Croatia will be included in the free trade agreement between Korea and the European Union, according to government sources on Wednesday.This is following the passage of a protocol adding the country to the Korea-EU FTA at the National Assembly, the Trade Ministry said. The revised pact is expected to officially come into effect later this year, when the Korean government notifies Croatia and the European Union of the ratification to receive final approval. On July 1 of 2011, the Korea-EU pact be

The regulations and final goal of the Trans-Pacific Partnership Korea is considering joining are not too different from those involving South Korea’s free trade agreement with the United States, according to the country’s top trade negotiator on Wednesday.“Including the level of market liberalization, it seems to be largely on par with the existing FTA with the U.S.,” said Deputy Trade Minister Choi Kyong-lim at a press conference following a second round of preliminary bilateral talks with TPP

South Korea's industrial output grew slightly on-month in March, rebounding from a drop in the previous month, helped by increased production by manufacturers, a government report showed Wednesday.According to the report by Statistics Korea, production in the mining, manufacturing, gas and electricity industries gained 0.9 percent last month from February. This marked a turnaround from the previous year when the output shrank 1.9 percent. Production in the service sector also inched up 0.1 perce

South Korea’s swaps market is pricing in bets for the first increase in benchmark borrowing costs since 2011 as central bank Gov. Lee Ju-yeol raises his guard against inflation.The one-year interest-rate swap, the fixed payment needed to receive the floating rate on three-month certificates of deposit, rose to 2.71 percent on April 23, the highest since Jan. 3. The Bank of Korea, which has held its seven-day repurchase rate at 2.50 percent since May, will lift it to 2.75 percent in the fourth qu

The recent ferry sinking that claimed the lives of at least 188 people is damaging the consumer sentiment, as many Koreans remain shocked by the tragedy.A variety of data showed that a huge of number of people have canceled social and personal gatherings and trips after April 16, when the ferry capsized.According to a major credit card company, its customers’ average daily credit card use dropped by 4.4 percent, or 8.7 billion won ($8.2 million), from April 16-22, compared to the same period a m

South Korean consumer sentiment remained firm but flat in April as the local economy continued on a recovery track, the central bank said Friday.The consumer sentiment index came in at 108 for April, unchanged from the previous month, according to the Bank of Korea. The index is a gauge of consumers’ overall economic outlook, living conditions and future spending.In January, the sentiment index reached a 35-month high of 109. A reading above 100 means that optimists outnumber pessimists. The sur

Debt owed by South Korea’s farming households increased for the second straight year in 2013, a report showed Thursday, suggesting that their livelihoods remain tough.According to the report by Statistics Korea, the average amount of debt of farming households stood at 27.36 million won ($26,300) at the end of 2013, up 0.4 percent from the 27.26 million won tallied a year earlier. This followed a 4.7 percent on-year debt growth in 2012. The farming-related debt declined 10.7 percent, but money b

The South Korean economy grew 0.9 percent in the first quarter from three months earlier as exports and construction investment gained ground, the central bank said Thursday.The first-quarter growth of Korea's gross domestic product, the broadest measure of economic performance, matched the 0.9 percent on-quarter gain in the fourth quarter, according to the Bank of Korea.From a year earlier, Asia's fourth-largest economy grew 3.9 percent in the first quarter after advancing 3.7 percent on-year i

South Korea’s terms of trade improved in March from a year earlier as import prices fell at a faster pace than export prices, the central bank said Tuesday.The country’s net terms-of-trade index for goods ― a gauge of trade terms ― came in at 88.98 in March, up 1.1 percent from the previous year, according to the Bank of Korea.In January, the trade terms posted the first on-year decline since November 2012. The figure is calculated by dividing the index for export prices by that for import price

The income gap between Korean households and companies has widened over the past five years to indicate that despite the country’s robust economic growth, individuals do not have more to spend, data from the central bank showed Monday.Local companies’ disposable income grew more than 80 percent between 2008 and 2013 to record an annual 16.1 percent average growth. This compares with an annual 5.3 percent average growth of disposable income at local households.Consequently, while companies were f