Cho Young-eun, a 68-year-old retiree in Seoul, thought she would have a comfortable life in the years ahead. She and her husband had an apartment to live in, and a pension and savings to cover their daily expenses. But her expectations were shattered when she learned about the tax hike on her home in Gangnam last month. She paid around 4 million won ($3,577) in comprehensive real estate taxes last year but might have to pay nearly 3 million won extra this year and 7.5 million won more next y

Economy April 21, 2021

Citibank Korea, the South Korean unit of Citigroup, said Thursday that it would withdraw its retail business as part of its parent company’s reorganization plans for Asia. 　 The decision was made to streamline operations and enhance global competitiveness by focusing investments and resources on its consumer banking franchise, it said in a statement. But the bank has not yet set a timeline or made detailed plans and will take time to conduct a thorough review, as well as hold discussion

Market April 15, 2021

Woori Bank said on Tuesday it has completed a project led by the Vietnamese central bank to jointly set up an electronic network for financial transactions aimed at promoting cashless payments in the Southeast Asian nation. Woori Bank Vietnam was the only foreign lender among nine commercial banks selected to build the Automated Clearing House, a computer-based electronic network for processing transactions designed by the State Bank of Vietnam. The network is a part of the Vietnamese governm

Economy April 13, 2021

The election of Seoul’s new mayor has left the central government’s housing policies in limbo, as the administration is expected to face pushback from the conservative bloc that is campaigning to ease real estate regulations. The political realignment following the results of the by-election last week has sparked concerns over possible policy shifts for the property market. The government and ruling Democratic Party of Korea are expected to hold talks to revise real estate policies

Economy April 12, 2021

South Korea’s Finance Minister Hong Nam-ki on Tuesday told global fiscal policymakers that they should refrain from using climate change policies as a tool of trade protectionism. “Climate change policies, such as the carbon border adjustment mechanism, should be prevented from being abused as trade protectionism,” Hong said during a virtual meeting of the Coalition of Finance Ministers for Climate Action. The European Commission is expected to announce a proposal for a c

Economy April 7, 2021

South Korea’s economy is expected to grow 3.6 percent this year in the wake of the coronavirus pandemic, but it will grow 2.8 percent in 2022 as the world economy recovers, the International Monetary Fund said on Tuesday. The figures have remained unchanged from its estimate released on March 26 in a report on the outcome of its annual consultation with South Korea held in January. Last month, it forecast Asia’s fourth-largest economy to grow 3.6 percent this year, up from its esti

Economy April 6, 2021

South Korea has seen the largest and fastest increase in total national liabilities last year, as it neared the 2,000 trillion won ($1.78 trillion) mark and exceeded the country’s gross domestic product for the first time, the Finance Ministry said Tuesday. The total liabilities reached 1,985.3 trillion won ($1.76 trillion) in 2020, up 241.6 trillion won, or 13.8 percent, from a year earlier, according to the 2020 settlement of accounts endorsed by the Cabinet. The figure is a record hi

Economy April 6, 2021

With abundant data and digital analytics tools, big tech firms could conduct a more accurate assessment of a company‘s creditworthiness than conventional banks, giving them the upper hand in providing lending services in terms of allocative efficiency, a think tank said Monday. Amid accelerating digitization in the financial industry, big tech firms are capitalizing on their platforms and growing user databases to expand their financial services from basic payment system to financial in

Market April 5, 2021

The Export-Import Bank of Korea has signed an agreement with Hyundai Motor to provide financial support to the automaker vying with global rivals to take the lead in future vehicle markets.　 Under the memorandum of understanding inked on Thursday, the state-run policy lender will offer the automaker some 3 trillion won ($2.65 billion) until 2023 for its projects involving its plan to make the transition to become a smart mobility solution provider that manufactures zero-emission and driverless

Market April 4, 2021

The global economy is poised to make a strong rebound on the back of a revival in manufacturing and the coronavirus vaccine rollout, said Finance Minister Hong Nam-ki on Thursday. “The upturn in the global economy will be steeper than expected,” he said at a meeting with government officials on innovative growth. His remark came as Asia’s fourth-largest economy showed signs of recovery supported by exports. “Exports are the core driving force of an economic recovery.

Economy April 1, 2021

The government will keep its expansionary fiscal policy stance next year to support the recovery of the coronavirus-hit economy, the government said, hinting at another mega budget exceeding 600 trillion won ($529.2 billion). The Cabinet approved Tuesday the 2022 budget guidelines, drafted by the Ministry of Economy and Finance to revive the sluggish economy. It focuses on fiscal inputs on boosting employment and domestic consumption and boosting investment in innovative technologies. Such

Economy March 30, 2021

Finance Minister Hong Nam-ki is set to become the longest serving fiscal chief in South Korean history, but his leadership is facing public pressure for the revival of an economy battered by the COVID-19 pandemic and to appease discontent on job creation and real estate policies. By Thursday, Hong will pull ahead of Yoon Jeung-hyun -- who served for 842 days under the Lee Myung-bak administration -- as the nation’s most durable chief economic policymaker and deputy prime minister. He has

Economy March 29, 2021

Boardrooms of South Korea’s financial groups are facing criticism for defying pressures for change despite their failure in holding top executives responsible for exposing their operations to legal and financial risks. Creating headwinds for Shinhan Financial Group and Woori Financial Group, which will vote on reappointments of inside and outside directors during shareholders meetings scheduled this week, are accusations that the current board members have been negligent in their oversig

Economy March 23, 2021

The country’s two major lenders Shinhan Bank and Woori Bank have come under scrutiny again over their sale of unsound products of scandal-ridden Lime Asset Management after being called to a financial watchdog’s meeting that would decide the fate of their top executives. The Financial Supervisory Service held its second sanctions committee meeting Thursday to decide the level of sanctions for Woori Bank, Shinhan Financial Group and Shinhan Bank, major sellers of Lime funds that in

Market March 18, 2021

Finance Minister Hong Nam-ki on Wednesday expressed confidence in the recovery of the nation’s job market, despite pessimistic figures that showed the number of employed people declining for 12 months, marking the longest losing streak in 22 years. According to Statistics Korea on Wednesday, 26.36 million people had jobs in February, a decline of 473,000 compared to a year prior. But the fiscal chief asserted that the employment index would improve in March with the launch of the COVID

Economy March 17, 2021