The Industrial Bank of Korea on Monday revealed plans to offer rescue loans to embattled South Korean firms operating in the Gaeseong Industrial Complex.The IBK set aside a 100 billion won ($88 million) rescue loan fund for these companies to help them cover costs amid heightening inter-Korean tensions which have hindered regular operations. Pyongyang has blocked South Korean vehicles and workers from entering the inter-Korean industrial complex since last Wednesday. Unable to provide materials,

South Korea’s state-run pension fund has expanded its stakes in the country’s blue-chip shares last year amid growing calls that it should exercise its voting right as a major stakeholder, data showed Monday. The National Pension Fund either increased its stock holding or held it steady in 20 out of 30 companies for which it holds a 5 percent stake or more as of the end of 2012, compared with the previous year, according to the data by the Financial Supervisory Service. It reduced its holdings i

Won falls to 9-month low against dollar; foreigners continue to dump stock

The Korean stock market is expected to rebound as its fundamentals remain untouched despite increasing threats from North Korea.Also, Korean shares will pick up after bearish trading last Friday on the Bank of Japan’s easy-money policy, as the country is set to follow up on its stimulus measures soon, analysts suggested.“We expect to see share prices stay low in the beginning of the week and pick up towards the end of the week,” said Kwak Joong-bo, an analyst at Samsung Securities.“The Bank of K

The Korean economy is likely to recover slower than expected, despite slight improvements in demand and exports, the state-run Korea Development Institute said on Sunday.The KDI report said that industrial production continued to show weak performance between January and February this year, with February’s data showing a 0.8 percent decline from in January.Facility investment declined as well, indicating that manufacturers are striving to cut costs to further offset their first quarter slowdown.

Sovereign risks of Northeast Asian economies ― South Korea, Japan and China ― are increasing as North Korea ratchets up its threats against the allied forces of South Korea and the U.S.This heightened regional tension may further drive local stocks and currency to spiral downward going forward as North Korea’s unpredictable bellicose action is undermining investors’ sentiment, analysts said.South Korea, given its closest proximity to the North, has seen its sovereign risk on state bonds measured

The number of active accounts for stock trading in South Korea declined in March from a month earlier amid a prolonged bear market stemming from rising economic and political uncertainties, data showed Friday.South Korean investors held 18.9 million active stock accounts as of end-March, down 3.9 percent from 19.7 million accounts tallied in end-February, according to the data compiled by the Korea Financial Investment Association.The number fell below the 19 million mark for the first time in 1

 South Korean stocks slumped 1.64 percent on Friday as foreigners beefed up their net selling amid lingering North Korea risks, analysts said Friday. The local currency sank against the U.S. dollar.   The benchmark Korea Composite Stock Price Index (KOSPI) tumbled 32.22 points to 1,927.23, extending its losing streak to a fifth straight session. Trading volume was moderate at 364.3 million shares worth 4.8 trillion won ($4.2 billion), with decliners far outnumbering gainers 639 to 171.   "On top

South Korean financial markets were rattled Thursday by escalating geopolitical risks stemming from a torrent of threats from North Korea, with the key stock index tumbling 1.2 percent and the local currency sinking against the U.S. dollar.The benchmark Korea Composite Stock Price Index plunged 23.77 points to 1,959.45, the biggest daily fall this year. Trading volume was moderate at 407 million shares worth 4.6 trillion won ($4.1 billion), with decliners far outnumbering gainers 614 to 225.“Nor

LG Electronics Inc. said Thursday it plans to roll out the Optimus G Pro in Japan this week, kicking off its global drive for the premium smartphone.LG Electronics said it plans to release the full HD smartphone via Japan’s largest mobile operator NTT DoCoMo, roughly two months after the Optimus G Pro hit local shelves. In February, the South Korean smartphone maker rolled out the 5.5-inch Optimus G Pro, a follow-up model of its flagship smartphone Optimus G, through the country’s three mobile o

The National Tax Service said Thursday that it has launched a full-fledged investigation into 224 figures including private moneylenders on allegations of tax evasion.The 224 targets are composed of 117 private moneylenders, 51 entrepreneurs in the conglomerate sector, 48 individuals on suspicion of offshore tax-dodging and eight purchasing agents of overseas goods.The tax agency clarified that the probe is aimed at securing a base to levy taxes on dubious profit-makers in the underground econom

South Korea's financial regulator said Thursday it tapped an economics professor who was an aide to President Park Geun-hye to head state-run KDB Financial Group Co., following the former president's resignation amid a big government shake-up of banking chiefs.The Financial Services Commission said Hong Ki-taek, who teaches economics at Chungang University, will preside over KDB Financial Group and its banking unit Korea Development Bank.The KDB Financial chief was appointed by the president on

Finance Ministry reveals plans to secure tax income; FSC seeks to punish bank CEOs for network paralysis