South Korea’s global ranking in the global competitiveness index remained unchanged at No. 26 this year, held back by challenges in the labor and financial sectors, according to a report by the World Economic Forum.While the macroeconomic environment rose to be the world’s second most competitive, the labor market efficiency and financial market development pillars hung at Nos. 73 and 74 among the 137 subject countries.“Korea is one of the few advanced economies that have exper

South Korea's key rate is below neutral levels, a monetary board member said Wednesday, in the latest signal that the country's central bank could move to raise interest rates going forward.Shin In-seok, a member of the BOK monetary policy board, made the assessment in a meeting with reporters, noting that the BOK's monetary policy is accommodative.Earlier this month, BOK Deputy Governor Jeon Seung-cheol also made similar comments at an international conference in Seoul. In August, the BOK

The booming semiconductor sector has veiled the sagging vitality of other major manufacturing industries in Korea, analysts say.The high performance of two local chipmakers -- Samsung Electronics and SK hynix -- has helped boost the country’s exports and corporate profits as a whole. But the overreliance on them causes concerns over the potential damage the Korean economy will suffer when the boom cycle in global demand for semiconductors ends.The country’s semiconductor exports are

The Asia-Pacific region is home to more than 4 billion people, or roughly 60 percent of the entire world population, and 17 megacities. Although these economic hubs have helped lift millions of people out of poverty, the current era of rapid urbanization is leading to the depletion of natural resources, diminishing water quality, increased air pollution and adverse climate change effects, according to a report by Asia-Pacific Urban Forestry Meeting. 　Representatives from 17 countries gathered in

South Korean exports are expected to remain solid in the fourth quarter despite a slowdown in the pace of growth, the country's trade promotion agency said Wednesday. The leading export index for the October-December quarter stood at 59.7, slowing down from 63.9 in the previous quarter, the Korea Trade-Investment Promotion Agency said in a statement. "KOTRA's leading export index declined as Japanese steel and Chinese petrochemicals buyers plan to reduce their import volumes from South

Excess funds held by South Korean households fell in the second quarter of this year from a quarter earlier on increased purchases of new houses, data showed Wednesday.Surplus funds held by households here, including nonprofit organizations, totaled 10.5 trillion won ($9.2 billion) during the April-June period, compared to 14.1 trillion won in the previous quarter, according to preliminary data from the Bank of Korea.The BOK said the decline is blamed on new home purchases. The number of ho

South Korea's tax office said Wednesday that it has launched a second round of investigations on real estate speculators who are suspected of not paying their dues as part of the government's drive to curb price hikes in the local property market.The National Tax Service said it is looking into 302 people who bought and sold lucrative reconstructed apartments in the Gangnam district of Seoul, which has been in the center of the overheated property boom.The agency said it will check all financial

South Korea's national tax office collected a record amount of penalty taxes in 2016 in close cooperation with the intelligence unit of the financial regulator, a lawmaker said Wednesday.Citing data from the National Tax Service, Rep. Park Myung-jae of the main opposition Liberty Korea Party said the tax service collected 2.5 trillion won ($2.2 billion) in back taxes on tips from the Financial Intelligence Unit.The amount was up slightly from the 2.4 trillion won collected the previous year and

Business leaders of South Korea and Japan gathered in Seoul on Tuesday to discuss ways to step up collaboration in the technology and energy sectors, as well as in facilitating multilateral free trade with other Asian nations. About 300 businessmen from major companies attended the meeting hosted by the Korea-Japan Economic Association in downtown Seoul to share views on the next technological revolution and other industrial issues. The Korea-Japan Economic Association held its first meetin

President Moon Jae-in called Tuesday for efforts to craft a new growth strategy based on industrial innovation as one of his administration's key economic policy pillars along with income-led growth and fairness. The new innovation-led growth strategy was first introduced when the president met with US investors and business leaders on the sidelines of the United Nations General Assembly in New York last week."There, I explained that our people-oriented economic policy consisted of three pi

South Korea's national health insurance will provide greater coverage for the treatment of infertility and serious dementia starting in October, the health ministry said Tuesday, which is in line with the government's effort to reduce financial burdens on patients.The Ministry of Health and Welfare said the revision to the relevant law was passed during a Cabinet meeting.Under the revision, patients suffering from serious dementia will only be required to pay 10 percent of medical expenses and t

South Korea will ease regulations on leasing state-owned properties to make better use of neglected public assets, the finance ministry said Tuesday.The Cabinet approved a revised law that allows the government to cut rents on its buildings and land that have not been fully utilized for a long time and to extend leasing contracts by up to 20 years, according to the Ministry of Strategy and Finance. Also, the government will be allowed to impose higher fines on those who occupy state-owned l

South Korea's commerce minister said Tuesday the nation's economic fundamentals remain sound despite North Korea's provocations, and called on foreign enterprises doing business here to increase their investments. Paik Un-gyu, the chief of the Ministry of Trade, Industry and Energy, said in a meeting with local directors of international companies, including Boeing, 3M, IKEA, BMW and Oracle, that there is no need to be overly worried about Pyongyang's latest provocations. The policymaker then ex

South Korea's consumer confidence fell for the second month in a row in September on the North Korea risk and Seoul's row with Beijing over a missile defense system, a central bank poll showed Tuesday.The composite consumer sentiment index for September stood at 107.7, down 2.2 points from the previous month, according to the survey by the Bank of Korea. In August, the index fell 1.3 points from July. A reading above 100 means optimists outnumber pessimists."The issue of North Korea's nucle

The Improper Solicitation and Graft Act has continuously been questioned over the crippling effect it allegedly holds over domestic consumption, but after a year in implementation, its impact on most sectors of the economy turned out to have been limited, according to the latest data.The anti-graft law, often dubbed the Kim Young-ran law after its initiator, did weigh down on upmarket restaurants, floricultural industries and liquor shops but key economic indexes displayed little fluctuation, th