The move by the US Federal Reserve to reduce its massive asset holdings is expected to increase interest rates in emerging markets as a strong US dollar could spark equities fund outflows, a local think tank said Tuesday. The Fed is widely predicted to begin gradually scaling back the size of $4.5 trillion in Treasury bonds and other bond assets from September, as it has already raised interest rates from record lows set following the 2008 financial crisis. According to a report by local think t

South Korea on Tuesday raised its growth forecast for 2017 by 0.4 percentage point to 3 percent as Asia's fourth-largest economy has been basking in brisk exports led by the global economic recovery. For the next year, the government expects the economy to pull off around 3 percent growth, according to the new economic policy plan endorsed by the Cabinet."In 2017, the economy will likely grow an improved 3 percent on the back of an upturn in exports and investment and fiscal expansion broug

S. Korea's big name exporters have stepped up their lobbying activities in the United States after the Donald Trump administration took office, data showed Tuesday, apparently to smooth out potential trade issues.US Senate Lobbying Disclosure Database showed that tech giant Samsung Electronics spent $1.47 million on lobbying activities in the first half of this year, triple the $490,000 spent in the same period in 2016. The total this year breaks down to $680,000 in the first quarter and $790,00

South Korea suggested the United States carry out a joint study on the economic impact of the Seoul-Washington free trade agreement before starting talks on its amendment, Seoul's trade ministry here said Tuesday."Regarding your request to convene a special session of the Joint Committee under the KORUS FTA, Korea agrees to hold the requested Joint Committee in accordance with the due procedures set in the agreement," Minister of Trade, Industry and Energy Paik Un-gyu said in a letter

Korea's key consumer sentiment index improved for a sixth consecutive month in July to reach more than a six-year high, a central bank survey showed Tuesday, as the economy shows signs of improvement.The composite consumer sentiment index for July came to 111.2, up from 111.1 a month earlier, according to the survey from the Bank of Korea. The July figure marked the highest since January 2011 when the index stood at 111.4.A reading above 100 means optimists outnumber pessimists.Korea's exports h

South Korea plans to repay 3.5 trillion won worth of state bonds next month ahead of their maturity, the finance ministry said Monday.  The government will repay 1.5 trillion won worth of treasury bonds on Aug. 2, 1 trillion won worth of bonds on Aug. 11 and 1 trillion won worth of debt on Aug. 23. The treasury bonds include five-year bonds that will mature in March 2018 and three-year bonds that will mature in June 2018, according to the ministry. (Yonhap)

Korea’s energy policy has made an abrupt turn with changes of government in the past few decades, leaving the country short of securing stable, efficient and environmentally sustainable supply of energy.According to an index released by the World Energy Council last year, it ranked No. 72 and No. 88 out of 125 countries in terms of energy security and environmental sustainability, respectively.In the latest twist to energy policy, which has swung every five years, President Moon Jae-in&rsq

More than half of Korea’s part-time employees are concerned about potential job cuts due to the government’s minimum wage hike starting next year, according to a survey conducted by Albamon, a portal site operated by Job Korea, on Monday. 　The survey of 3,955 part-time workers and 656 employers showed that 72.9 percent of participating part-time workers expressed concerns about the upcoming minimum wage increase, while 90.5 percent of employers said they were concerned. 　Earlier this

People with low income, senior citizens and the self-employed are more reliant on non-banking institutions when taking out loans, exposing themselves to interest rate hikes, an analysis from Korea Institute of Finance showed on Monday.Data showed that 55 percent of household loans last year borne by the bottom 20 percent income group came from non-banking lenders such as savings banks, cooperatives, insurance companies and private lenders. This is much higher than the 34.2 percent average for al

The United States' trade deficit with  Korea is not a result of their bilateral free trade agreement, two experts here have said, dismissing President Donald Trump's push to revise the deal.Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics, and Euijin Jung, a research analyst at the same institution, made the case in a contribution to The Hill last week, saying it "makes no sense" to try to modify the FTA now."Trump sees US bilateral trade d

The ruling Democratic Party of Korea‘s Chairwoman Rep. Choo Mi-ae last week proposed a new tax plan levying higher taxes for the rich and large conglomerates during a finance meeting with the government.

South Korean small and medium-sized enterprises "indirectly exported" over 80 trillion won ($71.5 billion) worth of goods in 2015 by supplying raw materials or intermediate products to local exporters, an industry report showed Sunday. According to the report by the Korea International Trade Association, all production-related materials supplied to exporters, was valued at 170.8 trillion won ($152.6 billion) in the one-year period with SMEs responsible for 82.7 trillion won worth of go

Talks to forge a mega free trade agreement encompassing Asia and Oceania will take place in India this week with countries striving for an early settlement of the accord, the government said Sunday.The Ministry of Trade, Industry and Energy said its chief FTA negotiator Yu Myeong-hui will lead a 60-person team to Hyderabad, India for the Regional Comprehensive Economic Partnership talks that run from Monday through Friday. RCEP involves the Association of Southeast Asian Nations, South Korea, Ja

The size of assets under management by South Korea's state pension fund surpassed the 600 trillion won ($536.2 billion) mark for the first time ever, the government said Sunday. According to the Ministry of Health and Welfare, the total value of funds controlled by the National Pension Service reached 601 trillion won as of Monday, making it the world's third-largest in terms of size after Japan's Government Pension Investment Fund and the Government Pension Fund of Norway. The NPS has over 20 m