SEJONG -- The Yoon Suk-yeol administration is expected to slash the maximum rate in corporate tax, which has been set at 25 percent since the previous Moon Jae-in government, remarks from officials including new Finance Minister Choo Kyung-ho suggested. While some claim cutting down corporate tax is inevitable, as such deregulatory moves could improve the business environment, opponents say it would undermine the country’s fiscal soundness. In his recent reply to the National Assembly fo

SEJONG -- A program aimed at introducing Korean food to foreigners kicked off Monday, the Ministry of Agriculture, Food and Rural Affairs said Tuesday. The program, which consists of a total of 20 food tours, will run between May and November this year in Seoul and across the country. Foreign residents and tourists can also learn recipes for a variety of Korean food, including traditional sauces and kimchi, in one-day cooking classes by Korean food chefs and masters nationwide, the ministry sa

SEJONG -- The Yoon Suk-yeol administration is considering easing the burden of gift tax by raising the upper limit of tax-free capital transfers from the current 50 million won ($38,900), documents from relevant ministries showed Monday. Currently, the authority does not levy gift taxes as long as parents or grandparents conduct capital transfer to their children or grandchildren within the limit of 50 million won per child. If the transfer exceeds 50 million won, the parents and grandparents

SEJONG -- The Cabinet endorsed the supplementary budget worth 59.4 trillion won ($46 billion) in its first meeting under the Yoon Suk-yeol administration in Seoul on Thursday. The budget, drawn up by a group of ministries, is mostly aimed at supporting the self-employed and microbusiness owners. But the real scale of the extra budget in terms of utilization for payouts for the people and other segments of the economy would stay at 36.4 trillion won, given that 23 trillion won would be granted t

SEJONG -- The Yoon Suk-yeol administration is moving to offer 6 million won ($4,700) or more per self-employed person in its supplementary budget, as part of the new government’s first policy to compensate those who suffered financial loss from state-led business restrictions amid the COVID-19 pandemic. President Yoon, who took office on Tuesday, stressed the necessity of implementing a supplementary budget for the support package as promptly as possible while presiding over his first mee

SEJONG -- Almost 1 out of every 2 state-funded agencies in South Korea were in the red last year, state data showed Tuesday, in the wake of the ongoing pandemic and soaring oil prices. Of the 362 public agencies surveyed, 170, or 46.9 percent, suffered operating losses in 2021, according to Alio, a system that publicizes management information of public agencies. They included the Korea Electric Power Corp. and the Incheon International Airport Corp. Kepco posted the largest deficit with an op

SEJONG -- More than 100,000 temporary jobs in the public sector have been converted into regular jobs during the Moon Jae-in administration, whose term expires Monday midnight, state data showed. According to Alio, a system for publicizing management information of 370 public agencies, 101,720 nonregular jobs were converted into regular jobs between May 2017 and May 2022. The outgoing president had pledged to have “zero irregular jobs” in state-funded agencies. The new permane

SEJONG -- Vice Finance Minister Lee Eog-weon on Friday reiterated policymakers’ willingness to intervene promptly to stabilize the capital and currency markets.　 During a meeting to take countermeasures against the US Federal Reserve’s monetary tightening, Lee said that “there is a high possibility that Korea’s financial and foreign exchange market will react sensitively to external factors for the time being.” His remarks came after the Fed raised the US base rat

SEJONG -- The Korean government has decided to inject 877.7 billion won ($693 million) into the pharmaceutical industry which will be used for the development of new drugs, especially medicines and vaccines for variants of COVID-19, and fostering the nation’s bio-related manpower. The government also plans to support businesses which have been developing innovative vaccines or other medicines by raising the so-called “K-global vaccine fund” worth 500 billion won, officials sai

SEJONG -- South Korea saw the ratio of collective debt -- held by the government, household and corporate sector -- to its gross domestic product climb sharply over the past few years since 2017, and even during the pandemic. Further, the nation’s collective debt-to-GDP ratio was found to have continued to rise amid the COVID-19 pandemic, while the G20 countries on average saw a decline in the figure, a local research institute said Wednesday, citing the Bank for International Settlements

SEJONG -- Korea’s consumer prices climbed the fastest in more than 13 years last month in the wake of a spike in international raw materials prices after Russia’s invasion of Ukraine as well as sharply rising global demand for goods, state data showed Tuesday. According to Statistics Korea, consumer prices rose 4.8 percent last month, compared to a year earlier. This marked the highest since October 2008, when the same figure of 4.8 percent was reported. The surge came despite a Ba

SEJONG -- South Korea’s trade-related officials are striving to overcome the worsening trade balance in the wake of declining exports to major destinations, including China and Russia, from a variety of incidents. Trade Minister Yeo Han-koo on Monday presided over a meeting to map out countermeasures against external negative factors which involve China’s possible lockdown of more major cities aside from Shanghai against variants of COVID-19 and the war between Ukraine and Russia.

SEJONG -- Policymakers repeatedly sent alerts to the foreign exchange market last week as the Korean currency sharply lost its value against the US dollar. The greenback surpassed 1,250 won in the wake of investors’ preference in safe havens amid expanding global uncertainty, which include Russia’s Ukraine invasion, high raw materials prices and moves to raise the interest rate in major countries. This is not the first time that increased volatility in won-dollar rates have rung bel

SEJONG -- Deputy Prime Minister and Finance Minister Hong Nam-ki on Thursday sent a signal that the financial authority would move to intervene in the foreign exchange market as the Korean currency sharply lost value against the US dollar recently. During a meeting to map out countermeasures against the current economic situation in Seoul, Hong said the won lost ground against the dollar at a fast pace this week. The rising dollar prices were attributed to the possibility of faster-than-expect

SEJONG -- South Korea is projected to see export growth in the steel and textile sectors if the nation becomes a member of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. But sectors like machinery, fine chemistry and auto parts could suffer handicaps in the wake of the technology gap with Japan, according to forecasts from a variety of business lobbies. The associations delivered their outlook of each industry if the country were to be a member of the CPTPP to the M

SEJONG -- A possible glitch in imports of palm oil is expected to further fan inflationary pressure in South Korea and constrain household consumption, which could hamper the growth of the gross domestic product. Palm oil is used for producing Korean instant noodles and snacks. Its largest producer Indonesia said it would issue a ban on exports of palm oil later this week. The Indonesian government made it clear that the decision was aimed at maintaining a stable domestic supply. As products

SEJONG -- Deputy Prime Minister and Finance Minister Hong Nam-ki expressed worries over the nation’s real estate market during his stay in Washington, D.C. for international ministerial meetings, saying that home prices are rebounding. Hong said Friday (Korean time) that the government had failed to tame housing prices during the early part of his term since December 2018, when he took office, despite a variety of policy attempts. “(Later), I was encouraged by the situation that ho

SEJONG -- South Korea’s Deputy Prime Minister and Finance Minister Hong Nam-ki kept his seat while other fiscal chiefs or central bank governors walked out of a G-20 meeting in protest of Russia’s invasion of Ukraine, according to the ministry on Thursday.　 According to overseas news reports and remarks from British officials, top officials from the US, Canada and the UK left the G-20 finance ministerial meeting, held in Washington, D.C. on Wednesday,&n

SEJONG -- Deputy Prime Minister and Finance Minister Hong Nam-ki spent his five-year term dealing with major economic tasks, from the pandemic-triggered market crisis to controversial real estate measures. However, assessments of Hong -- South Korea’s longest serving fiscal chief -- appear divided. Proponents say that the minister has been faithful to principles to boost the economy and weather a variety of barriers on the growth of the country’s gross domestic product. They also s

SEJONG -- The International Monetary Fund on Tuesday predicted that the growth of the Korean economy would stay in the mid 2 percent range this year in the wake of the war between Ukraine and Russia, alongside the ongoing pandemic. In its latest world economic outlook report, the IMF revised down its forecast on the gross domestic product growth of Korea by 0.5 percentage point from its earlier suggestion of 3 percent to 2.5 percent. The figure is lower than the growth prediction of 2.7 percen