The combined net profit of Korean banks’ overseas sales operations nearly doubled last year, as their profitability recovered to pre-crisis levels, the nation’s top financial regulator said Wednesday.The total net profit of 93 overseas units run by 11 banks last year amounted to $721.6 million, up 95.5 percent from $369.1 million in 2010, thanks to a sharp drop in expenses from bad debt and a turnaround in securities-related profits.Profits had gone down to $312 million in 2008 and $286 million

Regulators vow more stern actions on practices burdening borrowersFinancial regulators plan to take disciplinary measures against a group of banks for engaging in irregular lending practices, based on a year-long investigation.A number of retail customers in the banking sector will face punitive measures for their urging of customers to purchase financial products such as deposits and insurance products in return for having their loan applications approved, officials at the Financial Services Se

Korea, China and Japan and 10 Southeast Asian countries are poised to become more aggressive in their joint action in response to possible currency volatility.The ASEAN Plus Three group plans to endorse an increase in their access to a regional fund during the meeting of finance ministers and central bank governors, slated for May 3 in Manila, according to Bank of Korea officials.Participants are expected to approve a proposal approved by their deputies who earlier agreed to double the size of t

Korea’s government said Tuesday it plans to use tax breaks and other incentives to fuel private investment vital for sustainable growth and job creation.In a meeting of economic policymakers, the Ministry of Strategy and Finance said it will revamp tax law so more benefits can be given to both local and overseas companies that seek business opportunities in the country.The measures come as economic policymakers oppose artificial economic stimulus measures that could trigger more problems down th

South Korea plans to sell 4 trillion won ($3.54 billion) worth of Treasury bills in May to shore up government coffers, the Finance Ministry said Monday.Treasury bills are intended to raise money so the government can cope with short-term financial shortfalls. Such bonds generally mature in less than one year, with those to be sold next month to come due in 63 days.The debt issuance will take place from next Wednesday through May 30 in four different sessions, the ministry said. Each session wil

South Korean stocks closed 0.34 percent higher Monday as investor sentiment was buoyed by better-than-expected U.S. corporate earnings in the first quarter and good showing by local blue chip companies, analysts said. The local currency rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index added 6.64 points to close at 1,981.99, rising for a third session.Trading volume was heavy at 824 million shares worth 6.21 trillion won ($5.49 billion), with losers outpacing gainers 4

South Korean manufacturers’ business confidence for May moved up for the fourth straight month as overall economic conditions showed signs of steady improvement, the central bank said Monday.The business survey index of manufacturers’ expectations rose to 90 for May from 85 tallied in April, according to the Bank of Korea.The reading follows recent improvements in the BSI that started from February onwards after dropping to 79 in the first month of this year.The index measures manufacturers’ out

Debt owed by South Korea’s public sector soared more than 15 percent in 2011 from a year earlier due to increased spending on welfare and infrastructure projects, a government report showed Monday.According to the report by the finance ministry, 286 public corporation and agencies had a combined debt of 463.5 trillion won ($409.4 billion) as of end-2011, up 15.4 percent from the previous year.They include state-run enterprises such as Korea Electric Power Corp., Korea Deposit Insurance Corp. and

South Korea’s industrial output growth dropped sharply in March from the previous month mainly due to weak exports and domestic demand, a government report showed Monday.Production in the mining and manufacturing industries edged up 0.3 percent last month from a year earlier, compared with a 14.3 percent on-year increase in February, according to the report by Statistics KoreaThe monthly output number represents a 3.1 percent contraction from February.In the manufacturing sector, which makes up

South Korean stocks are expected to track developments in eurozone countries and global and domestic economic data this week, local analysts said.The country’s key stock index, the KOSPI, closed at 1,975.35 on Friday, a dip of 0.1 percent from a week earlier, mainly due to North Korea’s geopolitical risk, and persistent eurozone woes fueled by the downgrading of Spain’s long-term credit rating by two notches. Concerns fiscal instability may spread to the Netherlands and France further affected t