Journalist
Lee Hugh
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Folk Museum anchors Gwanghwamun beyond BTS spotlight SEOUL, March 24 (AJP) - Gwanghwamun, the historic gateway to Gyeongbokgung Palace, briefly became the center of the world last Saturday as BTS turned it into a global livestream stage. But just steps away, another kind of crowd continues to gather — one drawn not by spectacle, but by story. On ordinary days, that stop is the National Folk Museum of Korea. Museums have been enjoying a surge in popularity, fueled in part by last year’s “K-pop Demon Hunters” hype and a broader global appetite for cultural immersion. The National Museum of Korea drew more than 6.5 million visitors last year, placing it alongside institutions like the Louvre and the Vatican Museums among the world’s most visited. The Folk Museum alone welcomed 2.28 million visitors, and nearly 60 percent of them foreigners. The appeal begins the moment visitors step inside. The entrance hall hums with motion. A group of French tourists leans into a digital display animating a traditional Korean village. Nearby, American college students mirror the gestures of a projected folk dance, their laughter echoing under the high ceiling. “I liked the interactive dance exhibit the most,” said Will, a 28-year-old visitor from Washington, still tracing the choreography with his hands. “It felt very interactive,” his friend added. “You could really immerse yourself in the experience.” Unlike traditional museums that rely on dense timelines and academic explanations, the Folk Museum organizes its exhibits around life itself — birth, childhood, marriage, aging and death — woven through the rhythm of seasons. The approach is deliberate. “If we just display objects by era, it can be difficult for foreigners to connect,” a museum official said. “But when we show how people lived — what they celebrated, how they raised children — those are experiences everyone can understand.” That philosophy is perhaps most vividly expressed in a special exhibition titled “Happy Birthday.” The gallery explores childbirth as both a personal and communal milestone. Among more than 300 artifacts are a delicate baek-il jeogori, worn by infants on their 100th day, and a father’s handwritten parenting diary, its careful script conveying quiet devotion. At the center stands the Cheonin Cheonjamun, a book of a thousand Chinese characters, each written by a different person — a symbol that a child is raised not by parents alone, but by an entire community. For some visitors, the resonance is immediate. “Everything here is beautiful,” said Tiago, a 42-year-old architect from Portugal now living in Angola, pausing before a display of traditional wooden furniture. “There’s a simplicity, but also a deep sense of purpose. Others point to something more subtle: accessibility. The museum’s layout is intuitive, its signage clear, and its exhibits cohesive — qualities that make it easy to navigate even for first-time visitors unfamiliar with Korean history. That accessibility has helped position the museum as part of a broader cultural circuit. Tourists often visit it alongside nearby landmarks such as Gyeongbokgung Palace, the National Museum of Korea and the National Museum of Modern and Contemporary Art, creating a curated day-long journey through Korean heritage. Lee Yourim, who has run a café near the museum for a decade, sees this pattern daily. “A lot of people visit several places in one course,” she said. “They go to the palace, then the museum, then somewhere else nearby.” She added that foreign visitors frequently praise the museum’s family-oriented programs, especially those designed for children. Steve Lebwohl, a 76-year-old businessman from Portland, Oregon, the museum’s strength lies in its storytelling. “The architecture is simple but functional,” he said. “What stands out is the content — the way it covers seasons, birth, dance. It gives you background and context on things that foreigners are curious about.” “It’s a rounded exhibit for a national museum,” he added. His son-in-law, Oh Hanbin, a Korean American, offers a more personal perspective. He has brought his children to the museum not just as tourists but as participants in a kind of cultural inheritance. “We wanted to show them how their halmeoni and harabeoji grew up,” he says, using the Korean words for grandparents. “There aren’t many places in Portland where you can experience Korean culture like this.” As Gwanghwamun shifts from global stage back to everyday crossroads, that quieter draw remains — a place where visitors move not just through exhibits, but through the lived rhythms of a culture. 2026-03-24 17:45:56 -
Lee Soo-man’s A2O Entertainment launches ‘Zalpha’ K-pop audition in Seoul A2O Entertainment Korea, founded by producer Lee Soo-man, said Tuesday it will hold its first official event, the “A2O Zalpha Audition.” The audition is drawing attention because it is Lee’s first project in South Korea that he will plan and oversee since a noncompete restriction in the domestic K-pop market was lifted. When Lee sold his SM Entertainment stake to HYBE in 2023, he agreed not to produce albums in South Korea for three years. That agreement was lifted last month, allowing him to resume domestic producing work. The audition will be held regularly every Sunday from 1 p.m. to 5 p.m. at A2O Entertainment Korea in Seoul’s Gangnam district. Applicants can show up in person on the day without separate advance steps or apply through the company’s official online channels. Categories include vocal, rap, dance and acting, and the audition is open regardless of nationality or gender. A2O said it plans to expand the program beyond South Korea to Japan, the United States and other markets. During the noncompete period, Lee established A2O Entertainment and formed the girl group “A2O May,” centered on Chinese members, focusing on overseas activities. The company said the domestic audition is expected to help put Lee’s “K-pop 2.0” approach on a full track.* This article has been translated by AI. 2026-03-24 17:43:42 -
BTS Comeback Show in Seoul Spurs Economic Boost, Debate Over Public Space Controls BTS’ return is no longer just entertainment news. The group’s comeback show held March 21 at Gwanghwamun Square was treated as a citywide event, not a brief item on the arts page. The Seoul Metropolitan Government activated a separate safety plan that included phased entry, traffic controls and even a plan for subway trains to pass through without stopping, anticipating the possibility that more than 260,000 people could gather. Newspapers also printed BTS special editions. One group’s comeback rippled through city administration, public safety, mass transit and newsroom decisions. The immediate impact around central Seoul was striking. Convenience store sales near Gwanghwamun rose about fourfold compared with a week earlier, and department store sales in nearby Myeongdong also climbed sharply. Hotels in the Myeongdong and Gwanghwamun areas were close to fully booked, and reservations by foreign visitors surged. A free concert shifted sales, hotel occupancy and visitor flows — a sign that the event was moving the local economy, not just drawing fans. That scale also helped fuel a cooler public reaction. For some residents, the fatigue was less about disliking BTS than about questions such as why the city had to be controlled to that extent and why a public space had to be reshaped around a single star act. After the show, criticism grew that the response was excessive. Yonhap reported that the crowd was estimated at 104,000 by organizers and about 48,000 based on Seoul’s real-time city data, while about 10,000 public workers were deployed, including 6,700 police officers. Some merchants said strict controls kept them from seeing as much of the expected foot-traffic boost. Seen that way, the debate is not simply “people who love BTS” versus “people who hate BTS.” Gwanghwamun is a symbolic public space, tied both to the city’s royal-era landscape and to modern political rallies and civic memory. A BTS performance there showcased South Korea’s cultural reach, and its free admission and global live broadcast gave it a measure of public value. But public value does not mean residents should be expected to accept any level of disruption. The central issue is not whether BTS belongs on such a stage, but what standards, public agreement and after-the-fact evaluation should apply when a mega cultural event uses a major public space. In that sense, calling BTS’ return a social event is not only praise for popularity. When a single comeback can close roads, mobilize security, prompt special newspaper editions and affect retail sales and lodging demand, it reflects a new reality. BTS is not just a pop act; it is a force that tests how a city prepares for and manages mass gatherings. The mix of excitement and exhaustion is a predictable result of that scale. * This article has been translated by AI. 2026-03-24 17:42:21 -
‘Salmokji’ aims to deliver immersive K-horror with water ghost tale A mysterious figure captured on a road-view image and a dark, deep reservoir form the backbone of the new Korean horror film “Salmokji,” which aims to turn a familiar “water ghost” legend into a modern, immersive scare. A press screening and news conference for “Salmokji,” directed by Lee Sang-min, was held Tuesday afternoon at CGV Yongsan I’Park Mall in Seoul. Lee attended with cast members Kim Hye-yoon, Lee Jong-won, Kim Jun-han, Kim Young-sung, Oh Dong-min, Yoon Jae-chan and Jang Da-a. The film follows a production crew that heads to a reservoir to verify an unexplained figure seen on road-view imagery, only to encounter a series of strange events. Starting from an everyday digital tool, the story shifts into the psychological pressure of an isolated setting. Lee said he wanted to maximize fear rooted in place. “I’ve always loved horror films, and my previous short films were also in the horror genre,” he said. “I wanted to amplify the fear a space can create. I focused on the ‘water ghost’ because I thought it could show an original image.” He said the goal was not just to watch fear unfold, but to make audiences feel as if they are inside it. “From the planning stage, I hoped viewers would feel ‘experiential horror,’ as if they were being bewitched by a water ghost,” Lee said, adding that the film uses devices unique to the creature, including appearances and reflections on the water’s surface. He also expressed confidence in a ScreenX version produced in postproduction, saying distortion in scenes such as the road-view sequence would heighten immersion. Cast members said they were drawn by the script and the project’s distinctive energy. Kim, who said she has long enjoyed horror films, described the shoot as exciting. “The script was so fun, and I really wanted to challenge myself with the character,” she said. “I think it will remain a good part of my career.” Jang, making her screen debut, plays Se-jeong, a character who meets a shocking end. “It was a completely different character from me, so acting out the dramatic emotional changes was a big experience,” she said. She added that the final scene became “much more horrific” than what was on the page, and said she went into filming prepared for what she called a “terrible death.” “It wasn’t easy, but the staff and I worked as one, focused on making the scene come out well,” she said. The production’s atmosphere also drew attention, with cast members recounting unusual experiences on set. Kim Jun-han said staff members reported seeing an unidentified young child, and that sensor lights at their lodging turned on and off on their own. “I thought, maybe that means the film will do well,” he said with a laugh. Underwater filming was described as a key element supporting the movie’s finish. Lee Jong-won said he trained ahead of time for an action sequence that required him to dive deep underwater to save someone. “Acting underwater wasn’t easy, but I did my best,” he said. Kim Young-sung and Oh Dong-min said their on-screen “brother” chemistry helped ground the story’s fear in realism. Recalling an underwater shoot in subzero wind chill, Oh said Kim would shiver between takes but snap into character as soon as action was called. Kim credited Oh’s emotional performance for helping him stay immersed through the final scene. Lee said he sees horror as a form of entertainment for younger audiences, noting a recent atmosphere of Gen Z moviegoers returning to theaters after the box-office success of “The Man Who Lives With the King.” “I also used to relieve the stress of exam periods by watching horror films when I was a teenager,” Lee said, recalling enjoying them with friends as a kind of courage test. “Horror films have a charm — after you scream, you feel refreshed when it ends.” He said he hopes students facing midterms will use “Salmokji” to blow off stress and enjoy what he described as a Gen Z-style “courage test.” “Salmokji” is scheduled for release in April. * This article has been translated by AI. 2026-03-24 17:24:23 -
Little-known Korean tanker bet pays off as Hormuz crisis turns VLCCs into liquid gold SEOUL, March 24 (AJP) - A little-known South Korean shipowner has emerged as one of the biggest winners of the Persian Gulf crisis, as a wartime chokehold on the Strait of Hormuz transforms oil tankers into highly profitable floating storage — and draws takeover interest from the world’s largest container carrier. Janggeum Maritime, the tanker arm of Sinokor Merchant Marine Group, has struck an investment deal with Geneva-based Mediterranean Shipping Company (MSC), under which the global shipping giant is seeking to acquire a 50 percent stake in the firm. The two sides have signed an agreement and filed for merger approval with South Korea’s Fair Trade Commission, as well as regulators in Greece and Cyprus. Details of the deal including financial terms were not disclosed. The deal comes as Janggeum Maritime rides an extraordinary windfall from a market dislocation triggered by war in the Middle East. With the Strait of Hormuz effectively crippled following U.S.-led strikes on Iran in late February, crude exports from key Gulf producers have plunged while onshore storage capacity has rapidly filled. That imbalance has pushed global oil majors and traders to charter very large crude carriers (VLCCs) as floating storage units, sending demand — and earnings — sharply higher. Floating storage in the region has surged from around 10 million barrels before the conflict to more than 50 million barrels, according to Reuters. Over the same period, crude exports from eight Middle Eastern countries dropped from 25.13 million barrels per day to 9.71 million barrels. Janggeum Maritime moved early. The company had aggressively expanded its fleet of secondhand VLCCs ahead of the conflict — a strategy that is now paying off. Since late December, Sinokor has been linked to the purchase of 29 VLCCs built between 2010 and 2016, paying between $68 million and over $100 million per vessel, well above benchmark valuations, according to a Lloyd’s report. The acquisitions included eight vessels from John Fredriksen’s Frontline, six from Belgium’s CMB.Tech, three from the UK’s Zodiac Maritime, and two from New York-listed International Seaways. Other reported sellers include Greece’s Marinakis Group, George Economou’s TMS Tankers and Chandris Group. Industry insiders say the nature of those purchases offered an early clue. “Buying older VLCCs — especially without scrubbers — is a strong signal they’re intended for storage rather than transport,” a shipping source said. “Fuel efficiency matters less when vessels are anchored.” That strategy was reinforced in late January, when the company pre-positioned at least six empty tankers in the Persian Gulf. When the conflict escalated on Feb. 28 and shipping routes tightened, oil companies scrambled to secure storage — and Janggeum was already in place. The payoff has been dramatic. The company is now estimated to be earning about $500,000 per day per vessel from floating storage leases — up from $30,000–40,000 a year ago, $70,000–80,000 in late February, and even above the roughly $400,000 currently earned on key Middle East–Asia transport routes. With MSC entering the picture, Janggeum Maritime is now looking beyond opportunistic gains. The tie-up is aimed at diversifying into broader shipping operations by leveraging MSC’s global container network, potentially transforming the tanker-focused firm into a more integrated maritime player. Janggeum Maritime declined to comment on its fleet acquisitions and VLCC strategy. MSC did not respond to requests for comment. 2026-03-24 17:23:37 -
Kim Hyo-joo jumps to No. 4 in women’s golf world ranking after Founders Cup win Kim Hyo-joo, the Fortinet Founders Cup champion on the LPGA Tour, climbed to No. 4 in the women’s world golf ranking after earning her eighth career victory. In the rankings released March 24 (Korean time), Kim rose four spots from No. 8 last week to No. 4, matching her career-high position for the first time since March 2015. Kim opened her season with a solo third-place finish at the LPGA Tour’s Honda Thailand, then captured her first win of the season in her third start at the Founders Cup. She won the title March 23 at 16-under 272, edging Nelly Korda of the United States by one stroke (15-under 273). It was Kim’s first LPGA Tour victory in a year, since the Ford Championship in March last year. Kim led from the opening round through the final round for a wire-to-wire win and reclaimed the Founders Cup title 11 years after first winning the event in 2015, her LPGA Tour debut season. Kim Sei-young, who tied for third at the Founders Cup, moved up one spot from No. 10 to No. 9 in the world ranking. Yoo Hae-ran stayed at No. 13 and Choi Hye-jin held at No. 15. Kim A-lim was No. 25, Hwang Yoo-min No. 31 and Ko Jin-young No. 37. Lim Jin-hee, who also tied for third at the Founders Cup, jumped 10 places from No. 49 to No. 39. The top three remained unchanged: Jeeno Thitikul of Thailand at No. 1, Korda at No. 2 and Charley Hull of Britain at No. 3.* This article has been translated by AI. 2026-03-24 17:12:00 -
Public servants required to alternate vehicle use SEOUL, March 24 (AJP) - Civil servants nationwide are required to alternate the use of their vehicles depending on the last digit of their license plates as part of measures to cope with energy shortages amid supply disruptions caused by the ongoing conflict in the Middle East. At a cabinet meeting with key aides at Cheong Wa Dae on Tuesday, President Lee Jae Myung said, "Public institutions should lead by example, and I ask civil servants to join an energy-saving campaign by reducing electricity use in their daily lives." Starting Wednesday, workers at public institutions will be required to leave their cars at home at least one day a week and use public transportation instead. Drivers of eco-friendly vehicles, such as electric and hydrogen cars, are exempt, and private-sector workers are also encouraged to participate. Such mandatory measures were last implemented in 2011, when oil prices exceeded US$100 per barrel. This would also be the first time since the 1991 Gulf War that they have been extended to the private sector. Citing increasing uncertainty over crude oil and natural gas supplies amid the prolonged conflict that began with U.S.-led airstrikes on Iran late last month, Lee said, "To respond to this serious crisis, the government should proactively move into an emergency mode." "Because petrochemical products are used everywhere, it is hard to predict when, where and what problems may arise," Lee said, urging aides to "thoroughly prepare and implement contingency plans with the worst-case scenario in mind." Referring to suspected price gouging among refiners, Lee warned that inflating prices to take advantage of rising oil prices must be "rooted out and strictly punished." He also urged officials to ensure a 25 trillion-won ($16.7 billion) supplementary budget is swiftly implemented and properly planned so the public can feel its impact. Its parliamentary approval is scheduled for early next month. 2026-03-24 17:06:38 -
Celltrion Expansion, HLB Tissue Bank License, Aribio Alzheimer’s Trial Update and More Celltrion to expand new drug-substance production in Songdo, investing 1.2 trillion won Celltrion said March 24 it will secure additional manufacturing capacity, including a major expansion at its headquarters campus in Songdo, Incheon, with investment exceeding 1 trillion won. The company said the plan is intended to meet rising global demand for biopharmaceuticals and strengthen manufacturing competitiveness. The investment will be carried out in phases from this year through 2030 and includes infrastructure expansion across the Songdo campus, a U.S. production base and domestic sites. At Songdo, Celltrion will invest 1.2265 trillion won to expand Plants 4 and 5 simultaneously, bringing total capacity to 180,000 liters. The new facilities will apply automation and smart-factory technology, the company said, enabling production ranging from small-batch, multi-product runs to large-scale manufacturing. It said the system is expected to support faster production of future biosimilars and new drugs. Celltrion also finalized the scale of an expansion at its Branchburg, New Jersey, facility to strengthen competitiveness in the U.S. market. It plans to increase capacity there from 66,000 liters to 75,000 liters, securing total drug-substance production capacity of 141,000 liters. The Branchburg site is expected to play a key role in local supply for the Celltrion Group and in expanding its contract manufacturing (CMO) business, the company said. Celltrion is also moving to strengthen drug-product production. A new drug-product facility being expanded at Songdo is nearing completion within the year and, once operational, will be able to produce 6.5 million liquid vials annually. Combined with the maximum output of the Plant 2 drug-product line, Songdo would have total capacity of 10.5 million vials, the company said. A new drug-product plant planned for an industrial complex in Yesan, South Chungcheong province, has secured its site and is scheduled to begin design work within the year. Celltrion said that once the Yesan plant is completed and Celltrion Pharm’s planned expansion of prefilled syringe (PFS) production is finished, the group would be able to internalize about 90% of its global drug-product needs. The company said it expects significant manufacturing cost savings compared with overseas drug-product CMO production. HLB Life Science wins tissue bank license, expanding human tissue graft business HLB Life Science said March 24 it has obtained a tissue bank license and will move ahead with expanding its human tissue graft business. The approval provides a foundation to handle human tissues including bone, cartilage, fascia and skin, the company said. The product HLB Life Science will distribute, “Freedom Inject Refill,” is an injectable acellular dermal allograft derived from human tissue. Using acellular dermis as its raw material, it is used to treat damaged tissue such as ligaments, tendons and muscles and to support surgical procedures, the company said. The company said the material is produced by removing cells and fat components from skin-derived tissue while preserving extracellular matrix components needed for tissue regeneration, including collagen. It is expected to be used broadly for reconstruction, regeneration and recovery of damaged soft tissue and joints. Initial supply targets include orthopedic surgery, neurosurgery, obstetrics and gynecology, and urology clinics nationwide, with distribution to be expanded gradually, the company said. Aribio says ADPD 2026 presentation supports reliability of global Phase 3 data for AR1001 Aribio said March 24 that Sharon Sha, a Stanford University professor and the global principal investigator, presented an update on the global Phase 3 program for its oral Alzheimer’s disease treatment candidate AR1001 at ADPD 2026 in Copenhagen. POLARIS-AD is a large global Phase 3 trial evaluating the efficacy and safety of AR1001 (30 mg, once daily) in patients with early Alzheimer’s disease. A total of 1,535 patients are enrolled across 13 countries in North America, Europe and Asia, making it the largest trial among oral treatments currently in development, the company said. In the presentation, Sha said, “The baseline demographic characteristics and cognitive and functional indicators in POLARIS-AD are similar to those in existing global registration trials, and no unexpected safety signals have been observed to date.” Sha also highlighted what Aribio described as AR1001’s mechanistic differentiation. “AR1001 has very high blood-brain barrier (BBB) permeability, and its selectivity for PDE5 is superior to PDE6 and PDE11, resulting in fewer side effects than drugs in the same class,” she said. Aribio said this could be a competitive advantage in a market where long-term use is required. Aribio said it plans to release top-line data from the global Phase 3 trial in the third quarter and is aiming to submit a new drug application to the U.S. Food and Drug Administration in the second half of the year. Hugel’s Wellage runs mobile pop-up events to deepen consumer engagement Hugel said March 24 that its clinical cosmetics brand Wellage expanded offline consumer outreach through hands-on events. In collaboration with Beauty+, Wellage held a three-day “moving pop-up” from March 19 to 21 at university campuses and around Seongsu-dong. The company said the event was designed to strengthen brand experience among its core targets, including college students and the MZ generation, and drew about 2,800 visitors over three days. Wellage ran trial programs for its flagship “Real Hyaluronic Blue 100 Ampoule” and its new “Real Hyaluronic Soothing Cream,” and held a participatory product-draw event to gather consumer feedback, the company said. Daewoong Pharmaceutical signs supply deal with TR for digital spirometry device “The Spiro Kit” Daewoong Pharmaceutical said March 24 it signed a supply agreement with TR for a digital spirometry device, “The Spiro Kit,” and will strengthen sales to clinics, hospitals and health screening centers nationwide. Under the agreement, TR will handle development and manufacturing, while Daewoong Pharmaceutical will oversee distribution, sales and marketing through its nationwide network, the company said. Daewoong described the deal as a strategic partnership combining a medical device developer’s technology with a pharmaceutical company’s sales infrastructure. TR is expected to secure stable sales channels and marketing capabilities, while Daewoong Pharmaceutical adds a digital medical device to its business portfolio, it said. The companies said the partnership is aimed at meeting rising demand for pulmonary function tests as South Korea’s national health screening system is revised. With pulmonary function testing (PFT) formally added to general health screenings starting this year, people ages 56 and 66 will have an opportunity to detect major respiratory diseases such as chronic obstructive pulmonary disease (COPD) earlier through screenings, the company said.* This article has been translated by AI. 2026-03-24 17:06:28 -
New Book Warns Digital Tech and AI Are Eroding Cognitive Independence Digital technology is quietly encroaching on the human brain, a new book argues, citing neuroscience data. In an era dominated by artificial intelligence and algorithms, the authors say people are trading convenience for the loss of control over their own thinking. BookLab recently published “Lending My Brain — Neuroscience to Reclaim the Sovereignty of Thought in the AI Era.” The book examines how reliance on search changes memory formation, how short-form content reshapes attention systems, and how GPS use affects spatial cognition and the hippocampus. It also offers practical strategies aimed at restoring cognitive skills. The book is co-authored by three experts in medicine, management and technology: Lim Gyu-seong, a gastroenterology and hepatology specialist and medical doctor who heads GenosisAI Healthcare; Kang Si-cheol, a management Ph.D. and AI technology adviser to Seoul Medical Center who serves as vice chairman of GenosisAI Healthcare; and Lee Hui-won, chairman of GenosisAI Healthcare, who has led development of third-generation Human Digital Twin technology. The authors argue that while people in the 21st century have unprecedented access to information, their ability to internalize it is rapidly weakening. Citing research on the so-called “Google Effect,” they say outsourcing memory to digital tools brings measurable changes to synaptic plasticity and long-term potentiation mechanisms, and that cognitive decline can damage creativity, critical thinking and judgment. They also focus on the imprint of algorithmic curation and short-form content on cognition. The book describes the neuroscience basis of filter bubbles and confirmation bias, and uses the “popcorn brain” and “dopamine loop” theories to explain how consuming videos in 15-second bursts can fragment attention. As a remedy, the authors propose “cognitive friction,” a strategy of deliberately introducing inconvenience to restore deeper thinking. They outline an “eight-week cognitive sovereignty recovery program” that includes reading paper books, allowing the default mode network to activate through idle time, remembering routes without a map, and writing by hand. The book broadens into a philosophical question about balancing technology and humanity. The authors urge readers to choose between passively receiving information and living as thoughtful creators, framing the central challenge as a shift from knowledge to wisdom and from cognitive offloading to cognitive sovereignty.* This article has been translated by AI. 2026-03-24 17:04:19 -
Deposit-Backed Loans Rise at South Korea’s Top Banks as Stock Leverage Persists 'Borrowing to invest' remains strong. Even as uncertainty persists after the Middle East situation, borrowing is rising not only through unsecured credit loans but also through loans backed by deposits. With tough government rules slowing growth in mortgage lending, leveraged stock investing is emerging as a new variable in managing household debt, analysts say. According to the financial sector on the 24th, the outstanding balance of deposit-backed loans at the five major banks — KB Kookmin, Shinhan, Hana, Woori and NH NongHyup — totaled 6.3069 trillion won as of the 20th. That is nearly 10% higher than 5.8446 trillion won in March last year and the highest level on record. The balance has continued to rise this year, reaching 6.2290 trillion won in January and 6.2690 trillion won in February. Deposit-backed loans allow borrowers to take out about 90% to 95% of the value of their deposits, depending on the bank. Interest rates are typically set at the deposit rate plus about 1 to 1.5 percentage points. The rapid increase is being attributed to the combination of strict lending curbs that have continued since last year and a strong stock market. Some borrowers are using deposit-backed loans — which are excluded from debt service ratio rules that reduce personal loan limits — to fill funding gaps, or to use them like a credit line for stock investing, analysts say. A commercial bank official said market volatility has increased since the Middle East situation, but many investors appear to see it as a buying opportunity. The official said demand seems to be rising because rates are relatively low and borrowers can respond by canceling the deposit if they cannot repay. Buying by retail investors has continued to expand despite heightened uncertainty. On the 23rd, foreign investors net sold 3.6984 trillion won on the Korea Exchange’s main board, pulling the index lower, and institutions sold 3.8172 trillion won. Individuals, however, net bought 7.0030 trillion won, the largest net purchase on record. Margin debt, a key gauge of leveraged investing, also remains near peak levels. Data from the Korea Financial Investment Association show the balance hit 33.7 trillion won on the 5th, then slipped to the 31 trillion to 32 trillion won range, but has held in the 33 trillion won range again since the 16th. Financial officials say stock-market leverage could become a new factor in household debt management as overall household lending begins to expand again, centered on deposit-backed and unsecured loans. As of the 20th, household loan balances at the five major banks totaled 766.2606 trillion won, up 395.1 billion won from the end of last month (765.8655 trillion won). Over the same period, mortgage loans fell 40.0 billion won to 610.6811 trillion won, suggesting other lending — including deposit-backed loans — drove the increase. Another financial sector official said demand to pull together funds is growing as investors seek to take advantage of increased volatility. But the official warned that loans taken for short-term investing can shift in size and repayment timing depending on market conditions, and said deposit-backed lending should be watched closely.* This article has been translated by AI. 2026-03-24 17:03:00