Financial authority warns of foreigners pulling out money despite Korea’s strong fundamentals

KB Kookmin Card, NH NongHyup Card, and Lotte Card are to be banned from recruiting new customers or issuing loans for the next three months, starting Feb. 14, according to the Financial Services Commission.The three-month suspension, which is the maximum sanction possible under the current law, is expected to take effect following a 10-day preparatory period starting Monday. This will be the first nationwide business suspension in the credit card sector since 2003.During the three months, the cr

The top financial regulator on Sunday reaffirmed that the impact on Korea from the U.S. Fed's tapering would be limited, but with a note of caution from past lessons that global investors can change their course on a whim.The U.S. Federal Reserve announced last week another $10 billion reduction in monthly bond purchases as it steps back from quantitative easing as announced in December. The South Korean market has been closed since Thursday for the Lunar New Year holidays and reopens on Monday.

South Korea's Finance Ministry said Sunday it will make efforts to reduce liabilities in 18 debt-ridden public firms by 2017 in a bid to tighten what has been lax management.Under the plan, the Ministry of Strategy and Finance said the 18 public firms will be required to tighten their belts to curb the debt increase amount to 45.9 trillion won ($42.8 billion) from the initial plan for a 85.4 trillion won increase.South Korea's 38 public firms will also reduce the budget for employees' benefits b

Lee Soo-man, the head of the most successful talent agency and top-ranking stock-rich celebrity, ranks No. 1 on the value of real estate holdings among entertainment businesspeople, market research showed Sunday.A building owned by Lee, a former singer who heads SM Entertainment, in southern Seoul was estimated to be worth 19.08 billion won ($17.8 million), according to Chaebul.com, a website that tracks the wealth of the rich. The appraisal is based on the construction cost, the building's age

South Korea's three leading credit card companies whose customer data were stolen by the millions will be suspended for three months as punishment for lax supervision, inside sources said Sunday.According to the sources, South Korea's Financial Services Commission and Financial Supervisory Service are planning to officially notify KB Kookmin Card Co., NH Nonghyup Card Co. and Lotte Card Co. of the business suspension on Monday. The suspension will be effective from Feb. 17, they said.The latest

HONG KONG (AFP) - Asian markets slumped Thursday, extending a global rout on renewed fears about emerging economies after the U.S. Federal Reserve pressed ahead with its stimulus reduction and central banks in Turkey and South Africa jacked up interest rates.The dollar and euro sank against the yen as dealers scurried into safer investments after the Fed decision, while Asian sentiment took a further blow from data showing Chinese manufacturing contracted in January.Tokyo dived 3.33 percent by t

South Korea will take "swift" and "proactive" action against any financial market instability in accordance with its contingency plans, the country's top economic and financial policymaker said Wednesday, addressing growing worries over the fallout from U.S. Fed tapering on emerging market countries."We are closely watching the market on worries that the market instability could prolong in emerging markets, and that it could spill over into other emerging and even advanced countries at a time wh

South Korea's current account surplus widened in December from the previous month on an increasing exports, with the combined yearly surplus topping the estimate, the Bank of Korea (BOK) said Wednesday.The current account surplus reached $6.43 billion in December, up from $6.03 billion in November, according to the central bank. The current account is the broadest measure of cross-border trade.Korea posted a surplus for the 23rd straight month in December, with the combined surplus hitting a rec

Foreign investors are seen to have sold up to 2 trillion won ($1.8 billion) in the main bourse here this month, most likely affected by the default concerns in major emerging countries.Overseas investors net-sold local shares worth 314.6 billion won on the Korea Exchange on Tuesday, after net selling 524.5 billion won in Monday’s trading to post record-breaking sales for this month, according to industry data. So far this year, their combined net-selling came to 1.68 trillion won, and equity mar

South Korean banks’ lending rates rose for the second straight month in December as demand for funds by larger firms increased, the central bank said Tuesday.The average rates for new loans to households and firms stood at 4.52 percent in December, up 0.02 of a percentage point from the previous month, according to the Bank of Korea.The central bank froze the key interest rate at 2.5 percent for the eighth straight month in January after making its first rate cut in seven months in May.The avera

South Korean stocks traded 0.12 percent higher late Tuesday morning following sharp falls in the previous day sparked by financial jitters in some emerging countries, analysts said.After starting lower, the benchmark Korea Composite Stock Price Index rose 2.24 points to 1,912.58 as of 11:10 a.m.Foreign investors remained net sellers of local stocks.Top automaker Hyundai Motor advanced 2.68 percent and chip giant SK hynix rose 2.4 percent.Defensive stocks such as telecommunication shares shot up.

South Korea plans to sell a total of 11 trillion won ($10.15 billion) worth of Treasury bills in February and March of this year, the finance ministry said Tuesday.Treasury bills raise money for the government to deal with short-term financial shortfalls. They are generally sold with a maturity of less than one year.The ministry said that it will sell 5 trillion won worth of Treasury bills in February with a maturity of 63 days. It also plans to sell 6 trillion won worth of such bills in March w

The delinquency ratio of loans by South Korean insurance companies inched up in November from a month earlier mainly due to a rise in overdue corporate debts, the financial watchdog said Tuesday.The bad loan ratio of life and nonlife insurers stood at 0.72 percent in November, up 0.03 percentage point from the previous month, according to the Financial Supervisory Service.A delinquent insurance loan refers to a debt that has been overdue in both principal and interest for more than a month.The r