BOK makes surprise 2nd rate cut to boost growth

The Bank of Korea slashed the base interest rate for the second consecutive time Thursday, amid heightened uncertainties and slow growth. The cut surprised the market as the local currency has weakened against the dollar in recent weeks. The Bank of Korea’s monetary policy board trimmed the base rate by 25 basis points, bringing it down to 3 percent. Four of the other six monetary policy board members, not including BOK Gov. Rhee Chang-yong, agreed to the rate cut, while the remaining two

Nov. 28, 2024

S. Korean firms reviewing measures in response to Trump's tariff threat on Mexico-made goods

South Korean companies with manufacturing bases in Mexico are reviewing countermeasures in response to US President-elect Donald Trump's plan to impose a 25 percent tariff on imports from Mexico at the start of his second term. Trump announced on social media Monday that he plans to issue an executive order to levy tariffs on goods made in Mexico and Canada on his first day in office, as part of his campaign to incentivize firms to relocate production to the United States. Mexico has long b

Nov. 27, 2024

[India Forum] Herald joins hands with India's FISME to empower SMEs

NEW DELHI -- Herald Media Group has inked an agreement with India's largest organization of micro, small and medium enterprises to promote the exchange and cooperation of Indian and Korean SMEs. Herald Media Group CEO Choi Jin-young and Sandeep Kishore Jain, the president of the Federation of Indian Micro and Small & Medium Enterprises, signed a memorandum of understanding during a business roundtable at Yashobhoomi, a convention and exhibition center in Dwarka, Delhi, on Friday. The

Nov. 26, 2024

[India Forum] KoINDEX offers glimpse into Korea's commitment to India

NEW DELHI -- Indian employees at Korean conglomerates, including LG Electronics, Hyundai Motors and Orion, enthusiastically showcased their new technology and latest products at an industrial exhibition commemorating the 51st anniversary of diplomatic ties between Korea and India. KoINDEX, with G-FAIR 2024, gathered more than 600 exhibitors with over 3,000 booths from India and Korea to create new business opportunities at the Yashobhoomi convention center in Delhi, India, from Nov. 21-23. LG El

Nov. 26, 2024

[India Forum] Korea, India seek to maximize synergy at Delhi business forum

NEW DELHI -- South Korea and India have significant untapped potential for developing trade and economic cooperation in a wide range of areas, experts said at a forum in India on Friday. To commemorate the 51st anniversary of diplomatic relations between Korea and India, the Korea-India Business Partnership Forum took place at Yashobhoomi in New Delhi, with more than 600 government officials, business leaders, and cultural and artistic figures from both countries in attendance. A complementary m

Nov. 26, 2024

Kakao Bank aims to boost customer base, non-interest income

Top online lender Kakao Bank said Tuesday that it aims to further jack up its customer base, thus achieving 100 trillion won ($71 billion) in assets by 2027. The internet-only bank said it also plans to boost the portion of its non-interest income to 40 percent of its operating income by 2027 via mergers and investments. As of end-September, its number of customers stood at 24.43 million, up 2.15 million from a year earlier. It aims to achieve 30 million customers by 2027. Its assets stood at 62

Nov. 26, 2024

Business sentiment for December pessimistic over external risks, weak demand

South Korea's business sentiment index remained pessimistic for December due to concerns of weak domestic demand and external risks, a poll showed Tuesday. The business survey index (BSI) for the country's top 600 companies by sales stood at 97.3 for next month, according to the monthly poll by the Federation of Korean Industries. A reading below 100 means pessimists outnumber optimists, while a figure above the benchmark means the opposite. The index has remained below 100 for 33 cons

Nov. 26, 2024

Insurance firms' Jan.-Sept. net rises 13 pct on increased sales, investment returns

Insurance companies in South Korea saw their combined net profit surge 13 percent in the first nine months of the year on the back of increased sales and investment returns, data showed Tuesday. The combined net profit of 22 life insurers and 31 non-life insurance companies in the country came to 13.4 trillion won ($9.53 billion) in the January-September period, up 1.56 trillion won, or 13.2 percent, from the same period last year, according to the data from the Financial Supervisory Service. Th

Nov. 26, 2024

Consumer sentiment falls in Nov. on slowing export growth, Trump uncertainty

South Korea's consumer sentiment fell in November as concerns have risen over slowing exports and uncertainties stemming from expected policy changes of the new Donald Trump administration, a central bank poll showed Tuesday. The composite consumer sentiment index stood at 100.7 this month, down from the previous month's 101.7, according to the survey conducted by the Bank of Korea (BOK). A reading above 100 means optimists outnumber pessimists. As for inflation, ordinary people expect

Nov. 26, 2024

Korean banks head to CES amid AI push

South Korean banks will head to Las Vegas next January for CES 2025, with some set to showcase their latest artificial intelligence-driven financial technologies at the world’s largest consumer electronics event. Among the participants will be Shinhan Bank, returning for a third consecutive year to host its own booth at the global expo. This year, the bank will highlight two of its newest innovations -- "AI Investment Mate" and "AI Branch." "AI Investment Mate,&quo

Nov. 25, 2024

S. Korean business presence in China fading amid local competition, weakened sales

The business presence of South Korean companies in China has withered palpably in recent years amid toughened competition from local rivals and sluggish domestic demand in the neighboring country, industry watchers said Monday. In September, LG Display Co. sold its liquid-crystal display (LCD) factory in China's Guangzhou to a local company for around 2 trillion won ($1.43 billion), effectively ending China operations of South Korean LCD manufacturers following a similar move by industry

Nov. 25, 2024

S. Korean, Japanese biz chambers agree to strengthen energy, supply chain ties

The Korea Chamber of Commerce and Industry, a major South Korean business lobby, held a meeting with its Japanese counterpart on Monday and agreed to strengthen ties in areas of energy, supply chains, and advanced technologies. According to the KCCI, the 13th meeting of the business chamber leaderships of South Korea and Japan was held in Osaka in collaboration with the Japan Chamber of Commerce and Industry. Their last meeting took place in Busan, South Korea, in June 2023. The South Korean sid

Nov. 25, 2024

Govt. hosts roundtable with S. Korean firms in Vietnam on US trade policy

The trade ministry hosted a roundtable with South Korean businesses operating in Vietnam on Monday to discuss strategies for addressing potential changes in US trade policies under the incoming administration. The meeting, held in Seoul, came amid potential shifts under the second Donald Trump administration, including the implementation of blanket tariffs on all imports, which are expected to impact South Korean firms operating overseas as well, according to the Ministry of Trade, Industry and

Nov. 25, 2024

Job creation lowest on record among under-30s

The number of newly hired workers in their teens and 20s marked the lowest figure since an official tally has been kept since 2018, a government data showed Sunday. A total of 1.45 million new hires among people under the age of 30 occurred in the second quarter of this year, down 8.6 percent from 1.59 million in the same quarter in last year, according to the Korean Statistical Information Service data by the Statistics Korea. The number of existing jobs held by the same worker for Q2 marked

Nov. 24, 2024

Insurance firms' lending down sharply in Q3

Loans extended by insurance companies in South Korea decreased sharply in the third quarter from a year earlier amid high interest rates and tightened lending rules, data showed Friday. Insurers' outstanding loans reached 266.9 trillion won ($191.4 billion) as of the end of September, down 6.4 trillion won from a year earlier, according to data from the Financial Supervisory Service. The figure also marks a 0.5 trillion-won decline from three months earlier. The on-year decrease was attri

Nov. 22, 2024

S. Korean steelmakers call for thorough scenario-based strategies for Trump policy

South Korean steelmakers on Friday called for establishing a joint consultative body with the government to devise strategies for expected policy changes by the Donald Trump administration, the industry ministry said. Officials from major steelmakers, including Posco and Hyundai Steel, made the call during a meeting with Industry Minister Ahn Duk-geun in Seoul, where they discussed potential impacts of new policy measures by the upcoming US government and their responses, according to the Mini

Nov. 22, 2024

KEC makes inroads into Europe with massive Turkey highway project

Korea Expressway Corporation is making progress on its largest overseas project to date, a highway in Turkey that could serve as a gateway for expanding its expertise into Europe and beyond. The company celebrated a key milestone last month by signing a financial agreement for the Nakkas-Basaksehir Motorway in Istanbul. The expressway, at 2.1 trillion won (about $1.5 billion), is part of Turkey’s ambitious efforts to improve regional transportation. A critical link in Turkey’s high

Nov. 21, 2024

[Herald Interview] Korea Expressway CEO leads push to export Korean road expertise globally

Faced with a slowdown in South Korea’s domestic construction market, Korea Expressway Corp. is looking overseas to fuel its future growth. In a conversation with The Korea Herald, CEO Ham Jin-gyu outlined how the state-run organization is expanding into international markets to meet the growing demand for road infrastructure expertise, from construction to long-term operation and maintenance. “For us, overseas business is not just an option -- it’s a necessity,” Ham said.

Nov. 21, 2024

Exports increase 5.8% in Nov. 1-20 period

South Korea's exports increased 5.8 percent on-year in the first 20 days of November, data showed Thursday. Outbound shipments reached $35.6 billion in the Nov. 1-20 period, compared with $33.8 billion tallied a year earlier, according to the data from the Korea Customs Service. Imports shed 1 percent on-year to $34.8 billion during the period, resulting in a trade surplus of $800 million, the data showed. In October, exports rose 4.6 percent on-year to $57.5 billion, the 13th straight mont

Nov. 21, 2024

IMF lowers Korea's 2025 growth outlook to 2%

The International Monetary Fund on Wednesday lowered its economic growth forecast for South Korea to 2 percent next year, down from 2.2 percent projected in October, citing high uncertainties and weak domestic demand. The announcement came after a team of IMF officials led by Korea mission chief Rahul Anand made a two-week visit to Seoul for an annual country meeting with the finance ministry, the Bank of Korea and other institutions to discuss the country's economic policy measures. "

Nov. 20, 2024