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Lee Kyung-min

Korea Times AI content 2 team Reporter

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Economy

Sanctions push N. Korean economy to brink

Hanoi summit reveals hardship of Kim regimeBy Lee Kyung-min International sanctions have pushed North Korea to the edge of economic collapse, with its trade deficit with China hitting a record high due to a plunge in exports and imports, according to analysts. They said Pyongyang's failed yet consistent demands during the second U.S.-North Korea summit that sanctions be partially lifted is a strong indication of how dire its economic situation is.The view came after the Feb. 27 summit was cut short as neither side was willing to compromise. The North demanded some sanctions be lifted first and foremost prior to denuclearization, while the U.S. said the reclusive regime should take more concrete steps toward nuclear disarmament. “Looking at China's January trade data, it is clear that North Korea's exports remain at rock bottom and that imports also are very weak and probably falling, as North Korea doesn't have the hard cash to buy anything of an investment nature,“ William Brown, adjunct professor at Georgetown School of Foreign Service, told The Korea Times. “Some

Mar 4, 2019By Lee Kyung-min
Sanctions push N. Korean economy to brink
Economy

Japan overtakes Korea in FDI in Vietnam

By Lee Kyung-min Japan retained the number one spot in the 2018 foreign investors' list in Vietnam, routing Korea for two consecutive years, data showed Sunday. According to the National Assembly Budget Office, Japan's foreign direct investment (FDI) in Vietnam reached $8.6 billion (9.6 trillion won) last year, accounting for 24.2 percent of the Southeast Asian nation's total FDI.The figure is well above Korea's FDI in Vietnam of $7.2 billion, which captured 20.3 percent.The 2018 data indicates that the gap between the two neighboring nations in FDI has been widening. In 2017, Japan accounted for 25.4 percent of the total FDI in Vietnam, compared to Korea's 23.7 percent.Japan's increased investment in Vietnam over the past two years is part of efforts to reduce its heavy reliance on Thailand, thereby diversifying its overseas market base. Tokyo, which has been the largest foreign investor of Thailand for the past decade, is seeking to establish another manufacturing base in another country to enhance risk management. The move is expected to prompt Korea to come up with a correspondin

Mar 4, 2019By Lee Kyung-min
Japan overtakes Korea in FDI in Vietnam
Economy

Insurers seek to embrace internet-only bank

By Lee Kyung-min Two of Korea's major insurance companies are showing keen interest in joining the ongoing competition to operate the country's third internet-only bank, in a move to capitalize on new opportunities created by the new digital entity. The move pursued mostly in the form of equity investment is part of efforts to find new subscribers in their 20s and 30s through the digital platform, to diversify the source of profits amid a market currently nearing saturation. Kyobo Life Insuance is the second-largest life insurer and Hyundai Marine and Fire Insurance is the third-largest non-life insurer. “We are open to various ways to expand the firm's business including buying shares in a consortium that has already declared a bid to seek preliminary approval with the financial authorities,” a Kyobo official said.“Nothing has been determined yet. More specifics and particulars will be made public later.”Similarly, Hyundai is mulling joining the consortium led by Shinhan Financial Group.Shinhan said Feb. 11 that it will form a consortium with Viva Republica,

Feb 28, 2019By Lee Kyung-min
Insurers seek to embrace internet-only bank
Economy

Yuanta Securities Korea makes strong comeback in 2018

By Lee Kyung-min Yuanta Securities Korea has been in the spotlight after posting its largest earnings in 10 years on the back of a balanced business portfolio. The brokerage house posted a net income of 104.7 billion won ($92 million) in 2018, the most since the firm changed its name from Tongyang Securities in October 2014.The figure is a 48 percent increase from the previous year's 70.7 billion won. The growth pace is the fastest among those with over 1 trillion won in their own capital. It is also comparable to that in 2009 when its predecessor Tongyang logged a record-high net income of 182 billion won when the firm's performance was at its peak. A balanced business portfolio with equally divided priority on retail, investment banking, and sales and trading helped generate profit, the firm said.“Our retail businesses continued tight management in 66 branches nationwide providing customers with timely investment consultation, mostly concerning market sentiment and prospect of market fluctuation including volatility and other external shocks,” a Yuanta Securities offici

Feb 27, 2019By Lee Kyung-min
Yuanta Securities Korea makes strong comeback in 2018
Others

KDB in Indonesia

Korea Development Bank (KDB) Vice Chairman Sung Joo-yung, fourth from right, and Korean Ambassador to Indonesia Kim Chang-beom, third from right, cut a cake with guests during an opening ceremony for a KDB branch at the Hotel Mulia Senayan in Jakarta, Indonesia, Feb. 26. The state-run lender aims to expand its presence in the Southeast Asian country to support the Korean government's New Southern Policy. Courtesy of KDB

Feb 27, 2019By Lee Kyung-min
KDB in Indonesia
Others

Volunteer in Myanmar

Korean Ambassador to Myanmar Lee Sang-hwa, front row eighth from left, raises his fist with officials from Shinhan Bank, Seoul National University and Yangon Children's Hospital at the hospital's camp site in Myanmar, Feb. 15, after their joint global surgery fellowship program, which took place from Feb. 12 to 17 to transfer medical knowledge. Courtesy of Shinhan Bank

Feb 25, 2019By Lee Kyung-min
Volunteer in Myanmar
Others

Data policy for customs

Korea Customs Service (KCS) Commissioner Kim Yung-moon, third from left in the sitting row, and senior customs officials from over 20 countries pose at an Asia-Pacific high-level regional seminar on data policy for customs in Incheon, Feb. 25. At the seminar hosted by the KCS, they discussed various issues, including exports of Korea's customs clearance system known as UNI-PASS. / Courtesy of KCS

Feb 25, 2019By Lee Kyung-min
Data policy for customs
Economy

Is Google too big to be taxed?

Finance ministry hit for being too easy on global tech giantsBy Lee Kyung-min The Ministry of Economy and Finance has been slammed for not holding global tech giants to the same taxation standards Korean firms are subject to.The backlash came after the finance ministry announced Feb. 14 that it has no immediate plans to revise the corporate tax code to impose heavier taxes on IT giants, such as Google, Apple, Facebook and Amazon.The passive stance came amid fierce criticism against the ministry after earlier media reports that Apple's French operation reached a deal with France to pay an undeclared amount of back tax. French media estimated the amount at around 500 million euros (636 billion won). The incident was widely seen as a victory for the French governments against one of the tech multinationals in requiring it pay a fair share in the local market. “The ministry is simply helpless,” said Ahn Jeong-sang, a policy adviser for the National Assembly Science ICT, Broadcasting and Communications Committee.“Given that the finance ministry is repeating the same thin

Feb 25, 2019By Lee Kyung-min
Is Google too big to be taxed?
Economy

What is so special about Toss?

GettyimagesbankBy Lee Kyung-min Toss, a popular money transfer app, is drawing attention as its operator Viva Republica has formed an alliance with Shinhan Financial Group to launch a third internet-only bank.Shinhan is currently the nation's top financial group by total assets and net profits. Other tech startups, including car rental app operator SoCar and mobile realtor app operator Dabang, are also set to join the consortiumThe Toss-Shinhan consortium is considered a strong contender for one of two internet bank licenses to be issued by the Financial Services Commission in May.?Market experts said major financial groups are attracted to the fintech startup Viva Republica because it can bring meaningful changes not only to the market but also to big players.They said the key factor behind Toss' popularity is its continued innovation to boost user convenience by identifying their core needs. Suh Jeong-ho, head of digital finance research center at Korea Institute of Finance, said the fintech firm entering the financial industry as a new market player is a meaningful developmen

Feb 22, 2019By Lee Kyung-min
What is so special about Toss?
Economy

KB Capital to enter car financing market in Indonesia

KB Capital CEO Hwang Soo-nam―KB Financial Group seeks overseas biz expansion―By Lee Kyung-min KB Capital, a car lease and rental services affiliate of KB Financial Group, has signed a deal to acquire an 85 percent stake in Sunindo Parama Finance, a car lease financing unit under Sun Motor Group, a leading automotive dealer in Indonesia, the company said Friday. The acquisition is part of a continued push by KB Financial to expand its presence in the Southeast Asian country.Following the deal, KB Capital will provide lease and financing services for cars sold by Sun Motor Group there. Upon acquisition, the firm will seek to expand lease and long-term financing programs to include not only new cars but also used cars, rental cars and other high-price commodities. In order for the firm to better settle there, KB Financial will seek cooperation from its established business channels there including Bank Bukopin and a corporate entity of KB Insurance. KB acquired a 22 percent stake Bank Bukopin and became its second-largest shareholder in July 2018. The entrance into the Southeast Asian c

Feb 22, 2019By Lee Kyung-min
KB Capital to enter car financing market in Indonesia
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