South Korea's demand deposit turnover ratio hit an all-time low in August amid growing uncertainty due to the coronavirus pandemic, central bank data showed Tuesday, The ratio, or withdrawals of demand deposits divided by the average deposit balance, came to 15.5 for August, according to the data from the Bank of Korea (BOK). It was the lowest figure since January 1985, when the BOK began tracking related data. The previous record low was 15.6 posted in May this year. The turnover ratio of de

Even state-run think tanks are concerned about fast-rising debt without payment resource

Hyundai Motor Co. and its affiliate Kia Motors Corp. said Monday they plan to reflect a combined 3.4 trillion won ($3 billion) in provisions for product recall and quality control in their balance sheets for the third quarter of the year, indicating that they are set to swing to net losses in the July-September period. Hyundai and Kia, which together form the world's fifth-biggest carmaker by sales, set aside massive provisions for additional costs for the recall of a faulty engine and preempt

Nearly a half of local lenders’ borrowers have received the top credit rating as their ability to repay interest improved under the ultra-low interest rate environment, data showed Monday. As of end-September, 3.11 million, or 48 percent of the 6.46 million individual customers who borrowed money on credit were found to have received top score of the 10-level credit assessment system, according to Rep. Yoon Du-hyeon, citing data from credit rating firm NICE Credit Information Service.&nbs

GS Engineering & Construction Co., a major South Korean builder, said Monday that its third-quarter net profit plunged 43.9 percent from a year earlier due to currency losses. GS E&C posted a net profit of 96.8 billion won ($84.7 million) in the July-September period, compared with a net profit of 172.8 billion won a year earlier, the builder said in a regulatory filing. The builder said the won's strength against the U.S. dollar drove down the value of its overseas dollar-denominated

South Korea is considering placing a tax-free cap on local consumers’ direct purchases from foreign countries, to be enacted as early as 2022, officials said Monday. The move comes as the government has been eyeing ways to invigorate domestic consumption and Korea Customs Service Commissioner Roh Suk-hwan’s announcement of the idea in a parliamentary audit last week. “(From December, the) KCS will make mandatory for consumers to receive personal customs clearance codes to an

Big name retail chains have been recently joining forces with card companies to analyze spending patterns and cater to diverse needs of consumers. Spearheading the trend, South Korea’s largest card company Shinhan Card inked a partnership with GS Retail, the operator of convenient store chain GS25, on Monday to develop new business models by analyzing data linked to items purchased and consumer behavior. By combining a wide range of data, including items sold at convenience stores and

South Korean stocks ended a four-session losing streak Monday on investors' bargain hunting rush despite disappointing growth data from China. The Korean won rose against the US dollar. The benchmark Korea Composite Stock Price Index (KOSPI) rose 5.21 points, or 0.22 percent, to close at 2,346.74. Trading volume was moderate at about 911 million shares worth some 10.2 trillion won ($8.9 billion), with gainers outnumbering losers 442 to 394. Institutions purchased a net 297 billion won, and fo

Shares in Big Hit Entertainment, the creative nest of K-pop superstar BTS, continued to suffer an extended slump on the third day since the company's market debut as some institutional investors dumped the stocks. Big Hit shares tumbled 5.74 percent to close at 189,000 won ($165), far underperforming the benchmark Korea Composite Stock Price Index's (KOSPI) 0.22 percent gain. The company dipped to as low as 187,000 won at one point. The entertainment firm had a rollercoaster market debut on Th

About 60 local listed firms, state-run companies and major universities had invested in the scandal-ridden Optimus funds that have lost more than 5 trillion won ($4.38 billion) so far, according to local reports Monday. The list of investors for fraudulent hedge funds operated by South Korea’s Optimus Asset Management included leading food company Ottogi, which invested 15 billion won, and Kosdaq-listed antivirus software firm AhnLab, which invested 7 billion won, according to the local K

Renault Samsung Motors Corp. said Monday it has resumed the operation of its sole plant in South Korea following a monthlong suspension to control inventories amid the COVID-19 pandemic. Renault Samsung halted the operation of the Busan plant, 450 kilometers southeast of Seoul, from Sept. 25 through Oct. 18. The company said the upgrade and maintenance work has been done to the plant's production facility ahead of the manufacturing of the XM3 SUV. Renault Samsung plans to start exporting th

South Korea’s sovereign wealth fund Korea Investment Corp. was seeing a stock price fall in Ontario-based marijuana maker Canopy Growth, as its $18 million bet on the company lost glitter in the first half of 2020, a lawmaker said Monday. The ruling Democratic Party of Korea’s Rep. Jung Sung-ho added the investment in the pot producer is a point of contention, not only because KIC’s bet has not led to an instant success, but also because investing in marijuana makers is an &l

South Korea's sovereign wealth fund cut the ratio of alternative assets to its total investments for the first time in 10 years in 2019, data showed Monday. Korea Investment Corp. (KIC) had alternative assets worth $24.5 billion under its management as of end-2019, or 15.6 percent of its total assets worth $157.3 billion, according to the KIC data presented for an annual parliamentary audit. The proportion was down 0.8 percentage point from a year earlier. As of end-August this year, the figur

LG Chem Ltd. and SK Innovation Co. -- South Korea's top two electric vehicle battery makers -- appear unlikely to produce a breakthrough in their high-stakes trade secret case over EV batteries ahead of next week's final ruling in the United States, industry officials said Monday.  A key issue is whether SK Innovation misappropriated and used EV battery trade secrets of its local rival as alleged by LG Chem.   In April last year, LG Chem filed a pair of lawsuits with the US Int

Hyundai Motor Co.'s planned global recall of 77,000 Kona Electric vehicles may be a drag on the company's electrification plan, analysts said Monday. Hyundai Motor plans to voluntarily recall 77,000 Kona Electric models for a faulty battery cell component, as 14 cases of fires in the model -- 10 domestically and four overseas -- have been reported since 2018. The Kona Electrics manufactured between Sept. 29, 2019, and March 13, 2020, are subject to the recall as a possible short circuit in th