my timesThe Korea Times
lhj

Lee Hyo-jin

Korea Times Finance Reporter

Lee Hyo-jin covers the Bank of Korea, the banking industry and broader financial news. Her previous beats include foreign affairs, North Korea and general reporting on Korean society.

Go to Email

Read more

Economy

KOSPI races toward 8,000 as chip gains outweigh Iran fears

Korea's benchmark KOSPI extended its record-breaking rally, Monday, moving closer to the 8,000-point milestone as gains in heavyweight semiconductor shares outweighed lingering concerns over Middle East tensions. The KOSPI opened at 7,775.31, up 3.7 percent from the previous session, and quickly breached the 7,800 level after the opening bell. It maintained its upward momentum throughout the session and closed at 7,822.24, up 324.24 points, or 4.32 percent, marking a fresh record-high closing figure. The benchmark index has posted gains for five straight trading sessions, bringing the 8,000-point threshold increasingly into view. Market heavyweights led the rally. Chip giants SK hynix and Samsung Electronics closed at 1.88 million won ($1,278) and 285,500 won, respectively, both hitting fresh highs. Amid the sharp rally, a sidecar was triggered at 9:30 a.m., according to the Korea Exchange. The measure is activated when KOSPI 200 futures rise 5 percent or more from the reference price and remain at that level for at least one minute, suspending program buy orders for five minutes. The com

May 11, 2026By Lee Hyo-jin
KOSPI races toward 8,000 as chip gains outweigh Iran fears
Economy

Korea faces dilemma over prolonged fuel price cap

The Korean government is facing a dilemma over its oil price cap system, as extending the measure raises concerns about market distortions and mounting fiscal burdens, while removing it too abruptly could fuel inflation. The Ministry of Trade, Industry and Energy on Thursday froze fuel price ceilings for a fourth consecutive round to curb a surge in domestic fuel prices triggered by the conflict in the Middle East. Under the system introduced in March, the government adjusts maximum wholesale prices supplied by refiners to gas stations and distributors every two weeks in line with global oil price movements, in an effort to ease the financial burden on drivers and industries. Following the latest decision, wholesale prices will remain capped at 1,934 won ($1.30) per liter for gasoline, 1,923 won for diesel and 1,530 won for kerosene for the next two weeks. Yet the prolonged price controls are becoming an increasing fiscal burden, as the government said it would compensate refiners for the loss caused by the gap between international crude prices and regulated domestic wholesale prices. Th

May 8, 2026By Lee Hyo-jin
Korea faces dilemma over prolonged fuel price cap
Economy

Chip boom drives Korea to largest-ever current account surplus in March

Korea posted its largest-ever monthly current account surplus in March, driven by a sharp rise in semiconductor exports amid strong global demand for artificial intelligence (AI)-related chips, central bank data showed Friday. According to preliminary data from the Bank of Korea (BOK), the country's current account surplus reached $37.33 billion in March. That figure surpassed the previous monthly record of $23.19 billion posted in February and marked Korea's 35th consecutive month of current account surplus, the second-longest streak since the 2000s. The goods account surplus hit a record $35.07 billion, more than tripling from $9.69 billion a year earlier, as exports surged 56.9 percent from a year earlier to a record $94.32 billion. Imports rose 17.4 percent to $59.24 billion. Strong growth in semiconductors and information technology products continued, while exports of petroleum products, chemical goods and automobiles also returned to growth. By product, exports of computer peripherals soared 167.5 percent, while semiconductors jumped 149.8 percent. Exports of wireless communication

May 8, 2026By Lee Hyo-jin
Chip boom drives Korea to largest-ever current account surplus in March
Banking & Finance

Gov't reviews credit scoring system to widen access for low-credit borrowers

The government is reviewing possible changes to the credit scoring system aimed at expanding access to financing for low- and middle-credit borrowers, according to the Financial Services Commission (FSC) on Thursday. The financial regulator said discussions are underway as part of broader efforts to strengthen the Lee Jae Myung administration's inclusive finance agenda. "We are discussing various measures to promote inclusive finance in a broader sense. The focus is on improving long-standing practices in the lending market toward a more inclusive direction," an FSC official said, noting that no concrete measures have been decided yet. The review comes a day after the president questioned whether regulators were relying too heavily on the voluntary efforts of financial institutions to support lower-credit borrowers. "Is there no way to evaluate how much inclusive financing lenders have provided to middle- and low-credit borrowers and impose disadvantages if they fall short of expectations?” Lee asked FSC Chairman Lee Eog-weon during a Cabinet meeting. Saying the current system relies to

May 7, 2026By Lee Hyo-jin
Gov't reviews credit scoring system to widen access for low-credit borrowers
Economy

Why stock wealth effect on consumption is weaker in Korea than in US, Europe

Stock market gains in Korea lead to less consumer spending than in the United States and Europe, largely because local households tend to use investment returns to purchase homes rather than spend on goods and services, a central bank report showed Thursday. According to a Bank of Korea (BOK) report on the wealth effect of stock market gains, only about 1.3 percent of capital gains from rising stock prices are spent on consumption in Korea, far below the 3 to 4 percent wealth effect typically seen in advanced Western economies. Based on household panel data covering 2012 to 2024, the BOK estimated that a 10,000 won ($7) increase in stock value leads to just 130 won in additional household spending. One reason for the weaker wealth effect is the relatively small role those equities play in household wealth compared with Western economies. Stock assets amounted to 77 percent of disposable income in Korea last year, sharply lower than 256 percent in the U.S. and 184 percent in major European countries, the report said. Another factor is retail investors' tendency to reinvest stock gains into

May 7, 2026By Lee Hyo-jin
Why stock wealth effect on consumption is weaker in Korea than in US, Europe
Economy

What's next for Korea's housing market after tax break for multi-home owners ends?

With a temporary tax break for multi-home owners set to expire, attention is now turning to whether the Lee Jae Myung administration's real estate policies will be able to stabilize Korea's overheated housing market going forward, according to market analysts Wednesday. The issue sits at the heart of the Lee administration's push to rein in soaring home prices as part of what it calls the "normalization" of the housing market. One of the key measures will take effect starting Saturday, when a temporary tax benefit expires, restoring steep capital gains taxes on owners of multiple properties. The move could impose an effective tax rate of up to 82.5 percent on home sales, depending on the number of properties owned — a sharp increase from the current 6 to 45 percent range. In principle, sellers must complete contracts and payments ahead of the Saturday deadline to avoid the tax hike, though the government has introduced limited grace periods for transactions already in process. While government officials insist that ending the capital gains tax exemption would encourage multi-home owner

May 7, 2026By Lee Hyo-jin
What's next for Korea's housing market after tax break for multi-home owners ends?
Economy

President criticizes banks' 'profit-first' mindset, calls for stronger public role

President Lee Jae Myung criticized financial institutions for prioritizing profits over their public responsibility, Wednesday, in the latest sign that the government may seek a bigger role in reshaping the country's financial system. "Financial institutions are also part of the state order necessary to maintain the financial system," Lee said during a Cabinet meeting. "They differ from other private companies because they generate profits by lending funds supported through the central bank and state-backed financial systems." "It is problematic in itself for financial institutions to think that making money is everything, or that it is their reason for existence," the president added, stressing that inclusive finance is a key obligation of the banking industry. Lee made the remarks while referring to a series of recent Facebook posts by Kim Yong-beom, presidential chief of staff for policy, who argued that Korea's financial system has become structurally biased against low-credit borrowers. In the posts, Kim said the current system effectively pushes low-credit and middle-credit borrowe

May 6, 2026By Lee Hyo-jin
President criticizes banks' 'profit-first' mindset, calls for stronger public role
Banking & Finance

Korea Eximbank forges strategic partnership with Uzbek ministry

The Export-Import Bank of Korea (Korea Eximbank) signed a memorandum of understanding (MOU) with Uzbekistan's investment ministry to establish a strategic partnership, the state-run lender said Tuesday. The signing ceremony took place Sunday in Samarkand, on the sidelines of the annual meeting of the Asian Development Bank. Under the agreement, the two sides will expand cooperation in industrial development and strengthen information sharing to help stabilize supply chains. The partnership will also cover investments in energy transition and green infrastructure, as well as collaboration in artificial intelligence (AI) technologies. The MOU follows an agreement reached last December between the two countries' deputy prime ministers for economic affairs. The signing ceremony was attended by Finance Minister Koo Yun-cheol and Eximbank CEO Hwang Ki-yeon. Uzbek officials in attendance included Deputy Prime Minister Khodjaev Jamshid Abdukhakimovich, Finance Minister Kuchkarov Djamshid Anvarovich and Deputy Minister of Investment, Industry and Trade Gulamov Shokhrukh Khasanovich. Eximbank said

May 5, 2026By Lee Hyo-jin
Korea Eximbank forges strategic partnership with Uzbek ministry
Banking & Finance

Parents skeptical about gov't decision to allow credit cards for minors

The government’s decision to allow the issuance of credit cards to minors aged 12 and older has drawn skepticism from parents Tuesday, with some raising concerns about early exposure to overspending and the potential for delinquency. Credit cards had previously been limited to adults aged 19 and older, but the minimum eligibility age was lowered through a revision to the enforcement decree of the Specialized Credit Finance Business Act, which took effect Monday. A woman in her 40s surnamed Kim, who lives in Seoul’s Gangseo District and has a 13-year-old daughter, expressed doubts about the move, questioning whether a credit card is necessary when her child already has a debit card. Her daughter currently uses KakaoBank's "mini card," a debit card designed for teenagers, through which she receives a monthly allowance of 100,000 won ($67). "I don't see the need for a credit card, since it's ultimately a system where I have to pay for what my daughter spends," she said. "It feels like a policy designed to benefit card companies. If misused, it could lead to delinquencies or other side e

May 5, 2026By Lee Hyo-jin
Parents skeptical about gov't decision to allow credit cards for minors
Banking & Finance

Korea Eximbank sets up $500 mil. critical minerals supply chain alliance with ADB

The Export-Import Bank of Korea (Korea Eximbank) has signed a $500 million (735 billion won) financing agreement with the Asian Development Bank (ADB) to support critical minerals projects in developing countries, the state-run lender said Monday. The agreement was signed by Korea Eximbank CEO Hwang Ki-yeon and ADB President Masato Kanda the previous day in Samarkand, Uzbekistan, on the sidelines of the ADB's annual meeting. Under the deal, Eximbank will participate in a newly established ADB-led financing platform called the Critical Minerals-to-Manufacturing Financing Partnership Facility (CMM FPF), aimed at strengthening critical minerals supply chains across Asia and the Pacific. Eximbank plans to commit up to $500 million by 2029 through its supply chain stabilization fund, using a mix of loans, guarantees and investments. ADB aims to scale up the overall financing pool to between $2 billion and $3 billion. The two institutions will jointly identify promising critical minerals projects in developing countries and provide cofinancing across the value chain, including exploration, ext

May 4, 2026By Lee Hyo-jin
Korea Eximbank sets up $500 mil. critical minerals supply chain alliance with ADB
previous page
910111213
next page

Top 5 stories

Korea Times
About Us
Introduction
History
Contact Us
Products & Services
Subscribe
E-paper
RSS Service
Content Sales
Site Map
Policy
Code of Ethics
Ombudsman
Privacy Policy
Youth Protection Policy
Terms of Service
Copyright Policy
Family Site
Hankookilbo
Dongwha Group
FacebookXYoutubeInstagram
CEO & Publisher: Oh Young-jinDigital News Email: webmaster@koreatimes.co.krTel: 02-724-2114Online newspaper registration No: 서울,아52844Date of registration: 2020.02.05Masthead: The Korea TimesCopyright © koreatimes.co.kr. All rights reserved.