Shares of South Korean entertainment agencies soared on Tuesday buoyed by expectations that the free trade agreement with China could bring an economic bonanza to Asia’s fourth-largest economy. Shares of SM Entertainment ― one of Korea’s three largest show business companies ― jumped by 7.82 percent and was traded at 29,650 won ($27.25) in the morning. The stock closed at 29,200 won per share. YG and JYP Entertainment also saw big gains, being traded at 42,100 won and 4,280 won, an increase of 4

The South Korean government voiced concerns about the economy Tuesday, saying that growth was losing momentum due to mounting uncertainties in the domestic and global markets.“Despite the rise in employment, low prices continue and the economic recovery has failed to gather momentum due to factors such as strikes in the auto industry,” the Finance Ministry said in its economic trend report. “Amid the uncertainties rising from the quantitative easing in the U.S. and the weak yen, Korea’s economic

Woori Bank, the country’s third-largest commercial lender by assets, said Tuesday it had opened an office in the Russian port city of Vladivostok as a growing number of companies are expected to enter the market in line with Moscow’s regional development plan.The office, the first in the area to be operated by a Korean bank, will mostly focus on providing corporate finance to South Korean companies, Woori Bank said in a press release.The Vladivostok office is Woori Bank’s third local unit in Rus

Investors brought money into South Korean stock funds last month despite the equity market slump, data showed Monday, posting the longest daily buying streak since 2007.Local stock funds, excluding index funds, saw a net inflow of 2.01 trillion won ($1.84 billion) for 31 consecutive days from Sept. 23, according to the Korea Financial Investment Association.The longest unbroken run of net buying lasted for 66 days between May and August in 2007 when stock funds in Asia’s fourth-largest economy w

Domestic banks are expected to lower their overdue loan interest rates as early as this year in a belated move to keep in step with the record-low key interest rate set by the nation’s central bank. The Financial Supervisory Service sent out an official letter to all commercial banks on Monday, recommending that they slash their rates further on pending overdue loans.“The nation’s key interest rate has fallen by almost 2 percent since 2011, but loan interests have remained mostly unchanged,” sai

South Korea's central bank is expected to stand pat on the base rate in November while chances of a rate cut linger in the coming months to bolster growth and cope with shifts in monetary policies at major economies, analysts said Monday.All 12 analysts surveyed by Yonhap Infomax, the financial news arm of Yonhap News Agency, forecast the Bank of Korea (BOK) to keep the base rate on hold at an upcoming policy board meeting Thursday.South Korea's seven-day repo rate currently stands at a record l

South Korean banks saw their net profit rise 13.7 percent in the third quarter from a year earlier on reduced bad debt losses and increased interest income, the financial watchdog said Sunday.The combined net income of 18 local banks stood at 1.7 trillion won ($1.55 billion) in the July-September period, compared with 1.5 trillion won during the same period last year, according to the Financial Supervisory Service.For the first nine months of the year, the banks’ net profit reached a cumulative

The Korea-China Free Trade Agreement will open a new chapter in the economic cooperation of the two countries, Bank of Korea Gov. Lee Ju-yeol said Friday in an effort to inject momentum into the negotiations.He also demanded the two sides place more focus on bolstering their financial ties, in addition to the already-strong trade partnership.“Should the Korea-China FTA be concluded, (the economies of both countries) will be able to leap further,” Lee said at the 2014 China Forum hosted by local

Bond ownership by foreign investors in the South Korean equity market surpassed 100 trillion won ($91.5 billion) again after more than a year despite concerns about a possible rate hike in the United States, financial data showed Friday.According to the data compiled by the Financial Supervisory Service, offshore investors held 100.42 trillion won worth of local bonds as of Tuesday, piercing the 100 trillion won level for the first time since it hit 100.25 trillion won on Sept. 9, 2013.After pea

Some of South Korea’s big-name financial groups will have disappeared by the end of this year through breakups and mergers, but behind such moves ostensibly aimed at improving efficiency, industry watchers say the very system of operating financial groups needs to be rethought.Former No. 1 Woori Finance Holdings Co. was absorbed into Woori Bank on Nov. 1, and KDB Financial Group Inc. will be merged with Korea Development Bank on Jan. 1. The breakup of the two state-owned banking groups is part o

Foreign currency-denominated deposits at banks in South Korea recovered in October after falling the most in over four years a month earlier, central bank data showed Friday.Foreign currency deposits held by residents reached $66.4 billion as of the end of October, up $2.7 billion from the previous month, according to the Bank of Korea.Residents include local citizens, foreign companies and foreigners staying here for more than six months. The data excludes inter-bank foreign currency deposits.I

The South Korean currency will continue to slide next year and fall to 1,140 won against the U.S. dollar amid the Japanese yen weakening from its stimulus package, a report said Friday.“We are rolling forward our U.S. dollar-Korean won forecasts to 1,100 won, 1,130 won, 1,140 won for 3-, 6- and 12-month horizons, from 1,060 won, 1,080 won and 1,100 won previously,” said the Goldman Sachs report. “We retain our long-term forecasts for end-2016 and end-2017 at 1,200 won.”It said that the depreciat

Some of South Korea's big-name financial groups will have disappeared by the end of this year through breakups and mergers, but behind such moves ostensibly aimed at improving efficiency, industry watchers say the very system of operating financial groups needs to be rethought.  Former No. 1 Woori Finance Holdings Co. was absorbed into Woori Bank on Nov. 1, and KDB Financial Group Inc. will be merged with Korea Development Bank (KDB) on Jan. 1. The breakup of the two state-owned banking groups i

Local branches of foreign banks operating in South Korea saw their net profit decline in recent years, bogged down by a low interest rate trend and tighter financial regulations, data showed Thursday.After peaking at 2.4 trillion won ($2.2 billion) in 2009, the combined net profit of foreign branches has been on a downward path. It declined from 1.5 trillion won in 2010 to 1.3 trillion won in 2011, 1 trillion won in 2012 and 900 trillion won in 2013, according to the data gathered from financial