Calls are growing for the government to increase infrastructure spending to shore up the country’s slowing economy and improve its worsening employment conditions.Since its launch in May last year, President Moon Jae-in’s administration has refrained from following in the footsteps of previous administrations, which sought to bolster the economy by undertaking massive infrastructure projects. It has been particularly critical of the attempt by former President Lee Myung-bak’s g

CJ CGV Vietnam Holdings Co. has canceled its initial public offering plan in Vietnam as a survey showed it will be hard pressed to meet its fund-raising target due to low demand for its shares, its parent company here said Tuesday. The holding company originally planned to raise 107.99 billion won-131.99 billion won by listing its 5.7 million shares on the local stock exchange, CJ CGV said in a statement. CJ CGV holds an 80 percent stake in CJ CGV Vietnam Holdings, with the remaining 20 per

Financial Services Commission Chairman Choi Jong-ku hinted Tuesday at cutting or removing the securities transaction tax on the Korean equity market and to discuss the matter with tax authorities.“It’s high time to take (a securities transaction tax cut) into consideration,” Choi said during a session with parliament, in response to a question from Rep. Jeon Hae-cheol of the ruling Democratic Party of Korea. Choi took issue with double taxation potentially caused by the securit

South Korea reported a sharp decline in the price of gasoline, diesel and liquefied petroleum gas Tuesday, as the government effectuated its temporary tax break on vehicle fuels in an effort to alleviate the people’s economic burden, data showed.According to Opinet, the oil information platform run by the Korea National Oil Corporation, the average per liter price of gasoline here stood at 1,677.39 won ($1.49) at around 2:30 p.m. on Tuesday, down 12.91 won from a day earlier and marking th

The Financial Services Commission, South Korea’s financial regulator, unveiled Tuesday a set of standards for QR codes for electronic payment, in a nation where the smartphone penetration rate is high and credit card payment terminals are ubiquitous among merchants here.A QR code refers to a matrix barcode used in infrastructure that allows mobile payment between customers and vendors without intermediaries. By using a mobile phone app to scan a QR code, a user will be authenticated, and t

South Korea's current account remained firmly in the black in September despite a slight decrease in goods surplus, central bank data showed Tuesday.The country's current account surplus came to $10.83 billion in September, down from a record $12.29 billion a year earlier, according to the preliminary data from the Bank of Korea. The number rose from a month earlier when it stood at $8.44 billion.It is the first time in one year that the favorable balance surpassed the $10 billion mark. Asia's f

The slowing Korean economy has been shadowed by the possibility of a steep asset devaluation, which could push it deep into a long-term recession.With investment declining and employment worsening, a simultaneous fall in stock and real estate prices could see the country go through something similar to Japan’s “two lost decades” spanning the 1990s and 2000s, economists here warn.They call for pre-emptive measures to prevent continued asset devaluation from further dampening eco

South Korea’s local currency edged down against the greenback on Monday on robust jobs readings in the United States that sparked an upsurge in the US dollar, and on renewed threats of a US-China trade war that put a dent in global risk-tolerance levels.The dollar-to-won currency exchange rate came to 1,123.5 won in closing Monday, down 0.2 percent compared with the Friday session’s close. A lower exchange rate translates into a stronger local currency. This drop marked an end to the

Korea’s FEZs to focus on attracting Korean anchor companies, new industries

South Korea's foreign currency holdings dropped slightly last month amid a strong US dollar trend, central bank data showed Monday.The total value of the country's foreign exchange reserves came to $402.75 billion as of end-October, down $250 million from a record $403 billion tallied in the previous month, according to the Bank of Korea. Foreign exchange reserves consist of securities and deposits denominated in overseas currencies, as well as International Monetary Fund reserve positions, spec

A senior Goldman Sachs economist was named head of the Presidential Committee on Northern Economic Cooperation, the presidential office said Sunday. Kwon Goo-hoon, 56, will replace Rep. Song Young-gil of the ruling Democratic Party as chairman of the committee that was formed to reinforce economic and other forms of cooperation with the northern region, including Eurasia.Song quit in late July to run for chief of the ruling party.A graduate of Seoul National University, Kwon earned his Ph.D from

Further tax cuts should be offered to government-designated industrial crisis zones in order to create an actual investment effect, according to Prime Minister Lee Nak-yon on Sunday.“I suggest we discuss ways to further increase the investment tax deduction rate in industrial crisis zones,” Lee said at the government and ruling party meeting held at the National Assembly.“Related tax revision bills are currently pending for (parliamentary) approval, but the current level (of ta

The price gap between South Korea's most expensive apartments and its cheapest ones widened to a more-than-seven-year high last month amid an overheated urban real estate market, industry data showed Sunday.According to the data compiled by Kookmin Bank, apartment prices in the top 20 percent group reached an average 694.1 billion won (US$621,000) last month, up 22.3 million won from a month earlier. Prices of apartments in the bottom 20 percent band fell 610,000 won on-month to an average 115.3

While South Korea’s stock market took a strong rebounding leap last week amid signals of trade war alleviation between the United States and China, analysts remained in a cautious note ahead of the midterm elections in the United States slated for Tuesday, fueled by concerns that news favorable to stock rallies might have come in disguise. Analysts issued warnings over the weekend on possible post-election volatility in the domestic stock market, saying optimism in the global financial mar

As South Korean companies have recently withdrawn their earlier plans to go public, concerns have been mounting that the lackluster initial public offering market remains exposed to lingering external uncertainties in the fourth quarter.Since October, two companies -- Dreamtech and Plakor -- said in financial statements they would withdraw from IPO plans, citing “the current stock market situation that makes it hard for investors to discover the price of a company.” Dreamtech, an ele