The Korea Herald

Finance minister urges businesses to increase hiring, investment

Jan 26, 2015

South Korea’s Deputy Prime Minister and Finance Minister Choi Kyung-hwan urged private companies to support the government’s economic reforms by increasing employment and investment.In a meeting with business executives affiliated with the Korea Chamber of Commerce and Industry in Seoul on Monday, the country’s top fiscal policymaker said the government would do its part by listening closely to the private sector and easing corporate regulations to spur investment.“We hope that the companies wil
How big data can help shape policies to make cities work for the poor

Jan 26, 2015

Axel van TrotsenburgEvery minute, dozens of people in East Asia move from the countryside to the city.The massive population shift is creating some of the world’s biggest megacities including Tokyo, Shanghai, Jakarta, Seoul and Manila, as well as hundreds of medium and smaller urban areas.This transformation touches on every aspect of life and livelihoods, from access to clean water to high-speed trains that transport millions of people in and out of cities during rush hour each weekday.People m
Credit card firms’ mistakes add fuel to income tax row

Jan 26, 2015

Data recording mistakes by some credit card firms are fueling public anger over the government’s income tax policy.The nation’s four major card firms ― BC, Shinhan, Samsung and Hana ― were found to have provided incorrect financial data regarding their customers’ year-end tax readjustment to the National Tax Service.Furthermore, industry officials said the NTS’ system was unable to filter the submitted data and detect the faults.The four firms had submitted erroneous figures to the NTS’ automati
Woori Bank to focus on innovation

Jan 25, 2015

Woori Bank said Sunday that it would use innovation to become a “strong bank” for consumers this year.In a business strategy meeting with some 1,500 executives and staff in Ilsan, Gyeonggi Province, Saturday, Lee Kwang-goo, CEO of Woori Bank, shared his goals for the first half of this year and urged his staff to take more ownership over their work and fully engage in their businesses. Lee also declared the so-called “24.365 Innovation Project,” stressing the need to build a strong foundation to
KOSDAQ jumps on government’s fintech pledge

Jan 25, 2015

South Korea’s secondary KOSDAQ bourse continued its strong rally in January as the government’s push to support financial technology fueled upward momentum, data showed Sunday.The price index of the tech-heavy KOSDAQ market closed at 589.31 point on Friday, the highest close in 6 1/2 years since it hit 590.19 on June 30, 2008, according to the data compiled by the Korea Stock Exchange, the bourse operator.It also gained 46.34 points, or 8.53 percent, from the year-end close price of 542.97, with
Central bank not surprised by ECB’s QE

Jan 23, 2015

The government forecast that the additional quantitative easing by the European Central Bank would have a limited impact on the nation’s economy, saying the measure was within market expectations.“The ECB’s expansive monetary policies are part of (the BOK’s) forecasts,” Bank of Korea chief Lee Ju-yeol said in a breakfast meeting with commercial bank chiefs in Seoul on Friday. “If the measure had diverted from market forecasts, there would have been a shock,” the central bank chief added. There i
Hana-KEB merger faces deadlock

Jan 23, 2015

The merger of Hana Financial Group’s two flagship banks, Hana Bank and Korea Exchange Bank, is expected to face further delays as the management and labor failed to reach a last-minute agreement.The financial group recently decided to go ahead with the merger, with or without the KEB labor union’s consent, a move that deepened the latter’s resistance.The Financial Services Commission was scheduled to discuss the issue at its regular meeting next Wednesday but decided to postpone action due to th
KEB expands scholarship program in Southeast Asia

Jan 23, 2015

The Korea Exchange Bank Foundation is expanding its social welfare program for students in developing Southeast Asian countries. The Korea Exchange Bank Foundation held its 2014 Indonesia Korea Exchange Bank Scholarship Award Ceremony on Oct. 20, 2014, at the Indonesian branch of the bank.The “Korea Exchange Bank Scholarship” is a social welfare program started by KEB in 1989. Originally for low-income students in Korea, the Korea Exchange Bank Foundation took over the program in 2006 and began
Seoul shares up 0.79 pct on ECB step

Jan 23, 2015

South Korean stocks closed higher Friday as investors cheered the stimulus plan by the European Central Bank released overnight to revitalize the moribund eurozone economy, analysts said. The local currency rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index gained 15.27 points, or 0.79 percent, to close at 1,936.09. Trading volume was moderate at 359.36 million shares worth 4.57 trillion won ($4.22 billion), with gainers outpacing losers 460 to 330.The ECB said it would
Seoul shares up 0.7 pct in late morning

Jan 23, 2015

South Korean stocks traded 0.7 percent higher late Friday morning as investor sentiment was boosted by the European Central Bank's stimulus plan released overnight, analysts said.The Korea Composite Stock Price Index rose 13.46 points to 1,934.28 as of 11:20 a.m.Blue-chip shares rose across the board, with Samsung Electronics rising 0.44 percent and top automaker Hyundai Motor climbing 1.19 percent. SK hynix also added 1.28 percent.Shipbuilders were also winners, with Hyundai Heavy Industries mo
KB Financial's takeover of local insurer hits snag over price

Jan 23, 2015

A move by KB Financial Group to acquire a local insurer has reached an impasse despite a recent long-awaited approval from the financial regulator, industry sources said Friday.In June, South Korea's second-largest banking group preliminarily agreed to buy a 19.47 percent stake in LIG Insurance Co., the country's fourth-largest insurer, for 685 billion won ($632 million). Last month, the Financial Services Commission, the country's financial regulator, gave its nod to the deal, paving the way fo
Korean investors flock to Chinese stocks after Shanghai-Hong Kong

Jan 23, 2015

Korean investors have been increasingly setting their eyes on Chinese stocks after the launch of a Shanghai-Hong Kong stock connect program in search of higher returns amid the tepid local stock market, the nation's financial watchdog said Friday.The combined transaction volume in the cross-border trading program by local investors via 13 Korean brokerage houses reached 1.16 trillion won ($1.07 billion) during 39 trading sessions between Nov. 17 and Jan. 15, according to data compiled by the Fin
ETFs' net asset value hits record high

Jan 23, 2015

South Korea's exchange-traded funds have sucked in money from investors who are looking for safe investment vehicles that come with decent returns amid increased volatility, data showed on Friday.According to the Korea Financial Investment Association, the net asset value of local ETFs reached 20.41 trillion won ($18.78 billion) on Wednesday, the highest on record. The figure topped the 20-trillion won mark on Dec. 23 for the first time, the data showed.An ETF refers to an investment fund traded
BOK prioritizes financial stability

Jan 22, 2015

Bank of Korea Gov. Lee Ju-yeol stressed Thursday that the central bank’s main priority was maintaining stability by paying close attention to rising household debt and the possibility of quantitative easing by the European Central Bank.In a meeting with foreign press in Seoul, South Korea’s top monetary policymaker said that it was necessary to manage risk and come up with countermeasures for high household debt and market volatility expected from eurozone stimulus. The ECB is expected to begin
KEB named Korea’s top trade financer

Jan 22, 2015

Moon Kwang-chan (right), the head of KEB’s Amsterdam branch, shakes hands with Joseph Giarraputo, the publisher and cofounder of Global Finance, at an award ceremony in Amsterdam on Wednesday. (KEB)The Korea Exchange Bank won a trade financing award from U.S. magazine Global Finance, bank officials said Thursday. The New York-based monthly finance magazine named KEB Best Trade Finance Bank in Korea for the 14th time, in recognition of its superior performance in terms of transaction size, market