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  • Economy

    Which Korean stocks offer highest dividend yields this year?

    High-dividend stocks are drawing renewed attention as Korea enters the year-end payout season with the KOSPI confined to a narrow range, analysts said Sunday. According to financial data provider FnGuide, Korea District Heating Corp. is expected to offer the highest dividend yield this year among listed companies covered by at least three brokerages. The company is projected to pay 6,520 won ($4.69) per share this year, up 363 won from 6,157 won a year earlier, translating into an estimated dividend yield of 8.69 percent. Dividend yield is calculated by dividing the dividend per share by the share price. AJ Networks, a rental service group, ranked next, with an estimated dividend of 343 won per share and a dividend yield of 8.33 percent. Brokerage stocks also featured prominently, buoyed by a strong first-half market rally and a sharp improvement in earnings. NH Investment & Securities is expected to pay a dividend of 2,031 won per share, up 731 won from a year earlier, giving a dividend yield of 7.99 percent. Samsung Securities is forecast to raise its dividend by 2,867 won to 6,867 won p

    2 MIN READBy Lee Yeon-woo
    Which Korean stocks offer highest dividend yields this year?
  • Economy

    Seoul stocks up 1.5% late Monday morning as chipmakers advance

    1 MIN READBy Yonhap
    Seoul stocks up 1.5% late Monday morning as chipmakers advance
  • Economy

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

    1 MIN READBy Yonhap
    Exports up 78% in first 20 days of Sept. on robust chip shipments
  • Economy

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

    2 MIN READBy Park Han-sol
    Korean bond rates most sensitive to changing US yields in emerging Asian markets
  • Economy

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

    2 MIN READBy Lee Yeon-woo
    Samsung, SK hynix near end of buybacks, leaving KOSPI without clear buyer
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Economy

BOK's collateral policy criticized for favoring high-carbon assets

A new study has accused the Bank of Korea (BOK)'s collateral system of favoring high-carbon assets over green bonds, arguing that the framework could effectively provide an "implicit subsidy" to fossil fuel and other carbon-intensive industries. The study, released Monday by London-based nonprofit Positive Money and Seoul-based Institute for Green Transformation (IGT), found that 53 percent of corporate and public-institution bonds recognized as collateral by the BOK in 2025 came from fossil fuel and other high-emission sectors. Green and sustainability bonds accounted for just about 2 percent. The analysis covered 1,368 bonds using BOK data obtained through Rep. Jung Tae-ho of the ruling Democratic Party of Korea, according to the researchers. The BOK accepts bonds and other assets as collateral when providing liquidity to financial institutions. It applies so-called "haircuts" to account for potential risks, meaning it discounts the value of an asset when determining how much it can be used as collateral. The study found that green bonds had an average haircut of 8.7 percent in 2025, ro

Aug 10, 2026By Lee Hyo-jin
BOK's collateral policy criticized for favoring high-carbon assets
Economy

Korea showing signs of improvement on robust chip industry: KDI

The Korean economy is showing signs of a "broader improvement" on the strong performance of chip-related industries, a state-run think tank said Monday, although uncertainties in the Middle East are expected to intensify inflationary pressures. "The Korean economy showed signs of broader improvement, led by semiconductor-related sectors," the Korea Development Institute (KDI) said in its monthly economic assessment. "Exports and equipment investment continued to grow strongly, driven by semiconductors, while consumption growth accelerated, led by durable goods," it added. "All-industry production posted relatively high growth, as services maintained a favorable trend and manufacturing rebounded," the KDI also said. The KDI, however, noted Asia's No. 4 economy still faces uncertainties, including U.S. tariff policies and lingering geopolitical instability in the Middle East. The think tank also pointed out that the country's still-elevated inflation and weakening employment conditions pose economic challenges. Korea's monthly exports soared to the second-highest level ever in July, rising n

Aug 10, 2026By Yonhap
Korea showing signs of improvement on robust chip industry: KDI
Economy

Seoul shares pare gains late Monday morning on foreign selling

Korean shares pared earlier gains late Monday morning as foreign investors continued to sell big-cap tech shares despite bargain hunting by retail and institutional investors. After opening 0.76 percent higher, the benchmark Korea Composite Stock Price Index (KOSPI) added 25.15 points, or 0.4 percent, at 6,283.92 as of as of 11:20 a.m. Foreign investors sold nearly 619.7 billion won ($437.8 million), offsetting a combined 598.2 billion won worth of buying by retail and institutional investors. The KOSPI ended lower for a second straight session Friday, weighed down by foreign selling. On Friday (local time), Wall Street advanced, following U.S. job reports. The Dow Jones Industrial Average rose 0.28 percent, while the S&P 500 added 0.62 percent to a fresh record. The tech-heavy Nasdaq Composite Index increased 1.3 percent. Korean technology stocks remained the bulwark of the market. After opening higher, market bellwether Samsung Electronics inched down 0.11 percent, while its chipmaking rival SK hynix climbed 0.84 percent. The Korean won was trading at 1,414.8 won against the U.S. dollar a

Aug 10, 2026By Yonhap
Seoul shares pare gains late Monday morning on foreign selling
Economy

Korea's inflation woes grow as heat wave drives up food prices

This summer’s prolonged heat wave is pushing up food prices, raising the prospect that a rebound in inflation could be more pronounced than expected in August, according to economists, Sunday. The concern comes as underlying price pressures remain firm, with core inflation picking up in July. Meanwhile, the government’s oil price cap, which has remained in place since March shortly after the U.S. and Israel began their war on Iran, is another variable clouding the outlook. Taken together, the result is a more challenging inflation picture, with a weather-driven supply shock adding to pressures that were already building beneath the surface. According to the Ministry of Data and Statistics, July consumer inflation eased to 2.8 percent, falling back into the 2 percent range for the first time in three months. One of the biggest wild cards for August, however, is the severe heat wave that has gripped the country this summer, with temperatures topping 40 degrees Celsius in some areas, including parts of Seoul. The extreme heat has hit supplies of everything from vegetables to meat and se

Aug 10, 2026By Park Han-sol
Korea's inflation woes grow as heat wave drives up food prices
Economy

PHOTO Neighbors protest redevelopment plan for Yongsan Children's Garden

Condolence wreaths are lined up along a sidewalk in front of Yongsan Children’s Garden in Seoul, Saturday, as part of a protest by nearby residents against the government’s plan of redeveloping the park to build new public housing. The government is considering using available land around the capital city to construct 50,000 additional homes, with a comprehensive housing package expected as early as this Thursday. Newsis

Aug 9, 2026By Lee Yeon-woophoto
[PHOTO] Neighbors protest redevelopment plan for Yongsan Children's Garden
Economy

KOSPI slump pushes trading activity to yearly low

Trading value and volume on the KOSPI have dropped to their lowest levels of the year as the benchmark index extended its decline amid weakness in semiconductor heavyweights, data showed Sunday. According to the Korea Exchange, average daily trading value on the KOSPI stood at 26.28 trillion won ($18.6 billion) so far this month. Average daily trading value stood at 27.06 trillion won in January before hovering around the 30 trillion won mark, at 32.234 trillion won in February, 30.143 trillion won in March and 29.551 trillion won in April. It then surged above 50 trillion won in May and June, when the KOSPI rallied sharply, reaching 50.22 trillion won and 50.35 trillion won, respectively. Trading value fell to 36.88 trillion won in July and declined further this month. Trading volume also plunged, with average daily volume falling to a year-to-date low of 301.67 million shares this month. The sharp drop in trading activity appears to reflect the KOSPI's continued weakness in August. The benchmark index has fallen 5.10 percent so far this month, with sidecars triggered twice. The two chip

Aug 9, 2026By Lee Yeon-woo
KOSPI slump pushes trading activity to yearly low
Economy

EXPLAINER Why Lee ordered rethink of ISA and 'stock price suppression' rules

President Lee Jae Myung ordered a full review of the government's proposed overhaul of individual savings accounts (ISAs) and measures targeting the deliberate suppression of share prices. The order came on Friday, just four days after the government unveiled its tax reform plan on Aug. 3. What went wrong? Cuts to existing ISA benefits ISAs offer tax breaks on interest and dividend income, making them a widely used vehicle for retail investors seeking to build wealth. Up to 2 million won ($1,416) of investment income is tax-exempt, while income above that threshold is taxed separately at a preferential rate of 9.9 percent. As part of an effort to channel more money into domestic markets, the government proposed a new "productive finance ISA." Investment income from the account would be fully tax-exempt, with no cap, while investors could contribute as much as 20 million won a year and 200 million won in total over a maximum period of 10 years. But the proposal would scale back benefits available under existing ISAs. The government plans to shorten their maturity and scrap the ability to c

Aug 9, 2026By Lee Yeon-woo
[EXPLAINER] Why Lee ordered rethink of ISA and 'stock price suppression' rules
Economy

KOSPI edges lower as chip weakness, inflation concerns keep investors cautious

The KOSPI edged lower Friday as investors remained cautious, with weakness in chip stocks and lingering inflation concerns over the Middle East conflict keeping risk appetite in check. The benchmark index closed at 6,258.77, down 0.6 percent from the previous session. It opened 1.09 percent higher but gave up its early gains and slipped into negative territory. Foreign investors sold a net 858.1 billion won ($605.7 million) worth of shares, while institutional and retail investors bought a net 579 billion won and 267 billion won, respectively. SK hynix fell 4.88 percent to close at 1.422 million won, while Samsung Electronics edged up 0.22 percent to finish at 231,000 won. Reports that Nvidia is considering lowering the high-bandwidth memory (HBM) specifications for its Rubin Ultra platform dampened sentiment toward chip stocks. SK hynix, which has greater exposure to HBM, came under pressure and dragged the benchmark lower. Still, Micron reiterated that memory supply remains tight, noting that memory chips now account for as much as 50 percent of the value of artificial intelligence comp

Aug 7, 2026By Lee Yeon-woo
KOSPI edges lower as chip weakness, inflation concerns keep investors cautious
Economy

Time for won to catch up with Korea's economic role: Deutsche Bank

Korea accounts for roughly 2 percent of global gross domestic product (GDP), ranks among the world's largest exporters of advanced manufactured goods and is home to strategically important industries. Yet its currency plays a modest financial role relative to the country's economic and industrial weight, according to Deutsche Bank, Friday. In two recent Asia thematic strategy notes, the investment bank said Korea sits at the intersection of three key structural forces: ally-shoring, artificial intelligence (AI) infrastructure investment and diversification away from China-related supply risks. These forces are likely to persist for years, directing capital toward industries where Korea already possesses scale, technological leadership and established industrial ecosystems, including semiconductors, batteries, shipbuilding, defense and robotics, the bank said. "The world is increasingly investing in the industries where Korea already leads," said Perry Kojodjojo, an Asian FX strategist at Deutsche Bank. "Manufacturing value added, high-tech exports and current account balances compare fa

Aug 7, 2026By Lee Yeon-woo
Time for won to catch up with Korea's economic role: Deutsche Bank
Economy

Youth loan defaults raise questions about Korea's policy lending model

“I defaulted twice on 3 million won ($2,120) Youth Sunshine Loans. The government ended up covering everything, so all my debts were settled with no problem,” read a post shared in July on an online forum for recipients of basic livelihood assistance. As stories like this are becoming more common in Korea, questions are being raised whether government-backed lending for young people is addressing the root cause of financial hardship or merely delaying it. While the programs are intended to help young borrowers bridge temporary cash shortages, experts warn that the worsening employment and income conditions are leaving more young adults unable to repay their debts. One of the clearest signs is the Youth Sunshine Loan, a state-backed program that provides living expenses to job seekers, entry-level workers and young entrepreneurs aged 19 to 34 with annual incomes below 35 million won. According to the Korea Inclusive Finance Agency, the share of these loans that had to be repaid by the state-run guarantee agency after borrowers failed to make payments rose from 4.8 percent in 2022 to

Aug 7, 2026By Park Han-sol
Youth loan defaults raise questions about Korea's policy lending model
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