The Finance Ministry said Thursday that it has revised its projection for the nation’s economic growth for this year down to 3.3 percent, from its earlier forecast of 3.7 percent.In its unveiling of the second-half economic policy direction, the Finance Ministry cited external factors including the eurozone fiscal crisis for the revision.Earlier, the International Monetary Fund and the Organization for Economic Development and Cooperation also lowered their respective forecasts for Korea’s GDP g

South Korea’s current account surplus hit a six-month high in May due mainly to a fall in dividend payouts to foreign investors, the central bank said Thursday.The current account surplus reached $3.61 billion in May, up from a revised $1.73 billion the previous month, according to the Bank of Korea. The current account is the broadest measure of cross-border trade.The May data marked the largest surplus since the $4.56 billion in November 2011 and the current account remained in the black for t

The government will provide incentives to banks that expand foreign currency deposits in a bid to reduce damage from possible capital flights in case of financial market instability, the Bank of Korea said Thursday.Korean banks and local branches of foreign banks held $37.3 billion in foreign currency savings, or about three percent of total deposits, as of April. The proportion is much lower compared to Taiwan (10 percent) which has a similar economic structure.For companies and individuals in

The nation’s financial watchdog plans to have banks run pre-workout programs to help out potential credit delinquents. The Financial Supervisory Service announced on Thursday it recently discussed with local bankers in charge of loans running a joint pre-workout program with local banks. The key is to lower loan rates depending on the debtor’s ability to repay and enable them to pay back the principal through divided payments during a long-term period, FSS officials said. The plan will focus on

Korean stocks closed almost unchanged Thursday as nagging eurozone concerns offset improved U.S. economic data, analysts said. The local currency rose against the U.S. dollar.The Korea Composite Stock Price Index gained 1.53 points, or 0.08 percent, to finish at 1,819.18. Trading volume was light at 305 million shares worth 3.10 trillion won ($2.68 billion) with losers just outpacing gainers 398 to 383.“Investors sat on the sidelines amid a lack of upward momentum,” said Kim Joo-young, an analys

South Korean stocks closed marginally lower Wednesday as lingering concerns over the eurozone debt crisis kept investors reluctant to make risky bets, analysts said. The local currency rose against the U.S. dollar.The Korea Composite Stock Price Index edged down 0.15 points, or 0.01 percent, to finish at 1,817.66. Trading volume was moderate at 315.3 million shares worth 4.26 trillion won ($3.68 billion), with losers outpacing gainers 465 to 338.“There’s nothing from the ‘outside’ to invite inve

Union members of LG Display, Korea’s display-making giant, will reach out and support children of firefighters and police officers who died in the line of duty.LG Display’s union said Wednesday that it forged ties with the Korea National Council on Social Welfare to provide scholarship funds to those children living in Gyeonggi Province and North Gyeongsang Province.The union plans to give scholarships of 1 million won each annually to children in elementary, junior and high schools, and 2 milli

South Korean stocks closed 0.23 percent lower on Tuesday as investor sentiment remained cautious over a deal to rescue the debt-mired eurozone, analysts said. The local currency rose against the U.S. dollar.The Korea Composite Stock Price Index dropped 4.16 points to finish at 1,821.22. Trading volume was light at 208 million shares worth 2.36 trillion won ($2.03 billion) with decliners outstripping gainers 485 to 305.“There’s a perspective that the summit will again stop short at a mere declara

Investment advisory firms in South Korea saw their earnings slump 56.8 percent in fiscal 2011 from a year earlier due to increased losses from investments in securities and derivatives, the financial regulator said Tuesday.The combined net income of 144 local and foreign investment advisers operating here reached 37.9 billion won ($32.6 million) in the fiscal year ended in March, compared with 87.7 billion won a year ago, according to the Financial Supervisory Service .The fall marked the first

South Korea is expected to face tough challenges now that its population has surpassed the 50 million mark, a senior economic policymaker said Monday.Vice Finance Minister Shin Je-yoon told an economic strategy coordination committee meeting that the population increase comes amid very low birthrates and rising concerns of reduced growth potential.“The population will grow for the time being to help create a domestic market for goods, but rapid population aging will trigger various social proble

South Korean stocks fell 1.19 percent Monday ahead of a European Union summit and amid weak U.S. and Chinese economic data, analysts said. The local currency fell against the U.S. dollar.The benchmark Korea Composite Stock Price Index plunged 22.01 points to 1,825.38, marking the third straight session of decline. Trading volume was very light at 277 million shares worth 4.08 trillion won ($3.51 billion), with losers outpacing gainers 501 to 316.“There is persistent uncertainty surrounding the E