The Korea Herald

Japan, Korea reaffirm ‘new era of relations’

Jan 12, 2016

TOKYO ― South Korea and Japan on Tuesday agreed to strengthen their ties based on the recent breakthrough made on the issue of women who were forced into wartime sexual slavery by the Japanese. Referring to the Dec. 28 agreement reached between the two countries, Japan’s Deputy Foreign Minister Yasumasa Nagamine said it “confirmed that the issue of comfort women has been resolved finally and irreversibly resolved.”“With this very positive momentum, it is timely to have this economic consultation
Ex-finance minister raps faulty economic policy

Jan 12, 2016

Former Finance Minister Lee Hun-jai on Tuesday lashed out at the government for its inaction on fundamental problems of the local economy, calling Korea a child failing to mature due to the fear of growing pains. “Korea is like a child that skipped growing up because of the fear of growing pains and is now aging,” he said at a forum in Seoul hosted by consulting and accounting firm Ernst & Young Han Young. “All economic players know that the current system ― both in terms of industrial and macro
Only 30% of seniors 'economically independent'

Jan 12, 2016

Only 3 out of 10 South Koreans aged 65 and older think they are leading stable lives with economic independence, a report showed Tuesday. According to the report by the National Pension Research Institute, 32 percent of such elderly people said they are economically independent, while 65.7 percent said they are not. The report by a research team led by professor Lee Chong-ha of Induk University in Seoul also showed about 70 percent of the seniors were suffering from various chronic diseases.Abou
Korean food business operations jump 25% in 2015

Jan 12, 2016

The number of overseas restaurants, bakeries and cafeterias run by South Korean companies jumped 25 percent on-year in 2015 on their efforts to expand overseas business coupled with the so-called Korean Wave, government data showed Tuesday.A total of 138 firms operated 4,656 stores in 44 countries as of end-2015, up 3,726 tallied a year ago, according to data by the Ministry of Agriculture, Food and Rural Affairs.Delimanjoo Bakery, which sells custard-filled cakes, had the widest business networ
Manufacturers' Q1 biz outlook still gloomy

Jan 12, 2016

South Korea's major manufacturers are more pessimistic about business conditions for the first quarter of this year due to China's slowing growth and a protracted slump in domestic demand, a poll showed Tuesday.The Korea Chamber of Commerce & Industry said its business survey index for January-March came to 81, sharply down from 87 tallied in the previous quarter and 88 in the third quarter of last year. The result is based on a survey of 2,400 manufacturing companies nationwide. A reading of un
Seoul shares open higher

Jan 12, 2016

South Korean share prices opened slightly higher on Tuesday following overnight gains on Wall Street. The benchmark Korea Composite Stock Price Index gained 12.24 points, or 0.65 percent, to 1,907.08 in the first 15 minutes of trading.The index was trading about half a percent higher as of 9:56 a.m. Cap: Foreign currency dealers work in front of a monitor displaying the Korea Composite Stock Price Index in a dealing room of KEB Hana Bank in Seoul. BloombergAnalysts say sentiment is recovering f
Korea's tax revenue jumps on-year in 2015

Jan 12, 2016

South Korea's tax revenue rose sharply on-year in the first 11 months of 2015 thanks to higher cigarette prices and increased real estate transactions, the finance ministry said Tuesday.In the January-November period, the government collected some 206.2 trillion won in taxes, up 16.8 trillion won from a year earlier, as more dues were collected from a rise in real estate transactions and higher tobacco prices, the ministry said in its monthly public finance report.Asia's fourth-largest economy e
Weak exports drag down industrial output, investment

Jan 12, 2016

Weak exports stemming from falling oil prices and weak global demand are dragging down South Korea's industrial output and business investment despite improving domestic consumption, the finance ministry said Tuesday.Outbound shipments plunged 13.8 percent to $42.64 billion in December from a year earlier due a sharp drop in petrochemical products and shipbuilding orders, the Ministry of Strategy and Finance said in its latest economic assessment report called the Green Book.The monthly decline
Yoo strikes upbeat note on economy

Jan 11, 2016

Finance Minister nominee Yoo Il-ho on Monday expressed confidence in Korea’s economy, saying it will grow 3.1 percent this year, as projected by the government, without resorting to a supplementary budget. “I think the economy will be able to achieve the 3.1 percent growth, without the help of a supplementary budget,” Yoo told lawmakers during a parliamentary confirmation hearing. Korea, under the outgoing Finance Minister and Deputy Prime Minister Choi Kyung-hwan, rolled out a 12 trillion won (
Convenience stores wage 1,000 won coffee war in Korea

Jan 11, 2016

Lee Seo-yeon buys freshly brewed coffee at GS 25, a convenience store chain, twice a day -- on her way to work and during lunch time. There's neither a barista nor ice caramel macchiatos. The part-time cashier at a department store in downtown Seoul gets Americanos at 1,000 won with the touch of a button for the much-needed caffeine hit."I think convenience store's coffee is drinkable and for that price, it's actually good," the 22-year-old said. "Franchise stores' coffee may taste better, but i
Korea's foreign currency deposits dip to 20-month low in Dec.

Jan 11, 2016

Foreign currency deposits at banks in South Korea dropped from a month earlier in December, hitting the lowest level in 20 months, central bank data showed Monday.Outstanding foreign currency deposits held by local residents came to $58.53 billion as of end-December, down $3.78 billion from the previous month, according to the data from the Bank of Korea.The December tally marks the lowest level since April 2014 when the total stood at $58.42 billion. From a year earlier, the December figure mar
Makgeolli exports to Japan in the doldrums

Jan 11, 2016

South Korea's exports of makgeolli, a traditional rice wine, to Japan have been in the doldrums since 2011 when they peaked at $48.4 million, government and industry data showed Monday.Exports of makgeolli to the neighboring country rose sharply since the late 2000s thanks to the rising popularity there of Korean pop culture, called "hallyu," and the strong value of the Japanese currency. Shipments rose over eightfold from $5.4 million in 2009 to $15.6 million in 2010 and $48.41 million in 2011,
Korea's home sales hit record high in 2015

Jan 11, 2016

South Korea's home sales reached an all-time high in 2015, the government said Monday, apparently buoyed by a series of government measures to boost the local property market.The number of home transactions surged 18.8 percent on-year to 1,193,691 last year, marking the largest annual tally since 2006, when the government started to compile the data, according to the Ministry of Land, Infrastructure and Transport.It also rose for a third consecutive year to hit a fresh record high after plunging
Exports of industrial parts, materials decline in 2015

Jan 11, 2016

South Korea's exports of industrial parts and materials slipped last year from a year earlier due to weak global demand, with its trade surplus in the sector also edging down, the trade ministry said Monday.Outbound shipments of industrial parts and materials fell 4.1 percent on-year to $264.7 billion, accounting for 50.2 percent of the country's overall exports last year, according to the Ministry of Trade, Industry and Energy.Exports of industrial parts dropped 0.2 percent on-year to $187.5 bi
Shipbuilders cut 3,000 jobs last year amid slump

Jan 11, 2016

South Korean shipyards, led by Hyundai Heavy Industries Co., slashed their workforces by some 3,000 in 2015 as they struggled with mounting losses stemming from a delay in the construction of offshore facilities and an industrywide slump, industry data showed Monday.According to the data, some 3,000 employees were let go by the country's top three shipyards -- Hyundai Heavy, Daewoo Shipbuilding & Marine Engineering Co. and Samsung Heavy Industries Co. -- last year.Including workers at their subc