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S. Korea's import prices rise for 2nd month on strong dollar
South Korea's import prices rose for the second consecutive month in November due mainly to the weak local currency, central bank data showed Friday. The import price index rose 1.1 percent last month from a month earlier, following a 2.1 percent on-month increase in October, according to the preliminary data from the Bank of Korea. From a year earlier, the figure advanced 3.0 percent in November, the first on-year increase since August. Import prices are a major factor that determines the
Dec. 13, 2024 -
Kospi gains as Yoon’s impeachment looms
South Korea's financial markets experienced brief volatility on Thursday following President Yoon Suk Yeol's refusal to step down, but quickly regained stability, closing higher for a third straight day, signaling potential for a steady recovery. The day began with the benchmark Kospi opening 14.12 points higher at 2,456.63. Early gains followed a two-day rally -- the first consecutive upswing on the Kospi since Yoon's short-lived martial law declaration last Tuesday, which sent s
Dec. 12, 2024 -
KDI chief downplays lasting economic impact of martial law
Korea Development Institute President Cho Dong-chul expressed confidence that the recent political turmoil sparked by President Yoon Suk Yeol's brief martial law declaration would not have a lasting economic impact, despite increased volatility in local financial markets. "It's undeniable that the recent unexpected political crisis has harmed our economy. However, I believe a severe risk, such as the foreign exchange crisis we faced in the past, is unlikely," Cho said Wednesd
Dec. 11, 2024 -
Choi, Yellen reaffirm ‘strong’ Seoul-Washington ties
Finance Minister Choi Sang-mok held a video conference with US Treasury Secretary Janet Yellen Tuesday to reaffirm the two countries' bilateral relationship amid political turmoil grappling South Korea’s capital market, according to the ministry. The meeting, requested by the Korean side, lasted around 25 minutes, the Ministry of Economy and Finance said through a press release on the following day. The meeting follows Choi’s letter sent to Yellen on Dec. 4, in the aftermath of
Dec. 11, 2024 -
Two scenarios for Korea's economic outlook
How the political uncertainty caused by President Yoon Suk Yeol’s Dec. 3 martial law declaration and the opposition party’s push to remove him from power is resolved may change the course of the country’s economy. The market is keeping a close eye on Yoon’s political future as the main opposition Democratic Party will put to a vote a second motion to impeach him on Saturday. Yoon’s immediate removal and earlier election Market experts believe an early presidenti
Dec. 11, 2024 -
Political turmoil to have only limited impact on exports: trade minister
Trade Minister Cheong In-kyo on Wednesday insisted the recent political situation in South Korea will likely have only a limited impact on exports, stressing that the government will work to address both internal and external uncertainties. Cheong made the remark during an emergency meeting with trade-related organizations to address market concerns sparked by President Yoon Suk Yeol's short-lived martial law declaration last week, according to the Ministry of Trade, Industry and Energy. &q
Dec. 11, 2024 -
Govt. to invest W14tr to build 'mega port' in Busan
South Korea's oceans ministry said Wednesday the government will invest 14 trillion won ($9.75 billion) through 2045 to upgrade Busan Port, aiming to achieve the world's largest container handling capacity and establish it as the leading logistics hub in the region. Under the plan, South Korea will construct a new port in Changwon, near Busan, integrating it with the existing Busan Port to create an unified "mega port" with double the current cargo handling capacity, accordin
Dec. 11, 2024 -
Market stabilization measures to be fully in place amid political turmoil: finance chief
Finance Minister Choi Sang-mok said Wednesday that the government will continue to closely monitor the market and to fully implement market stabilization measures amid lingering uncertainties from a political crisis. Choi made the remarks during a daily emergency meeting with Bank of Korea Gov. Rhee Chang-yong and other top financial officials, as the government is scurrying to minimize economic impacts of President Yoon Suk Yeol's short-lived imposition of martial law last week. "As u
Dec. 11, 2024 -
Exports increase 12.4% in Dec. 1-10 period on strong chip demand
South Korea's exports grew 12.4 percent from a year earlier in the first 10 days of this month on strong shipments of chips, data showed Wednesday. Outbound shipments reached $17.6 billion in the December 1-10 period, compared with $15.6 billion tallied a year earlier, according to the data from the Korea Customs Service. Imports gained 11.6 percent on-year to $19.1 billion, resulting in a trade deficit of $1.55 billion. Adjusted for the number of working days, daily average exports increas
Dec. 11, 2024 -
ADB cuts S. Korea's 2025 growth forecast to 2%
The Asian Development Bank has lowered its 2025 growth outlook for the South Korean economy to 2 percent, Seoul's finance ministry said Wednesday. The latest figure marks a 0.3 percentage-point fall from its earlier projection presented in September, the ministry said, citing the latest report by the Manila-based bank. The projection is on par with the forecasts by the International Monetary Fund and the Organization for Economic Cooperation and Development, both of which have projected 2 p
Dec. 11, 2024 -
Trade minister promises stable business environment in meeting with US lobby group
Trade Minister Cheong In-kyo vowed efforts to maintain a stable economic environment for foreign companies operating in the country while meeting with representatives from a US business lobby group in South Korea on Wednesday amid lingering political turmoil. Cheong's meeting with officials from the American Chamber of Commerce in Korea (AMCHAM) came about a week after President Yoon Suk Yeol's controversial martial law declaration, which caused significant uncertainties in the local b
Dec. 11, 2024 -
S. Korea newly adds 123,000 jobs in November: data
South Korea's job growth picked up slightly in November compared to a month earlier but the manufacturing sector alone shed nearly 100,000 positions, data showed Wednesday, signaling potential challenges for the country's export-dependent economy. The number of employed people aged 15 years and older came to 28.82 million as of the end of last month, up 123,000 from a year earlier, according to the data compiled by Statistics Korea. Despite a slight improvement compared to the previous
Dec. 11, 2024 -
Korea reaffirms readiness to respond as markets go on wild ride
South Korea’s top economic policymakers said the volatility in the finance and currency markets is excessive, calling on institutional investors to play a responsible role in the fluctuating market as they seek to cushion the blow of political strife incurred by President Yoon Suk Yeol’s declaration of martial law. “Attendees of the meeting agreed that although volatility in the financial and currency markets has been increasing recently, the volatility is somewhat excessive co
Dec. 10, 2024 -
Finance minister says recent volatility in financial, FX markets 'excessive'
South Korea's top economic policymaker said Tuesday that the recent volatility in the country's financial and foreign exchange markets is "excessive" given the nation's strong economic fundamentals. On Monday, the Korean won weakened to 1,437 won per US dollar, dropping 17.8 won from the previous session, and reaching its lowest level in over two years. The benchmark Korea Composite Stock Price Index (Kospi) also plunged 67.58 points, or 2.78 percent, to close at 2,360.5
Dec. 10, 2024 -
Korea pledges additional W100b to support rattled stock market
The South Korean government has decided to inject an additional 100 billion won ($69.7 million) to stabilize the local stock market battered by deepening political uncertainty after President Yoon Suk Yeol averted impeachment last week. On Monday, the first trading day after the failed motion to impeach President Yoon, the benchmark Kospi and secondary Kosdaq plummeted to new 52-week lows, while the Korean currency approached its weakest point since 2009. Finance Minister Choi Sang-mok vowed t
Dec. 9, 2024