction for vehicles, set to expire at the end of the year, has been extended to April 30. The cut for gasoline will be adjusted from the current 37 percent to 25 percent, as its price has stabilized, the min
Dec. 19, 2022
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S. Korea's export growth to drop to 0% range in 2023: poll
South Korea's export growth is expected to fall to the zero-percent range in 2023 amid high raw material prices and slowing major economies, a poll showed Monday. The survey of 150 companies in the country's 12 key export industries showed overseas shipments are forecast to expand 0.5 percent in the coming year from 2022. By sector, exports of electric and electronics products are predicted to sink 1.9 percent on-year, with those of petrochemicals likely to fall 0.5 percent. Outbound s
Dec. 19, 2022
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Supreme Court rules in favor of Woori Financial Group head
The Supreme Court on Thursday upheld lower courts’ decision to accept an injunction request by the head of Woori Financial Group against the financial watchdog's penalty for improperly selling derivatives-linked products. Since 2017, Woori Bank has been selling derivatives-linked products that were designed for investors to earn large amounts of money when the interest rates of major economies stay above a certain level. The problem occurred in 2019 when the interest rate around the
Dec. 15, 2022
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US Fed’s half-point rate hike widens gap with Korea
The US Federal Reserve decided to slow down its interest rate hike pace, raising the benchmark interest rates by a half-point. The Korea-US gap widened, which could lead to the outflow of foreign funds and volatility in currency exchange. Upon concluding a two-day meeting of the Federal Open Market Committee, the US central bank raised its benchmark rate by 50 basis points to a 4.25 percent to 4.5 percent target range. Expectations are growing over whether the central bank will take a step bac
Dec. 15, 2022
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Public sector debt hit record high last year amid pandemic: data
South Korea's public sector debt exceeded the 1,400 trillion-won ($1.08 trillion) mark for the first time last year on the government's expansionary policy to cope with the fallout from the COVID-19 pandemic, the finance ministry said Thursday. The country's public sector debt, known as D3, came to 1,427.3 trillion won last year, up 11.5 percent from the previous year, according to the data from the ministry. It was the highest level since the government began compiling related da
Dec. 15, 2022
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Import prices down in Nov. on stronger won, fall in oil prices
South Korea's import prices fell for the first time in three months in November thanks to the local currency's rise against the US dollar and a fall in crude oil prices, central bank data showed Thursday. The import price index stood at 148.07 in November, down 5.3 percent from a month earlier, according to the preliminary data from the Bank of Korea. It was the first on-month decline following 3.4 percent and 1.2 percent gains reported for September and October, respectively. Compar
Dec. 15, 2022
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Uncertainty still remains high even after Fed's rate hike: finance chief
The US Federal Reserve's latest interest rate hike was in line with market expectations, but uncertainty still remains high over high inflation and an economic downturn, Seoul's finance chief said Thursday. Finance Minister Choo Kyung-ho made the remarks during an emergency macroeconomic meeting with Bank of Korea Govt. Rhee Chang-yong and top financial regulators after the Fed slowed the pace of its rate hike to a half-point Wednesday (US time) from its previous 75 basis point increas
Dec. 15, 2022
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[Herald Interview] 'Vietnam stands to benefit from shifting supply chains'
HANOI, Vietnam -- In an era of shifting supply chains, Vietnam is poised for a bigger global role and its partnership with China will provide momentum for that, said the chief of the Southeast Asian country’s top economic think tank. “China has pledged to strengthen its economic cooperation with Vietnam and the partnership regarding the supply chain is a big part of that,” Bui Quang Tuan, director general of Vietnam Institute of Economics, told The Korea Herald, at his office
Dec. 14, 2022
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ADB cuts 2023 growth outlook for S. Korea to 1.5%
The Asian Development Bank on Wednesday lowered its outlook for South Korea's growth for next year, citing the slowing global economy and soaring energy prices. In its report on next year's world economy, the Manila-based bank said South Korea's gross domestic product is expected to grow 1.5 percent in 2023, lower than its September forecast of a 2.3 percent rise. The latest outlook is below a 1.8 percent gain estimated by the Organization for Economic Cooperation and Development
Dec. 14, 2022
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S. Korea adds 626,000 jobs on-year in November; job growth slows for sixth month
South Korea added jobs for the 21st straight month in November, but the growth continued to slow for the sixth month in a row amid concerns over an economic recession, government data showed Wednesday, The number of employed people stood at 28.4 million last month, up some 626,000 from a year earlier, according to the data from Statistics Korea. It marked the highest growth for any November since the agency adopted the current research methods in 1999. The November figure, however, marked a slig
Dec. 14, 2022
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S. Korea's economic policy to focus on taming inflation, creating jobs: minister
South Korea's finance minister said Wednesday the government will put its priority on combating inflation and creating jobs, while taking preemptive measures to cope with economic risks next year. "The South Korean economy is facing challenging situations at home and abroad. Difficulties are likely to further escalate in the first half of 2023," Finance Minister Choo Kyung-ho said during a meeting with economy-related ministers. "Inflation has passed its peak, and the upward
Dec. 14, 2022
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Finance ministry renews calls to reform corporate tax policy
SEJONG -- South Korea's finance ministry on Tuesday renewed its call for corporate tax reform that centers on simplifying the taxation bracket and cutting taxes for large-sized firms amid the simmering tensions at the parliament over the bill's passage. The government and the ruling People Power Party have been pushing to lower the maximum tax rate to 22 percent to attract more investment in South Korea, while the main opposition demands to keep the current rate of 25 percent for e
Dec. 13, 2022
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Foreign investors continue rush to local securities: BOK
Foreign investors remained net buyers of local securities, recording a net inflow of $2.74 billion (3.56 trillion won) in local securities in November, data from the central bank showed Friday. According to the Bank of Korea’s report on the international finance and foreign exchange market, foreigners purchased a net $2.1 billion worth of shares and $630 million worth of bonds in Korea in November, continuing the buying rush from the month before. The figure adds up to a total of $8.05 bil
Dec. 9, 2022
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S. Korea posts current account surplus for second straight month but sharply smaller than year earlier
South Korea posted a current account surplus for the second consecutive month in October, but the amount was much smaller than the previous year amid expanded imports and outbound travel, central bank data showed Friday. The country's current account surplus came to $880 million in October, according to the preliminary data from the Bank of Korea. This marked the second straight month of a surplus, though the surplus was nearly halved from the previous month's $1.58 billion. It also re
Dec. 9, 2022