SEJONG -- South Korea suffered a “triple” decline in industrial output, consumption and investment in April amid expanded economic uncertainty from global inflationary pressure and a glitch in supply, state data showed Tuesday. According to Statistics Korea, industrial output decreased by 0.7 percent in April on-month, private consumption (also called retail sales) by 0.2 percent and facilities investment by 7.5 percent. This marked the first simultaneous decline in the three secto

With constant rate hikes, jeonse might disappear in 20-30 years

South Korea's industrial output, consumption and investment declined together for the first time in over two years in April in the latest sign that economic recovery momentum remains fragile, data showed Tuesday. Industrial production fell 0.7 percent in April from the previous month, compared with a 1.6 percent on-month rise in March, according to the data from Statistics Korea. Compared with a year earlier, industrial output grew 4.5 percent. Retail sales, a gauge of private spending, fel

Finance Ministry unveils W3tr plan to ‘stabilize’ livelihoods, two days before local elections

The finance ministry on Monday unveiled a set of measures to curb inflation and stabilize people's living conditions, including the removal of import duties on key foodstuffs, amid concerns that mounting price pressure could hamper economic growth. Under the measures, the government plans to lift import tariffs on seven key food ingredients, such as cooking oil, pork and flour, until the end of this year. The government will cut value-added taxes on imports of coffee and cocoa beans until 2

The amount of electricity generated from renewable energy in South Korea touched an all-time high in 2021 on government efforts to cut greenhouse gas emissions, data showed Monday. Electricity produced from renewable energy sources came to 43,085 gigawatt hours last year, accounting for 7.5 percent of the country's total power generation, according to the state-run Korea Electric Power Corp. The ratio was three times higher than that a decade ago. It marked the first time for the share to s

The government will provide more subsidies to cargo truck drivers and others using diesel vehicles as part of efforts to ease their burden from rising fuel costs, the transport ministry said Monday. The average retail price of diesel in South Korea soared to over 2,000 won ($1.59) per liter last week, up from around 1,364 won in January, due to tight supply caused by the war in Ukraine. It also outstripped gasoline prices for the first time in 14 years. Under the revision to oil subsidy regulati

Self-employed workers will likely bear the brunt of the Bank of Korea’s rate hike on Thursday, the fifth raise since August last year from the central bank’s record low of 0.5 percent amid persistent inflation, a credit ratings agency said Friday in a report. The self-employed in 2020 spent 46 percent of their annual income amid falling earnings to settle debt while households used 34 percent on average to do the same, according to Korea Investors Service. 

SEJONG -- The nation’s fiscal chief has expressed his willingness to enact drastic deregulations and introduce innovations into the financial services sector during the Yoon Suk-yeol administration. Deputy Prime Minister and Finance Minister Choo Kyung-ho said Friday that the government “would eliminate unnecessary and excessive regulations in the financial sector drastically, with the exception of (regulations) for financial soundness and protection of (financial) consumers.”

South Korea’s annual inflation projected to see sharpest growth in nearly 14 years

South Korea plans to announce a set of measures to tame inflationary pressure and stabilize people's livelihoods next week amid the prospect that the growth of consumer prices could top 5 percent, a senior government official said Thursday. The country faces the urgency to stabilize prices of food and other items closely linked to people's lives, according to First Vice Finance Minister Bang Ki-sun. "Some experts forecast consumer inflation could exceed 5 percent in May, accelerat

The Yoon Suk-yeol government is considering extending mortgage loan maturity terms for newlyweds and young Koreans aged 19-39 as part of efforts to follow through on a pledge to help young people acquire their homes, amid runaway housing prices in the Seoul metropolitan area. Under the new plan, young people would be able to repay their loan over 50 years, instead of 40 years, the longest repayment period currently offered to newlyweds and Koreans in that age group. “The 50-year loan sc

South Korea, the United States and 16 other countries on Wednesday launched an association meant to boost cooperation in the development of the hydrogen industry, Seoul's industry ministry said. The member countries of the Global Hydrogen Industrial Association Alliance shared the current status of their hydrogen industry and related policy measures at an inaugural meeting at a Seoul hotel. The South Korea-led alliance will set up a network and data hub in the hydrogen field to boost cooper

South Korea's consumption of gasoline and diesel sank more than 18 percent in April from a year earlier due to high international crude prices, data showed Wednesday. Asia's fourth-largest economy consumed a combined 17.4 million barrels of gas and diesel last month, down 18.3 percent from a year earlier, according to the data from the state-run Korea National Oil Corp. It was also down 5.8 percent from 18.4 million barrels the previous month. Gasoline and diesel consumption had been o

South Korean households’ outlook for inflation in the next 12 months rose this month to the highest level in nine years and seven months, according to a Bank of Korea survey released Tuesday ahead of its rate decision Thursday. Survey respondents forecast inflation to average 3.3 percent, up from the previous record high of 3.1 percent in April. In a monthly survey of 2,500 households conducted May 10-17, the BOK said consumers have braced for higher borrowing costs ahead, wit