The Korea Herald

[Graphic News] Rents grow far faster than income

Sept 25, 2014

The price-to-income ratio of “jeonse” rental deposits reached 6-to-1 in Seoul from 2004 to hit a decade high, according to data from Statistics Korea. The PIR of rental deposits is a ratio of median house rental prices to annual average household income. The latest numbers indicate that to pay a rental deposit in Seoul, households must spend up to six times their annual income. The data was based on the rental deposit prices of 8.9 million households as of last month, and the average nationwide
Yeongjongdo to turn into Korea’s Las Vegas

Sept 25, 2014

A 2.3 trillion-won ($2.2 billion) casino resort project in Midan City on Yeongjongdo Island within the Incheon Free Economic Zone is expected to launch before the opening of the PyeongChang 2018 Winter Olympics.The project, which LOCZ Korea ― a consortium formed by China’s Lippo and Caesars Entertainment of the U.S., which received a preliminary casino license from the Seoul government in March ― includes the construction of a 7,700-square-meter site with a casino, hotels, dining spaces, shoppin
[Graphic News] Labor participation rises among women in 20s

Sept 23, 2014

The labor participation rate for women in their 20s stood at 64.6 percent in the second quarter of this year, up from 63.3 percent in the previous quarter, government data showed. The figure is higher than the rate of 62 percent for men of the same age group, while the gap between men and women was the largest since the second quarter of 2012, according to Statistics Korea. The trend is mostly due to low birthrates and a decline in marriages, the agency said. The number of babies born in South K
National debt nears 490 trillion won in 2013: data

Sept 23, 2014

South Korea’s national debt neared 490 trillion won ($470.8 billion) in 2013 as the government increased borrowing to make up for its deficit, a government report showed Tuesday.According to the report by the Finance Ministry, the debt owed by the central and provincial governments came to 489.8 trillion won in 2013, up 46.6 trillion won from a year earlier. The debt is equal to 34.3 percent of the country’s gross domestic product.The central government’s debt rose 38.9 trillion won on-year to 4
South Korea's national debt nears 490 tln won in 2013: gov't data

Sept 23, 2014

South Korea's national debt neared 490 trillion won ($470.8 billion) in 2013 as the government increased borrowing to make up for its deficit, a government report showed Tuesday.According to the report by the finance ministry, the debt owed by the central and provincial governments came to 489.8 trillion won in 2013, up 46.6 trillion won from a year earlier. The debt represents 34.3 percent of the country's gross domestic product.The central government's debt rose 38.9 trillion won on-year to 46
Automobile sector to benefit from Korea-Canada FTA

Sept 21, 2014

Two sides agree to sign deal on Monday
Piketty warns of S. Korea's chaebol factor

Sept 20, 2014

Thomas Piketty, whose treatise on economic equality has taken the international economic community by storm, raised the need for property renewal in South Korea where massive wealth is often inherited among a few, select conglomerate clans. "You cannot have the same families forever. There is a serious issue of how you renew the property structure," the French economist said in an interview Friday with Yonhap News Agency in Seoul. "It's important to avoid extreme reproduction of inequality in th
Korean won extends loss to dollar

Sept 19, 2014

The South Korean won continued to decline against the U.S. dollar Friday, extending its loss to the second consecutive session as it moves in tandem with the global trend of the strong dollar following the Federal Reserve meeting.The local currency ended at 1,044.60 won against the greenback, down 1.20 won from Thursday’s close. The dollar rose to the highest in six years earlier in the day on expectations that the Fed’s fund rates will be raised at a faster-than-expected clip, prodding investor
National debt to hit W570tr next year

Sept 18, 2014

The government plans to spend 376 trillion won ($361 billion) in 2015, up 5.7 percent from this year, as it seeks to revitalize the economy and increase welfare.The Ministry of Strategy and Finance said Thursday that the 2015 budget was drawn up in line with its expansionary macroeconomic policies.The proposed budget bill marks the largest on-year spending hike since the global financial crisis in 2008.“The economic situation remains very harsh, and our economy at present faces a crossroads betw
Korea cut crude imports from conflict-ridden Iraq in July

Sept 18, 2014

South Korean refiners reduced imports of crude oil from Iraq on-year in July when the Middle East country became mired in internal conflict, while increasing crude imports from Saudi Arabia and Qatar, data showed Thursday.South Korea imported 5.36 million barrels of Iraq crude oil in July, down 40.3 percent from 8.99 million barrels a year ago and 13.9 percent from 6.23 million barrels in June, according to the data by the state-run Korea National Oil Corp.By company, GS Caltex bought 4.36 milli
Gov't proposes 5.7 percent hike in 2015 budget spending

Sept 18, 2014

The government seeks to expand its spending for next year by 5.7 percent from this year to give the country's economy a much-needed jumpstart out of the prolonged slow recovery, the finance ministry said Thursday. (Yonhap)The government will ask the National Assembly to approve 376 trillion won ($361 billion) in spending for 2015, larger than 355.8 trillion won assigned for this year, according to the ministry. The sought amount is 8 trillion won more than what was initially proposed. The propos
S. Korea to hike N. Korea-related budget by 10.4 pct in 2015

Sept 18, 2014

South Korea announced a double-digit increase in next year's budget for its ministry handling North Korean affairs on Thursday, emboldened by President Park Geun-hye's reunification drive.The unification ministry's total budget will jump 10.4 percent on-year to 1.4 trillion won ($1.3 billion) in 2015, according to the government's new budget plan approved by the Cabinet. It requires parliamentary endorsement.By type, the ministry's general budget will grow 5.8 percent to 230 billion won, which i
Key points in South Korea's 2015 budget proposal

Sept 18, 2014

The following are key points of the 2015 budget proposal endorsed by the government on Thursday.Along with its spending plan, the government also gave estimates on revenue collection and mid-term fiscal management plans.Spending: - Expand 2015 spending by 5.7 percent to 376 trillion won ($361 billion) - 115.5 trillion won on health, welfare and labor, an increase of 8.5 percent from 2014 - 53 trillion won on education, up 4.6 percent - 18.8 trillion won on research and development, u
Strong won fans export fears

Sept 17, 2014

The South Korean won has remained one of the best performing currencies against the stronger U.S. dollar in terms of value since early June, when the European Central Bank announced a quantitative easing program, data showed Wednesday, spurring calls for measures to ease its appreciation to help local exporters. The dollar has steeply strengthened against the euro and other major currencies on strong U.S. economic data and the ECB’s move to adopt a bond buying program to boost the flagging euroz
World Ocean Forum urges energy traffic security

Sept 17, 2014

BUSAN ― The international society should raise awareness about the security of energy traffic in the East Asian seas, which have grown in importance with the increase in energy trade via vessels, maritime and oceans experts said Wednesday. With proper security, the booming maritime energy traffic could boost the economy and solidify South Korea’s status in the region, participants at the World Ocean Forum 2014 in Busan said. “The East Asia region is home to the world’s second- and third-largest