Economy

REPORTER’S NOTEBOOKKorea's housing loan rules become patchwork of regulations, side effects, exceptions

The government’s drive to curb home prices and household debt through a series of tighter lending rules is creating growing confusion in the financial sector, with regulatory loopholes and unintended consequences emerging at every turn. The government is now scrambling to address the fallout, but its repeated reliance on adding exceptions whenever problems arise is turning housing finance regulations into an increasingly complicated patchwork. The Lee Jae Myung administration has rolled out four rounds of tighter lending rules since June 27, 2025, when it unveiled a sweeping package of measures aimed at cooling overheated home prices in the Seoul metropolitan area and curbing a surge in household debt. The latest came in its April 1 household debt management plan. The aggressive push to rein in overall lending has left banks under pressure to curb even loans tied to genuine housing demand, including balance-payment loans. Because the rules have failed to adequately distinguish between speculative and genuine demand, they have increasingly pushed ordinary homebuyers beyond the reach of

Aug 11, 2026By Jun Ji-hye

Korea's housing loan rules become patchwork of regulations, side effects, exceptions

Economy

Export concentration in top 10 firms rises sharply in Q2 amid chip boom

The proportion of Korea's top 10 exporters in the country's total outbound shipments in the second quarter sharply expanded from a year earlier, data showed Tuesday, driven by the strong performance of technology products, including semiconductors. Outbound shipments by the 10 businesses accounted for 55.3 percent of total exports in the April-June period, compared with 38.3 percent a year earlier, according to data compiled by the Ministry of Data and Statistics. Over the cited period, the share accounted for by the country's top 100 exporters rose from 66.3 percent to 76.3 percent. Total exports shot up 57.3 percent to $275.5 billion in the second quarter from the previous year. The data ministry added that exports by conglomerates shot up 81.8 percent to $206 billion, reflecting the country's heavy reliance on big companies. Exports by medium-sized businesses moved up 10.9 percent to $35.9 billion, with those by smaller-sized enterprises adding 13.1 percent to $32.7 billion. By industry, exports by the mining and manufacturing sector jumped 64.9 percent to $247.5 billion, led by strong

Aug 11, 2026By Yonhap

Export concentration in top 10 firms rises sharply in Q2 amid chip boom

Economy

Seoul shares turn higher late Tuesday morning on tech gains

Korean shares turned higher late Tuesday morning as foreign investors scooped up big-cap tech shares on bargain hunting. After opening 0.95 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) added 33.37 points, or 0.53 percent, at 6,333.03 as of as of 11:20 a.m. Foreign investors bought up a net 1.29 trillion won ($911.2 million) worth of shares, offsetting a combined 1.13 trillion-won selling spree by retail and institutional investors. On Monday (local time), the U.S. stock market edged down from its all-time high the previous session as oil prices rose on uncertainty about when the Strait of Hormuz could reopen to shipping. The S&P 500 slipped 0.1 percent from its record, while the Dow Jones Industrial Average dipped 0.1 percent and the tech-heavy Nasdaq Composite fell 0.3 percent. In Seoul, most large-cap shares traded mixed. After opening lower, market bellwether Samsung Electronics went up 3.26 percent, while its chipmaking rival SK hynix dipped 0.63 percent. The Korean won was trading at 1,415.8 won against the U.S. dollar as of 11:20 a.m., up 2.5 won from the clo

Aug 11, 2026By Yonhap

Seoul shares turn higher late Tuesday morning on tech gains

Economy

Exports up 45.3% in 1st 10 days of Aug. on chips

Korea's exports jumped 45.3 percent from a year earlier in the first 10 days of August, data showed Tuesday, on the back of strong global demand for memory chips. Outbound shipments reached $21.3 billion in the August 1-10 period, compared with $14.6 billion tallied in the same period in 2025, according to the data from the Korea Customs Service. It was the highest amount ever recorded for the first 10 days of August. Imports went up 23.1 percent on-year to $19.5 billion over the cited period, resulting in a trade surplus of $1.8 billion. By sector, exports of chips soared 155.4 percent to $9.95 billion, maintaining solid growth amid the global artificial intelligence (AI) boom, the latest data showed. Chips accounted for 46.8 percent of the total exports over the period, up 20.1 percentage points from a year earlier. Exports of petroleum products also shot up 65.3 percent to $1.99 billion. Outbound shipments of automobiles, on the other hand, slid 80.9 percent to $182 million. By destination, exports to China more than doubled to $6.7 billion, while those to Vietnam jumped 45.4 percent to $

Aug 11, 2026By Yonhap

Exports up 45.3% in 1st 10 days of Aug. on chips

Economy

Foreigners' credit card spending surges nearly 10-fold in June from 2023 level: report

Credit card spending by foreigners in June surged to nearly 10 times the level from three years earlier amid a sharp increase in overseas visitors, a report showed Tuesday. According to a report by Korea Credit Data (KCD), the monthly index of revenues from overseas credit cards at local merchants reached 960 in June, sharply up from 100 in January 2023. The index has steadily increased over the cited period, except for some seasonal declines. The KCD report also showed that overseas credit card revenues accounted for 1.2 percent of total revenues in June, up from 0.2 percent in January 2023. Over the past 12 months, 65 percent of revenues from overseas credit cards were generated in Seoul, followed by 11 percent in Gyeonggi Province and 8 percent in Busan. By sector, 40 percent of revenues in the service sector came from dermatology clinics, while 14 percent came from plastic surgery clinics. In the retail sector, 28 percent of revenues came from fashion and clothing shops, while Korean food restaurants accounted for 19 percent of revenues in the food service sector. On average, foreigners

Aug 11, 2026By Yonhap

Foreigners' credit card spending surges nearly 10-fold in June from 2023 level: report

Policy

Why young Koreans are less interested in $420 mil. state-backed equity fund

Young Koreans showed relatively little interest in the country's state-backed growth fund launched earlier this year, despite strong overall demand for the 600 billion-won ($420 million) fund, data showed Monday. According to data obtained by Rep. Kim Sang-hoon of the main opposition People Power Party from the Financial Services Commission (FSC), the first round of the National Growth Fund program attracted 30,038 subscribers and sold out within a week of its launch on May 22. Investors in their 50s were the largest group by both the number of subscribers and the amount invested. A total of 10,173 people in their 50s invested 231.6 billion won, accounting for 33.9 percent of all subscribers and 38.7 percent of total investment. By comparison, 5,852 investors in their 20s and 30s invested a combined 80.2 billion won. The two age groups accounted for 19.5 percent of all subscribers, and 13.4 percent of total investment. Investors in their 40s numbered 9,357 and invested 170.6 billion won. Those aged 60 and above numbered 4,588 but had the highest average investment, at 23.36 million won th

Aug 10, 2026By Lee Hyo-jin

Why young Koreans are less interested in $420 mil. state-backed equity fund

Economy

Kosdaq soars 7% while KOSPI gains modestly

KOSPI edged higher but failed to reclaim the 6,300 level, Monday, while the Kosdaq surged more than 6 percent to close above 850. The benchmark KOSPI closed 0.65 percent higher at 6,299.66 after opening up 0.33 percent, snapping a two-session losing streak. Foreign investors sold a net 1.5 trillion won ($1.06 billion) of shares, while retail and institutional investors bought a net 899.8 billion won and 567.4 billion won, respectively. SK hynix fell 0.14 percent to 1,420,000 won, while Samsung Electronics declined 0.43 percent to 230,000 won. U.S. nonfarm payrolls fell by 23,000 in July, compared with market expectations for a gain of 100,000. The weak reading eased concerns about further interest rate increases and supported demand for riskier assets. Sentiment toward chipmakers remained fragile, however, following reports that Apple was considering using memory chips from China’s CXMT. Hopes for renewed U.S.-Iran talks also faded. U.S. President Donald Trump said he would be willing to end the war without a nuclear agreement with Iran if freedom of navigation through the Strait of Horm

Aug 10, 2026By Lee Yeon-woo

Kosdaq soars 7% while KOSPI gains modestly

Economy

Korea becomes market barometer for global AI stock trade

Korea has become an important barometer for the global artificial intelligence (AI) stock trade, industry officials said Monday, as swings in Seoul increasingly reflect shifts in technology sentiment that are playing out across markets from Tokyo and Shanghai to Wall Street. The shift reflects the unusual structure of the Korean market. The KOSPI's heavy weighting toward semiconductor companies, combined with its sensitivity to foreign capital flows, means changes in expectations for AI investment can be reflected in Korean share prices quickly, and sometimes more sharply than elsewhere. That has made Seoul an increasingly important reference point during Asian trading hours. Investors have increasingly treated the Nikkei 225 and the KOSPI as expressions of much the same trade, according to Nikkei Asia. Both indices have substantial exposure to companies tied to AI and semiconductors, while their trading hours largely overlap. The relationship was evident last Wednesday. Stronger-than-expected earnings from Japanese electronics supplier Ibiden initially sent AI and semiconductor-related

Aug 10, 2026By Lee Yeon-woo

Korea becomes market barometer for global AI stock trade

Economy

Gyeonggi Province calls for 'jeonse' fraud aid to cover foreign victims

As a wave of scams exploiting Korea’s unique “jeonse” rental system has left tens of thousands of tenants at risk, Gyeonggi Provincial Government is urging the central government to extend state assistance to foreign residents who are living in Korea legally, according to officials Monday. Under the jeonse system, tenants pay a large lump-sum deposit to their landlord instead of monthly rent. For decades, it was a relatively low-risk way to secure a home, while giving landlords access to a large pool of capital. But as the housing market became more volatile, it emerged as a major source of risk. When landlords fail to return deposits, whether due to fraud or sharp decline in property values, tenants can be left with losses running into hundreds of millions of won. As of July 31, the Ministry of Land, Infrastructure and Transport had officially recognized 40,278 people as victims under the Special Act on Support for Jeonse Fraud Victims and Housing Stability. Foreign nationals accounted for 544 cases, or 1.4 percent of the total. The special act does not bar foreign residents from

Aug 10, 2026By Park Han-sol

Gyeonggi Province calls for 'jeonse' fraud aid to cover foreign victims

Economy

Volatility of Seoul stock index drops after curbs on leveraged ETFs

The fear gauge of Korea's stock market has dropped after authorities took steps to curb the 16 single-stock leveraged exchange-traded funds (ETFs) blamed for recent market volatility, the bourse operator said Monday. Financial authorities raised the minimum cash deposit for single-stock leveraged ETF investments on July 31, as the speculative investment products triggered wild swings on the stock market. The KOSPI 200 volatility index, or VKOSPI, fell to as low as 69.87 on Monday, according to the Korea Exchange (KRX). Compared with July 30, when the index stood at 86.18, it marked an 18.91 percent decline. Also, it was the first time since May 28 that the index fell below 70. The VKOSPI is the official Korean volatility index and serves as a "fear gauge," measuring the market's expected volatility over the next 30 days based on KOSPI 200 options. Under the regulation, the minimum cash deposit required to invest in the single-stock leveraged ETFs was raised to 30 million won ($21,184) from 10 million won. Such ETFs, linked to Samsung Electronics and SK hynix, and introduced in May, have be

Aug 10, 2026By Yonhap

Which Korean stocks offer highest dividend yields this year?

Seoul stocks up 1.5% late Monday morning as chipmakers advance

Exports up 78% in first 20 days of Sept. on robust chip shipments

Korean bond rates most sensitive to changing US yields in emerging Asian markets

Samsung, SK hynix near end of buybacks, leaving KOSPI without clear buyer

Economy

Which Korean stocks offer highest dividend yields this year?

Seoul stocks up 1.5% late Monday morning as chipmakers advance

Exports up 78% in first 20 days of Sept. on robust chip shipments

Korean bond rates most sensitive to changing US yields in emerging Asian markets

Samsung, SK hynix near end of buybacks, leaving KOSPI without clear buyer

Read more

REPORTER’S NOTEBOOKKorea's housing loan rules become patchwork of regulations, side effects, exceptions

Export concentration in top 10 firms rises sharply in Q2 amid chip boom

Seoul shares turn higher late Tuesday morning on tech gains

Exports up 45.3% in 1st 10 days of Aug. on chips

Foreigners' credit card spending surges nearly 10-fold in June from 2023 level: report

Why young Koreans are less interested in $420 mil. state-backed equity fund

Kosdaq soars 7% while KOSPI gains modestly

Korea becomes market barometer for global AI stock trade

Gyeonggi Province calls for 'jeonse' fraud aid to cover foreign victims

Volatility of Seoul stock index drops after curbs on leveraged ETFs

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