Business - The Korea Times

NongHyup Bank introduces blockchain system for CBDC

NongHyup Bank headquarters in Seoul / YonhapBy Lee Min-hyungNongHyup Bank started work on a blockchain system to deal with the introduction of a central bank digital currency (CBDC), the lender said Monday.The bank plans to build the blockchain-powered platform, so it can play a proactive role after the Bank of Korea (BOK) introduces its own CBDC sometime in the near future. Under the platform, NongHyup will test whether it can help circulate the CBDC and enable transactions made with the digital currency.For the establishment of the digital platform, the bank has teamed up with LG CNS. The bank is also scheduled to launch an electronic wallet service soon.The pilot test will also be carried out on a broad scale by encompassing emerging blockchain-related areas such as non-fungible tokens and stablecoins, according to the bank. “Establishing the system is one of our key strategies for digital transformation,” NongHyup Bank Vice President Lee Sang-rae said. “We are going to keep expanding our digital finance infrastructure, so we can meet the demands of customers fro

Apr 11, 2022By Lee Min-hyung

NongHyup Bank introduces blockchain system for CBDC

Lotte Card's solid growth draws interest from would-be buyers

Lotte Card headquarters in central Seoul / Courtesy of Lotte CardBy Anna J. Park As Lotte Card has been posting impressive growth and annual earnings over the past couple of years, market rumors about its possible M&As have continued to spread in the investment banking industry lately.However, MBK Partners, the largest shareholder of the card company since 2019, has denied the rumors that it is considering its sale. Rather, the private equity firm stressed that it is more focused on Lotte Card's successful digital transformation than ever.“Actually, MBK Partners hasn't yet considered the sale of Lotte Card on the M&A market for the time being. Also, it's not true that any proceedings or negotiations are currently ongoing regarding the sell-off of the card company,” an official from the private equity firm told The Korea Times. “With Lotte Card's solid growth and earnings, MBK Partners is now placing its priority in supporting the card company's ongoing digital transformation process, aiming to successfully turn it into a digital financial platform,” th

Apr 11, 2022By Anna J. Park

Lotte Card's solid growth draws interest from would-be buyers

Eximbank reaches out to Australian firms to boost cooperation in energy, minerals

Export-Import Bank of Korea (Eximbank) CEO Bang Moon-kyu, left, shakes hands with Minister for Economic Development Tim Pallas of the Australian state of Victoria during his visit to Australia last week. Courtesy of EximbankBy Yi Whan-wooThe Export-Import Bank of Korea (Eximbank) is reaching out to major Australian energy and mining companies to provide Korea with a stable supply of resources as well as more financing opportunities in the Indo-Pacific region.The state-run bank said Monday its CEO Bang Moon-kyu met executives of Santos, Australia's leading oil and gas producer, last week. They discussed ways to bolster a development project involving Santos and SK E&S, an energy subsidiary of SK Group, in the Barossa gas field off Australia's northern coast. The project is worth $5.6 billion, through which Korea wants to ensure a stable supply of liquefied natural gas (LNG) amid the recent instability in LNG prices. Bang also visited the construction site of North East Link (NEL), a tunneling project to build twin, three-lane tunnels approximately six kilometers in length connecti

Apr 11, 2022By Yi Whan-woo

Eximbank reaches out to Australian firms to boost cooperation in energy, minerals

IBK chief vows to strengthen venture support after Silicon Valley business trip

Industrial Bank of Korea (IBK) CEO Yoon Jong-won, left, signs an MOU with 500 Global CEO Christine Tsai in California on April 6. Courtesy of IBKBy Anna J. ParkIndustrial Bank of Korea (IBK) CEO Yoon Jong-won wrapped up a six-day visit to Silicon Valley, which was aimed at strengthening the state-owned bank's policy goal of boosting support for venture startups in Korea. According to the bank on Sunday, Yoon met with various top global accelerators and venture capital firms headquartered in the U.S. during the visit, including 500 Global, Plug and Play and Y Combinator, discussing ways further to support and strengthen innovative venture companies. The IBK chief listened to their success stories, aiming to employ their know-how in the bank's venture capital policies. In particular, Yoon signed an MOU with 500 Global, a U.S.-based venture capital firm, vowing to forge partnerships through startup investments, support and accelerating processes. Yoon also visited Silicon Valley Bank (SVB), which has more than three decades of expertise in offering loans to venture companies, and discus

Apr 10, 2022By Anna J. Park

IBK chief vows to strengthen venture support after Silicon Valley business trip

Eximbank, BOK face mounting pressure to move out of Seoul

Rep. Suh Byung-soo speaks during a parliamentary committee meeting, Feb.9, at the National Assembly in Seoul. Korea Times fileBy Lee Kyung-min The Bank of Korea (BOK) and state-run lenders including the Export-Import Bank of Korea (Eximbank) are facing increasing pressure to relocate out of Seoul following legislative moves to transfer them to other cities.Rep. Suh Byung-soo of the People Power Party (PPP) said Friday that he has proposed a bill that will enable the relocation of Eximbank from Seoul to Busan.This is the latest in a recent series of similar bipartisan legislative moves to relocate Seoul-based state-run lenders including the Korea Development Bank (KDB) to the southern port city, as well as the country's central bank.Behind the unified efforts for the relocations is President-elect Yoon Suk-yeol, whose campaign pledge included moving the KDB to Busan, a decision he said would help elevate the status of the nation's second-largest city, transforming it into a global financial hub, housing major financial institutions. Eximbank was added to the list, April 4, when Yoon m

Apr 9, 2022By Lee Kyung-min

Eximbank, BOK face mounting pressure to move out of Seoul

Shinhan, Carlyle to set up $1.68 bil. joint fund for overseas investment

By Lee Min-hyungShinhan Financial Group's headquarters in Seoul / Courtesy of Shinhan Financial GroupShinhan Asset Management is set to join hands with Carlyle Group by establishing a joint investment fund worth around 2 trillion won ($1.63 billion).Both companies are in the advanced stage of talks on how to manage the fund for overseas investments for the next three years in areas such as equity and infrastructure financing.“Talks have been underway for the establishment of the joint fund, but nothing specific has been confirmed over what forms of investment they are going to focus on and when exactly the fund will be launched,” an official from Shinhan said, declining to provide details.Starting as early as the first half of 2022, the two companies are expected to start the joint project, under which Shinhan Financial Group will invest 1 trillion won.This new partnership will allow Shinhan to expand its overseas asset management and investments.This instance is not the first time that the Shinhan affiliate has joined hands with the global private equity firm. Back in Ju

Apr 8, 2022By Lee Min-hyung

Shinhan, Carlyle to set up $1.68 bil. joint fund for overseas investment

Samsung Electronics shares expected to bottom out in Q2

Tech giant's stock price fails to recover despite record-high salesBy Lee Min-hyungSamsung Electronics shares are expected to hit the bottom in the 2nd quarter and bounce back sometime in the third quarter, after memory chip prices bottom out in the near future, analysts said.Investors have been going on a selling spree of Samsung shares so far this year, due to a skeptical semiconductor market outlook over falling DRAM prices.The stock price of the electronics company reached a historic high of around 89,000 won per share in early January 2021. This was a twofold increase, since Samsung shares nosedived in March 2020 amid the pandemic-induced market crash.But the firm's share price has failed to recover to previous levels and slipped below 70,000 won last month. On Thursday, Samsung shares closed at 68,000 won on the benchmark KOSPI, down by 0.73 percent or 500 won from the previous day.Market analysts expect the company not to suffer any major stock falls in the latter half of this year, as the pace of the

Apr 7, 2022By Lee Min-hyung

Samsung Electronics shares expected to bottom out in Q2

Samsung Electronics posts record quarterly sales with rosy outlook

Korean financial firms lambasted for investing in Russian fossil fuels

Dmytro Vi, a Ukrainian living in Korea, speaks during a protest by a coalition of activists against Korean financial firms' investments in Russian fossil fuels in front of Mirae Asset Global Investments' office building in downtown Seoul, April 6. Courtesy of Solutions for Our ClimateBy Ko Dong-hwanEnvironmental activists from four organizations on April 6 protested against a group of Korean financial firms for their investments in Russian fossil fuels and financing of Russia's invasion of Ukraine.A coalition of activists from Solutions for Our Climate, the Korea Federation for Environmental Movements, Without War and Youth Climate Emergency Action raised their pickets in front of Mirae Asset Global Investments' office building in downtown Seoul. Mirae Asset, along with Kiwoom Asset Management and the National Pension Service (NPS), has been investing heavily in Russian energy companies that use fossil fuels, according to the activists. The activists claimed that the three firms have also not joined the recent movement by Korean financial firms to refrain from investing further in co

Apr 6, 2022By Ko Dong-hwan

Korean financial firms lambasted for investing in Russian fossil fuels

K bank urged to diversify business model for sustainable growth

The headquarters of K bank located in central Seoul / Courtesy of K bankBy Anna J. Park K bank, which marks its fifth anniversary this month, has achieved steady growth, garnering over 7.5 million customers as of the end of March. The internet-only bank's solid growth rate is impressive, particularly during the past two years, which contrasts with the tough time it had during the first few years when it was first established in April of 2017.Since the bank resumed providing loan products in July 2020, its customers and the size of its capital have increased exponentially. In 2021 alone, the bank drew nearly five million new customers. That means the bank added one new customer every six seconds. The partnership with UpBit, the country's largest cryptocurrency exchange, is seen as playing a significant role in the bank's growth during the past couple of years. With the increase in both the number of users and the bank's capital, K bank recorded its first annual net profit last year, succeeding in achieving a turnaround just four years after launching operations. Specifically, interest

Apr 6, 2022By Anna J. Park

K bank urged to diversify business model for sustainable growth

KOMSCO signs MOU with Kyrgyzstan for digitization

KOMSCO CEO Bahn Jahng-Shick, left, shakes hands with Kyrgyzstan's Minister of Digital Development Talantbek Imanov, after signing an MOU in Kyrgyzstan. Courtesy of KOMSCO By Yoon Ja-youngThe state-run Korea Minting, Security Printing & ID Card Operating Corp. (KOMSCO) has signed an MOU with the Kyrgyzstan government to cooperate in the latter's e-government project, which will pave the way for the export of KOMSCO's technologies in digital identification cards and authentication.According to KOMSCO, Wednesday, its CEO Bahn Jahng-Shick signed an MOU with Kyrgyzstan's Minister of Digital Development Talantbek Imanov, and suggested joint projects, including the issuance of mobile identification cards and the digitization of tax payment stamps. KOMSCO, which offers advanced technology in mobile identification cards, has been supplying the Kyrgyzstan government with chip-embedded resident cards since 2017, through an official development assistance (ODA) program. Followi

Apr 6, 2022By Yoon Ja-young

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