The crushing defeat of President Yoon Suk Yeol’s party in last week’s nationwide parliamentary election casts a dark cloud over the fate of his administration’s various reform plans as well as its ability to manage national affairs efficiently. His administration will face difficulty implementing many of its announced policies and creating new ones. It is the first time under the current Constitution that a sitting president’s party has failed to win the majority in parli

South Korea posted a sixth consecutive month of growth in exports during March over a year earlier, official data showed last week, led by a surge in sales abroad of big-ticket items such as semiconductors and ships. This fueled the projection that the country’s economic growth would pick up this year after suffering a below-trend reading last year. Exports in March rose 3.1 percent from a year earlier to $56.5 billion, according to the data compiled by the Ministry of Trade, Industry an

South Korea entered into full-scale election mode late last week, with political parties launching their official campaigns to stretch until the April 10 poll to elect all 300 members of parliament. The election is held as the country struggles to overcome daunting challenges from virtually all fronts at home and abroad. Even before the official campaign period started, major parties and their candidates had already been engaged in various events across the country to meet and directly appeal to

The foreign exchange rate is an important price variable not just in the sense that it influences a wide range of economic activities such as exports and imports, but because it is often taken as reflecting the comparative strength of a country’s economic fundamentals against others. It also influences and is influenced by the country’s macroeconomic policies. South Korea is paying especially close attention to the exchange rate movement because it is a very open economy, relying hea

South Korea’s economy is widely expected to post a pick-up in growth this year thanks to a recovery in exports after months of extremely poor performance. However, a recent series of data points to the slump in domestic demand worsening, and the construction sector’s troubles are particularly worrying as project-financing loans remain a key risk to the economy. Some of the project-financing loans, which surged in line with the booming property market, especially during the previou

South Korea’s economy grew 2.2 percent in real terms during the final quarter of last year compared to the same period in 2022, marking an acceleration from a 1.4 percent rise in the third quarter and bringing growth for the entire of 2023 to 1.4 percent, according to revised data released by the country’s central bank last week. The headline figures looked fine overall, with growth accelerating in the October-December period compared to the preceding quarter, defying fears that Asia

South Korea announced robust export figures for February last week, instilling a glimmer of hope that the nation could see an uptick in economic growth this year after enduring one of its lowest rates in modern history. The government emphasized that the surge in semiconductor sales abroad drove the brisk exports in February. On the surface, February's exports grew by just 4.8 percent from a year ago, according to data from the Ministry of Trade, Industry, and Energy. However, the average d

Events regarding central bank policy meetings attract huge attention not only from professional investors but also from many others outside the financial industry in most countries, including South Korea. This attention is understandable, as their policy decisions -- usually concerning short-term interest rates -- impact everyday economic activities across the country indiscriminately. In addition to the policy decision and its underlying factors, the head of the central bank frequently comments

South Korean stock prices have been on an unexpectedly strong rally in the past several weeks, even without any significant changes to the generally bleak macroeconomic and corporate earnings prospects, and despite the global geopolitical situation deteriorating further. Market players and commentators broadly attribute the rally to growing hopes among investors that the Yoon Suk Yeol administration’s so-called corporate value-up program, centering around possible requirements on companies

Zombies have risen as a prevalent theme across various media platforms, including movies, TV shows, books and art, often serving as metaphors for societal issues and symbolizing the breakdown of social order. Moreover, they spark discussions about economic concepts, such as "zombie companies." A "zombie company" is a term used to describe a firm that persists in operation despite being unable to meet its debt obligations with its operating profits. These entities lack financi

As we entered February, many of us who resolved to lose weight and achieve a healthier, slimmer body in the new year may be growing restless with the gradual pace of progress. However, it’s important to resist the urge to drastically alter your plan for the remainder of the year in a way that could compromise your health, which is the true objective of these efforts. Similar advice should work for President Yoon Suk Yeol. Having made significant progress in curbing the red-hot surge in the

The phrase “it takes a village to raise a child” is generally recognized for emphasizing the significant effort required to ensure a child’s upbringing in a safe environment, but the proverb holds particular relevance for South Korea as it grapples with a desperate battle to halt or, at the very least, slow the decline in birth rates. In a race against time, the South Korean government and provincial administrations are rolling out a range of financial incentives and benefits t

The special investigative team probing the corruption scandal surrounding President Park Geun-hye, her confidante Choi Soon-sil and former Cheong Wa Dae aides is said to be seeking an arrest warrant Sunday for a university professor suspected of favoritism on Choi’s daughter.Ewha Womans University professor Ryu Chul-kyun, also a novelist under the name Yi In-hwa, is believed to have had given Choi’s daughter Chung Yoo-ra unfair academic advantages by having someone else take tests for her and fi

The special team led by independent counsel Park young-soo on Wednesday grilled a former presidential secretary, as part of its investigation into the suspicion that Cheong Wa Dae created a blacklist of cultural figures believed to be critical of the government.Kim Sang-yule, currently a professor at Sookmyung Women’s university, was summoned as a person of interest in the ongoing investigation about the supposed list. The investigators already raided the homes and offices of former Chief of Sta

The special investigation team on Monday raided homes and offices of those linked to the corruption and influence-peddling scandal surrounding President Park Geun-hye and her confidante, including Park’s former right-hand man and incumbent culture minister.The simultaneous raids -- led by independent counsel Park Young-soo -- targeted 10 places related to the scandal, with the home of former presidential chief-of-staff Kim Ki-choon being one of them.Kim, 77, is suspected of condoning, or even pr

The special investigation and litigation processes into the corruption scandal surrounding President Park Geun-hye and her now-infamous friend Choi Soon-sil will begin this week, while the embattled president and the parliament prepares for the coming impeachment trial. The trial of Choi will kick off this week, with the Seoul Central District Court holding official preparations for her trial on Monday. Legal discussions between the prosecution and Choi’s lawyer -- who claimed that the charges w

The special investigative team on a corruption and influence-peddling scandal surrounding President Park Geun-hye said Thursday that it had barred those linked to the scandal from leaving the country. Park’s former chief of staff Kim Ki-choon is reported to be among those barred.Lee Kyu-chul, spokesperson of the team led by independent counsel Park Young-soo, confirmed that “several people whose presence are needed for the investigation” of the Choi Soon-sil scandal have been banned from leaving

The prosecution is investigating President Park Geun-hye’s former Chief of Staff Kim Ki-choon and former Senior Secretary Woo Byung-woo as suspects in the corruption scandal involving Park and her confidante, government officials said Wednesday. A report for the parliamentary audit by the Ministry of Justice and the Supreme Prosecutors’ Office showed that Kim is being investigated for abusing his authority to have officials removed from their posts. This is suspected to have been related to the

The National Assembly on Monday completed the lineup of parliamentary committee chiefs after days of intraparty wrangling, enabling the newly elected legislature to set the ball rolling in earnest.The lineup for 18 committees was finalized at a plenary session of the 20th assembly, which began its four-year term on May 30.Ruling Saenuri Party Reps. Cho Kyoung-tae, Lee Jin-bok, Yoo Jae-jung and Kwon Seong-dong were elected to lead the finance, national policy, public administration and legislatio

"Our students are studying the juche ideology of Kim Il-sung (in history classes),” read one of the placards distributed across South Korea by ruling Saenuri Party this week. Juche, or self-reliance, is the backbone of the North Korean dictatorship. Saenuri and the government have recently pushed ahead with their plan to revive state-authored textbooks for secondary education, alleging that the current privately-published textbooks are biased in favor of the leftists and even the Pyongyang gover