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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.

KakaoBank reports record earnings on growing noninterest income

KakaoBank posted its strongest-ever half-year performance, reporting an operating profit of 353.2 billion won ($254 million) and a net profit of 263.7 billion won in the first half of 2025, the company said Wednesday. These figures represent year-on-year increases of 11 percent and 14 percent, respectively. The surge in earnings was driven by a rise in noninterest income and continued growth in its customer base. In its regulatory filing, Korea’s largest internet-only bank reported a net profit of 126.3 billion won for the April-June period, marking a 5.1 percent increase from 120.2 billion won during the same period last year. The bank generated 562.6 billion won in noninterest income — excluding loan interest earnings — in the first half of the year, accounting for 36 percent of its total revenue of 1.56 trillion won. This represents a 30.4 percent increase from the same period a year earlier. The company attributed the growth to enhanced platform capabilities across lending, investment and payment services, as well as steady revenue expansion in firm banking, open banking and adv

Aug 6, 2025By Jun Ji-hye
KakaoBank reports record earnings on growing noninterest income

Hanwha Life's new co-CEOs pledge AI innovation, global expansion

Hanwha Life Insurance said Tuesday that Vice Chairman Kwon Hyeuk-woong and President Lee Kyung-keun have been appointed co-CEOs following an extraordinary shareholders’ meeting and board of directors session. In a joint letter to employees, the new leaders called on employees to help transform the company into a “life solution partner” that delivers tailored services throughout each customer’s entire life journey, extending beyond the traditional scope of insurance. They identified artificial intelligence (AI) as a core growth engine, emphasizing the need to drive innovation and make fundamental paradigm shifts to stay competitive in an increasingly dynamic market. “As AI accelerates the shift toward hyper-personalization, the insurance industry must evolve from offering uniform coverage to delivering deeply customized solutions that reflect each customer’s unique life circumstances,” the letter read. The co-CEOs also reaffirmed the company’s long-term vision of evolving from a leading domestic insurer into a global, comprehensive financial group. Hanwha Life has already e

Aug 5, 2025By Jun Ji-hye
Hanwha Life's new co-CEOs pledge AI innovation, global expansion

Banks face growing burden as gov't doubles education tax, pushes bad bank funding

Banks face a heavier burden as the government doubles the education tax, despite lenders' active support of government-led initiatives such as the bad bank program in line with its push for mutual growth, industry officials said Tuesday. The Lee Jae Myung administration’s tax reform measures, announced Thursday by the Ministry of Economy and Finance, propose doubling the education tax rate for major financial and insurance companies from 0.5 percent to 1 percent. The 1 percent education tax will apply to financial and insurance companies earning over 1 trillion won ($720 million) in annual revenue. Around 60 firms are expected to be subject to the higher rate, with the change projected to generate an additional 1.3 trillion won in tax revenue. In 2023 alone, the government collected about 1.75 trillion won in education taxes from the financial and insurance sectors. The education tax is intended to support the development of educational infrastructure and improve teacher welfare. However, critics have long argued that banks and insurance companies are not directly connected to the educ

Aug 5, 2025By Jun Ji-hye
Banks face growing burden as gov't doubles education tax, pushes bad bank funding

JB Financial earns top ESG rating from MSCI

JB Financial Group said Monday that it has received the highest grade in the environmental, social and corporate governance (ESG) rating conducted by Morgan Stanley Capital International (MSCI). Each year, MSCI evaluates the sustainability practices of about 8,500 publicly listed companies worldwide. The ratings range across seven levels, from AAA to CCC. Only the top 9 percent of banking sector firms achieve the prestigious AAA rating. In this year's assessment, JB Financial Group outperformed the global banking industry average in key areas such as green finance, human capital development, financial accessibility and corporate governance. The group said it has established company-wide ESG management, led by an ESG committee made up exclusively of board members. This is complemented by an ESG council comprising senior executives and working-level leaders from both the holding company and its subsidiaries. Last year, its subsidiaries Jeonbuk Bank and Kwangju Bank also became the first in the Korean banking sector to sign power purchase agreements for renewable energy. Building on that mom

Aug 4, 2025By Lee Yeon-woo
JB Financial earns top ESG rating from MSCI

How regional financial groups defy slump with upbeat outlook

Despite an economic downturn weighing on regional financial holding companies, brokerage firms have begun raising their target prices this year, industry officials said Monday. Regional banks, the core subsidiaries of these groups, have been grappling with rising delinquency rates, particularly in the construction sector. Meanwhile, a continuing population decline in regional areas has limited the reach of their offline retail networks. Yet analysts are revising forecasts upward, citing improved earnings driven by lower credit loss provisions, stronger shareholder return policies and new business initiatives aimed at diversification. According to financial tracker FnGuide, securities firms have issued 27 target price upgrades for BNK Financial Group, 24 for JB Financial Group and 30 for iM Financial Group so far this year. The upgrades reflect growing investor confidence in firmer earnings fundamentals in the first half of this year. BNK Financial Group, based in Busan, posted the highest net profit among the top three at 475.8 billion won ($345.7 million) — though that marked a 3.4 per

Aug 4, 2025By Lee Yeon-woo
How regional financial groups defy slump with upbeat outlook

Korea's value-up index outperforms KOSPI as of July

Korea's main bourse operator said Monday its value-up index performed better than the benchmark Korea Composite Stock Price Index (KOSPI), climbing over 30 percent in the January-July period. The Korea Exchange's (KRX) value-up index climbed 35.8 percent during the past seven months, outperforming the KOSPI, which rose 35.3 percent in the same period, the KRX said in a release. The value-up index is comprised of 100 companies that demonstrate strong performance in a range of qualitative metrics, such as profitability and shareholder returns. The KRX introduced the index in September to enhance the corporate value of domestic companies. Net assets in 12 ETFs tracking the value-up index reached 834.1 billion won ($602.5 million) as of end-July, jumping 68 percent from 496.1 billion won when the funds were launched in November. Local companies have purchased 16 trillion won worth of their own shares as of end-July, while treasury stock retirements amounted to 18.3 trillion won over the same period. In July alone, local companies bought back 6.5 trillion won worth of their own shares, data sho

Aug 4, 2025By Yonhap
Korea's value-up index outperforms KOSPI as of July

Seoul shares end higher on bargain hunting, US rate cut hopes; won sharply up

Korean stocks closed higher Monday as investors purchased blue chip shares at bargain rates after a steep fall last week and on heightened expectations for the U.S. Federal Reserve's pivot to monetary easing. The Korean won rose sharply against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) climbed 28.34 points, or 0.91 percent, to close at 3,147.75. Trade volume was a little slim at 291 million shares worth 9.66 trillion won (US$6.98 billion), with winners outnumbering losers 677 to 209. Monday's gain came after the KOSPI fell at the steepest pace in nearly four months on Friday amid investor sentiment dampened by the government's proposal for a tax revision aimed at raising taxes on corporations and stock investors. Institutions and foreigners bought local shares worth 131.8 billion won and 83.3 billion won, respectively, while retail investors sold a net 300 billion won. "The KOSPI rebounded after a 3.9 percent drop last Friday on bargain hunting," Lee Kyoung-min, an analyst at Daishin Securities, said. News reports on the ruling party's possible reconsideratio

Aug 4, 2025By Yonhap
Seoul shares end higher on bargain hunting, US rate cut hopes; won sharply up

Seoul shares sharply down late Friday morning following US tariff deal, tax reform proposal

Korean stocks traded markedly lower late Friday morning, as investors assessed the impact of the Donald Trump administration's new tariff scheme on industry, as well as a new proposal by Seoul to raise taxes on companies and stock investors. The benchmark Korea Composite Stock Price Index (KOSPI) shed 93.92 points, or 2.89 percent, to 3,151.52 as of 11:20 a.m. The index opened lower, tracking overnight losses on Wall Street, and extended losses further on heavy foreign and institutional selling. The latest trade deal, announced Thursday, calls for lowering the U.S.' reciprocal tariffs on South Korean imports to 15 percent from the initially proposed 25 percent. The new levies would affect Korea's auto, steel and other major sectors, and are expected to weigh on its exports, according to experts. U.S. President Trump signed an executive order that sets new tariffs to go into effect next Thursday. Also affecting investor sentiment is the Korean government's proposal of higher taxes on companies and stock investors. The finance ministry proposed raising corporate tax rates across all brackets

Aug 1, 2025By Yonhap
Seoul shares sharply down late Friday morning following US tariff deal, tax reform proposal

Seoul shares open markedly lower on tech losses after tariff deal

Korean stocks opened sharply lower Friday, led by major tech losses, as investors assessed the impact of the Donald Trump administration's new tariff scheme on the industry. The benchmark Korea Composite Stock Price Index (KOSPI) lost 57.84 points, or 1.78 percent, to 3,187.60 in the first 15 minutes of trading. On Thursday, Korea and the United States reached a trade deal that calls for lowering reciprocal tariffs on Korean imports to 15 percent from the initially proposed 25 percent in return for massive investments. U.S. President Trump signed an executive order that sets new tariffs to go into effect next Thursday. But the U.S. has yet to clinch a tariff deal with several partner nations, including Canada and India. Investor sentiment also remained weak as the purchasing managers' index of China showed weaker than expected economic activity. Overnight, U.S. stocks fell as investors remained cautious about Trump's tariff deadline for some of its trading partners while awaiting major corporate earnings reports. The Dow Jones Industrial Average slid 0.7 percent, and the tech-heavy Nasdaq

Aug 1, 2025By Yonhap
Seoul shares open markedly lower on tech losses after tariff deal

Insurers emerge as key players in global financial value chain

The insurance sector, once considered conservative and slow-moving, is now gaining attention as a key driver in reshaping global financial dynamics and advancing a sustainable financial ecosystem that goes beyond traditional risk coverage, industry officials said Thursday. Leading global financial institutions are recognizing the stability of insurers' assets and are increasingly incorporating them into fund management and alternative investment strategies. The insurance industry is known for its long-term, predictable contracts and strong credibility, positioning itself as a compelling option for global financial players seeking stability. Korean insurers are likewise strengthening their role in this evolving landscape. In particular, Hanwha Life Insurance is accelerating its global push to diversify income sources and boost asset management capabilities, responding proactively to the challenges of a low-growth domestic market shaped by demographic shifts and regulatory changes. On Wednesday (local time), Hanwha Life finalized its acquisition of a 75 percent stake in U.S. brokerage firm

Jul 31, 2025By Jun Ji-hye
Insurers emerge as key players in global financial value chain
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