Business - The Korea Times

Biz outlook worsens for Jan. amid inflation, recession woes

This photo shows the Yeouido Business District in Seoul. Korea Times fileKorean's business outlook darkened for January amid worries over high inflation and an economic slump, a central bank poll showed Wednesday.Local companies' business sentiment index (BSI) for December came to 70 for January, down 4 points from what was tallied for the previous month, according to the survey by the Bank of Korea (BOK).The index measures corporate prospects for business conditions the following month. A reading below 100 means pessimists outnumber optimists.Business sentiment worsened as worries are mounting that rising interest rates enforced to fight inflation could excessively cool economic growth.The BSI for manufacturers fell from 69 to 68 over the same period, and the index for non-manufacturing firms was also down from 77 to 72, the data showed.The BSI for large companies dropped from 75 to 71, but the figure for small and medium-sized enterprises rose 2 points on-month to 64 in January.The survey was conducted on 2,776 firms, including 1,639 manufacturers, from Dec. 13-20, the BOK said. (Y

Dec 28, 2022

Biz outlook worsens for Jan. amid inflation, recession woes

2023 calendars issued by banks gain popularity on secondhand market

Shoppers pick out 2023 calendars at a bookstore in downtown Seoul, Dec. 19. YonhapBy Yoon Ja-youngWith the New Year coming, it is time to replace 2022 calendars and diaries with new ones. There used to be plenty of free calendars and diaries around this time of the year, but that isn't the case anymore. Calendars issued by banks, which are especially popular among Koreans, are now hard to obtain and are being traded on the secondhand market.Kwon, a housewife in Busan, visited a bank branch near her home to get a New Year calendar, but instead saw a notice that they had run out of stock. “I went to another bank branch, but they said they only give it to people who have transaction records with their bank. I had to ask one of my friends whose daughter is a bank teller to get me one,” she said.It was customary for companies, diverse organizations and even small businesses here to give out calendars and diaries to customers, business partners or even potential customers. They would put a lot of effort into the production of the calendars. The calendars often feature paintings

Dec 27, 2022By Yoon Ja-young

2023 calendars issued by banks gain popularity on secondhand market

Hana donates electric cars to Seoul's welfare facilities

Hana Financial Group Chairman and CEO Ham Young-joo, right, poses with Seoul Mayor Oh Se-hoon during a ceremony to mark the financial group's donation of electric vehicles to the Seoul Metropolitan Government's welfare facilities, at City Hall in central Seoul, Monday. Courtesy of Hana Financial GroupBy Yi Whan-wooHana Financial Group has donated electric vehicles (EVs) to welfare facilities run by the Seoul Metropolitan Government as part of its environmental, social and corporate governance (ESG) practices, the company announced on Monday. It said it donated a total of 10 EVs, one each to senior centers, women's shelters, disability care centers and other welfare facilities in the nation's capital.The donation was made in line with a three-way deal signed in October among the banking group's non-life insurer Hana Insurance, the Seoul Metropolitan Government and the Seoul Council on Social Welfare to promote the use of eco-friendly transport in the public sector.Hana Financial Group anticipated that the 10 EVs will help reduce greenhouse gas emissions by 15 tons every year, while in

Dec 26, 2022By Yi Whan-woo

Hana donates electric cars to Seoul's welfare facilities

Shinhan hosts women's leadership conference for 5th year

Shinhan Financial Group Chairman Cho Yong-byoung in the front row poses with the firm's female leaders during the group-wide SHeroes Conference at its headquarters in central Seoul, Thursday. Courtesy of Shinhan Financial Group By Yi Whan-wooShinhan Financial Group announced on Friday that it hosted a group-wide women's leadership conference for the fifth year straight in 2022. It said that the SHeroes Conference took place at its headquarters in central Seoul, Thursday, attracting about 100 female leaders from the banking group with the goal of promoting women's empowerment and expanding the networks of the participants.The company came up with “SHeroes,” a combination of the words “she” and “heroes,” in 2018 to integrate more female executives into the male-dominated office culture.The 100 guests included those who have completed a leadership training program run by Shinhan Financial Group over the past three years. This year's program was participated in by 33 pe

Dec 23, 2022By Yi Whan-woo

Shinhan hosts women's leadership conference for 5th year

Woori Bank introduces tailor-made services for foreign customers

By Yi Whan-wooWoori Bank has introduced tailor-made services for foreign customers living in Korea, including exemptions on overseas remittance fees, the lender said Thursday.Woori Bank headquarters in central Seoul / Korea Times fileIt said “Woori Global Package” offers no transaction fees for foreign customers who open new bank accounts, as well as waived remittance fees for wire transfers outside Korea and debit card benefits.“We expect our foreign customers to take better advantage of our banking services,” the lender said, adding 200 new customers will be offered a gift card worth 20,000 won on a first come, first served basis.The lender operates 29 branches that cater to foreign customers.In May, the bank opened five branches nationwide _ Gwanghui-dong, Jung District, in central Seoul, Ansan, Uijeongbu, Baran-ri in Gyeonggi Province and Gimhae in South Gyeongsang Province _ to provide offline banking services on Sundays.Woori Bank's move came despite the continued shortening of operating hours at offline branches in the bank industry, as lenders increasi

Dec 22, 2022By Yi Whan-woo

Woori Bank introduces tailor-made services for foreign customers

Heungkuk Life to raise $178.9 million through rights offering

A woman walks past the headquarters of Heungkuk Life Insurance in Seoul, Nov. 3. YonhapKorean insurer Heungkuk Life Insurance said Wednesday it will raise 230 billion won ($178.9 million) through a rights offering.Heungkuk Life will sell 2.44 million convertible preferred shares to tsis and Tcast, two unlisted affiliates of Taekwang Group, which will invest 200 billion won and 30 billion won, respectively, the insurer said in a regulatory filing.Heungkuk Life is also an affiliate under Taekwang Group. The move is intended to increase capital after Heungkuk Life exercised a Nov. 9 call option for its dollar-denominated perpetual bonds worth $500 million.The buyback came about a week after the insurer jolted the debt market by announcing it will delay exercising the call option due to unfavorable market conditions.Taekwang Group has said it would join the insurer's capital increase as part of efforts to take social responsibility for the recent market chaos.Taekwang Industrial initially tried to take part in the capital increase by the insurer but dropped the plan in the face of critic

Dec 21, 2022

Heungkuk Life to raise $178.9 million through rights offering

Goldman Sachs becomes more pessimistic over Samsung's Q4 operating profit

gettyimagesbankBy Anna J. Park Goldman Sachs has significantly lowered Samsung Electronics' operating profit estimate for the fourth quarter to 5.8 trillion won ($4.5 billion), which is about 25.6 percent down from its previous Q4 estimate of 7.8 trillion won. The projected number is also a 58.3 percent cut from Samsung's operating profit posted in the same quarter last year. The decrease in the estimate mostly stemmed from the forecast of a slashed operating profit in the conglomerate's semiconductor business unit. The global investment bank estimates that Samsung will reap 1.5 trillion won in operating profit in Q4 from its chip-making business, which is a whopping 83 percent drop from the electronics giant's operating profit from the semiconductor unit in the fourth quarter of last year. Goldman Sachs' earnings estimates for Samsung show a clear difference from local brokerage companies, which have projected more optimistic numbers. According to financial data provider FnGuide, local analysts' consensus estimates for Samsung's Q4 operating profit stand at around 7.3 trillion won,

Dec 21, 2022By Anna J. Park

Goldman Sachs becomes more pessimistic over Samsung's Q4 operating profit

Securities firms resume issuing bonds

gettyimagesbankBy Anna J. Park Local brokerage companies have begun issuing corporate bonds, as the country's credit market shows signs of stabilization this month, following a volatile credit crunch crisis over the past few months. With improved investor sentiment and market stabilization, corporate bonds' interest rates also fell back slightly to the five percent range from last month's six percent range. According to the investment banking industry, Meritz Securities issued corporate bonds worth 160 billion won ($124 million) last Friday, with an interest rate of 5.95 percent for 17 months' maturity. The brokerage company's corporate bonds' interest rate fell by 62 basis points in less than a month, since it issued one-year maturity bonds worth 230 billion won at an interest rate of 6.57 percent. The fall of the bonds' interest rates in December, despite a prolonged maturity period of five more months, demonstrates that country's corporate bond market has been stabilized during the past month. Mirae Asset Securities also issued 20 billion won worth of senior bonds last Wednesday w

Dec 21, 2022By Anna J. Park

Shinhan Securities seeks breakthrough via sole leadership

Shinhan Securities headquarters in Seoul / Courtesy of Shinhan SecuritiesBy Lee Min-hyungShinhan Securities CEO Kim Sang-taeShinhan Securities is moving to seek a fresh breakthrough by carrying out a reshuffle of top management.Under the latest decision by Shinhan Financial Group, the securities arm will drop its dual leadership system and introduce a new one headed by a single leader from the beginning of 2023.Shinhan Securities' co-CEO Kim Sang-tae will take on the post as the new sole leader of the brokerage house. His term will end at the end of next year. Kim took office as co-CEO back in March, and has been in charge of the firm's global investment banking operations. The other co-CEO Lee Yung-chang will leave the company after finishing his three-year term.The organizational reshuffle is seen as part of Shinhan's efforts to enhance its competitiveness in the investment banking industry and create a change of atmosphere during a bear market. Kim served as the president of Mirae Asset Securities' investment banking business before moving to the Shinhan subsidiary.“Kim unde

Dec 21, 2022By Lee Min-hyung

Shinhan Securities seeks breakthrough via sole leadership

Shinhan Bank's second-in-command nominated to lead lender

By Yi Whan-wooShinhan Financial Group announced on Tuesday it nominated Han Yong-gu, the deputy president of Shinhan Bank, as the lender's new CEO in the group's major step in leadership changes at its key subsidiaries.Han's nomination comes after Shinhan Financial Group nominated Shinhan Bank CEO Jin Ok-dong as its chairman on Dec. 8.Shinhan Bank CEO nominee Han Yong-gu / Courtesy of Shinhan Financial GroupThe banking group explained that Jin's promotion reflects its efforts to achieve a generational change in leadership to cope with growing uncertainties in the financial market.It said Jin, 61, correspondingly recommended Han, 56, to its management committee to succeed him as the next Shinhan Bank chief.Along with Han, Shinhan Card Deputy President Moon Dong-kwon, 54, and Lee Young-jong, 56, the head of Shinhan Financial Group's retirement pension business, were nominated to lead Shinhan Card and Shinhan Life, respectively.Han, Moon and Lee will begin their two-year terms starting Jan. 1, 2023, if they receive confirmation from both shareholders and board of directors.Shinhan Card

Dec 20, 2022By Yi Whan-woo

Banking & Finance