Journalist

Kim Yu-jin
  • Oceans Minister offers to step down amid bribery allegations
    Oceans Minister offers to step down amid bribery allegations SEOUL, December 11 (AJP) - Minister of Oceans and Fisheries Chun Jae-soo resigned on Thursday, just a few days after allegations emerged that he accepted bribes from the powerful Unification Church, better known as the Moonies. The church is suspected of bribing a slew of lawmakers from both the ruling Democratic Party (DP) and the main opposition People Power Party (PPP) to allegedly secure various favors including its long-pursued dream of constructing an underwater tunnel between South Korea and Japan. Speaking at Incheon International Airport upon his arrival from an overseas trip, Chun said, "Stepping down is the right thing to do as a public official." But Chun, one of close aides of President Lee Jae Myung, denied all the allegations, calling them "groundless," and stressed that the "government should not be shaken." "This will be clarified through investigations," he added. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-11 10:08:09
  • Seoul heralds record government debt pipeline for 2026
    Seoul heralds record government debt pipeline for 2026 SEOUL, December 10 (AJP) - South Korea plans to issue a record volume of treasury bonds next year, raising oversupply concerns on the tepid debt market. According to 2026 pipeline, the Ministry of Economy and Finance intends to issue 225.7 trillion won in treasury bonds. Although the figure is 5.4 trillion won lower than this year’s issuance, the net increase in outstanding debt will reach 109.4 trillion won—25.7 trillion won more than the previous year and potentially the largest annual rise on record. This year’s experience shows how tentative such plans can be: the government initially targeted 201.3 trillion won in issuance but ultimately expanded the total to 231.1 trillion won after a supplementary budget, raising the likelihood that next year’s issuance could also exceed its projected ceiling. The surge in government borrowing is expected to push the national debt-to-GDP ratio above 50 percent for the first time, rising from 49.1 percent this year to 51.6 percent next year. The International Monetary Fund has warned that South Korea’s debt ratio could climb to 130 percent by 2050 if the current trajectory continues, a level that would severely constrain fiscal flexibility. A larger supply of treasury bonds typically places upward pressure on yields, and analysts warn that higher market interest rates could feed into bank lending rates, raising borrowing costs for businesses and households at a time when the domestic economy remains fragile. The three-year government bonds yield 3.058 percent and five-year papers 3.259 percent, widening the spread with the base rate of 2.50 percent. The burden of rising borrowing rates is apparent in the banking sector. As of the third quarter, non-performing loans at the four major banks—KB Kookmin, Shinhan, Hana, and Woori—rose 27.3 percent from the end of last year to 2.9 trillion won. Corporate loan NPLs increased 29 percent to 1.98 trillion won, while household loan NPLs climbed 23.7 percent to 923.4 billion won. The market however is not without an upside. The country’s forthcoming inclusion in the FTSE World Government Bond Index is expected to draw between $50 billion and $80 billion in global investment as passive funds adjust their portfolios to include Korean sovereign bonds. Kim Han-soo, a researcher at the Capital Market Research Institute, said the move would help stabilize financing conditions by attracting long-term foreign investors who have recently retreated due to the won’s depreciation and the widening interest-rate differential with the United States. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-10 11:01:17
  • South Korea to host 4th UN Ocean Conference in 2028
    South Korea to host 4th UN Ocean Conference in 2028 SEOUL, December 10 (AJP) - South Korea will host the 4th United Nations Ocean Conference in June 2028 after the UN General Assembly adopted a resolution endorsing the bid in New York on Dec. 9, the Ministry of Oceans and Fisheries and the Ministry of Foreign Affairs said Wednesday. The UN Ocean Conference, held every three years, is the world’s largest high-level maritime meeting, focused on implementing Sustainable Development Goal 14, which seeks to conserve and sustainably use the oceans and marine resources. Organizers expect about 15,000 participants from the UN’s 193 member states, international organizations and non-governmental groups. The 2028 gathering will take place two years before the 2030 deadline for achieving the UN Sustainable Development Goals, heightening its significance as a forum for shaping post-2030 global ocean governance. In line with long-standing UN practice of joint stewardship by developed and developing nations, South Korea will co-host the conference with Chile. Seoul and Santiago agreed to the co-hosting arrangement in April 2024. President Lee Jae Myung pledged the country’s commitment to hosting the event in a keynote address to the UN General Assembly in September. Oceans Minister Jeon Jae-soo attended the latest UN meeting to consolidate international backing for the bid. As an official UN conference, the agenda and structure will be determined through negotiations among member states, led by South Korea and Chile. The South Korean government said it plans to use the event to showcase its maritime technology, shipbuilding and ocean policy capabilities. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-10 09:52:14
  • Koreas life expectancy rises to 83.7, outliving OECD average
    Korea's life expectancy rises to 83.7, outliving OECD average SEOUL, December 03 (AJP) - South Koreans born last year are expected to live up to 83.7 years on average, outpacing the OECD average, according to the 2024 Life Table released by the Ministry of Data and Statistics on Wednesday. Life expectancy for men reached 80.8 years and for women 86.6 years, each up 0.2 years from the previous year. The gender gap has continued to narrow since peaking in 1985, now standing at 5.8 years. For those already aged 60, men are expected to live another 23.7 years and women 28.4 years, marking increases of 0.3 years and 0.2 years, respectively. South Korean men now live 2.3 years longer than the OECD male average of 78.5 years, while Korean women exceed the OECD female average by 2.9 years. Cancer continues to be the leading cause of deaths in Korea, accounting for 19.5% of lifetime mortality risk, followed by pneumonia (10.2%), heart disease (10.0%), and cerebrovascular disease (6.9%). The likelihood of dying from cancer and pneumonia has increased, while COVID-19 mortality has declined sharply. Over the past decade, pneumonia has shown the steepest rise in death rates for both men and women. As people age, the risk of dying from pneumonia, heart disease, sepsis, and Alzheimer’s disease rises, whereas risks from suicide and accidents fall. Removing cancer from the mortality profile would extend life expectancy by 3.3 years; eliminating heart disease would add 1.2 years, and removing pneumonia would add 1.0 year. Healthy life expectancy — the number of years a newborn can expect to live without illness — stood at 65.5 years, while subjective healthy life expectancy was 73.8 years. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 13:20:02
  • Seoul wields strongest-yet rhetoric to reverse KRW slide toward historic lows
    Seoul wields strongest-yet rhetoric to reverse KRW slide toward historic lows SEOUL, November 26 (AJP) - South Korea must establish a new management framework for the National Pension Service (NPS) — the world’s third-largest pension fund and a market force amplified by an aging population already accounting for 20 percent of the nation — as its outsized footprint increasingly shapes both the capital market and the Korean won’s plunge to record-weak levels, the country’s top financial chief warned Wednesday. In a rare press briefing devoted largely to the foreign-exchange issue, Finance and Economy Minister Koo Yun-cheol described the NPS as the “single largest player” in Korea’s FX market. As of August, the NPS managed 1,322 trillion won in assets, roughly half of Korea’s 2024 real GDP of 2,292.2 trillion won. Its overseas holdings — 486.4 trillion won in equities and 94.3 trillion won in bonds — roughly on par with the Bank of Korea’s foreign-exchange reserves of $428.8 billion at end-September at current exchange rate. SEC filings show the fund holding $128.8 billion in U.S. equities alone. The government has held a flurry of meetings with the NPS and major brokerages this week as the dollar moved toward the unfamiliar four-digit zone of 1,500 won. Bank of Korea data show this year’s volume-weighted average dollar-won rate reaching 1,417 won as of Tuesday — surpassing the previous record of 1,398.88 won set in 1998 when the country was under international bailout. The annual average was 1,276.4 won in 2009 after the global financial crisis. The won has grown structurally weak against the greenback since the 2021–2022 pandemic years, driven by a surge in retail day-trading and overseas stock purchases — a shift amplified this year by the AI-fueled rally in U.S. tech equities. “The dollar can become structurally short in our market,” Koo said, noting NPS reserves are projected to nearly triple to 3,600 trillion won by 2071, with overseas investment rising in parallel. He warned that overshooting in the dollar-won rate — despite robust underlying fundamentals — could hurt the economy if inflation and diminished purchasing power erode real incomes. Koo stressed the need for a long-term FX-protection roadmap for NPS reserves, warning that severe two-way volatility could erupt if the fund ever had to convert large volumes of dollars into won at once. “We need a fundamental, long-term solution to operate the fund without undermining returns for pensioners,” he said. He emphatically denied speculation that the government may tap the NPS’s dollar holdings to artificially prop up the won, but cautioned against “excessive one-sided” volatility and speculative trading. The government has met with exporters as well as brokerage houses and will “meet with anyone” and “use all possible options” to stabilize the FX market — signaling interventionist intent while avoiding actions that could draw scrutiny from Washington. On hedging, Koo said the decision remains with the NPS, which is permitted to hedge up to 10 percent of overseas assets with investment-committee approval. But he added the finance ministry will raise its voice as a committee member to better balance the fund’s safety and profitability. He added that the government may consider incentives for exporters to convert part of their dollar revenue into won if necessary. Korea is not currently reviewing taxes to curb foreign stock investment, he said, but left the door open, noting policy “can change depending on circumstances.” The market took a wait-and-see attitude to gauge how serious Seoul's resolve can be, with the dollar edging up 0.4 won to 1,466.8 won as of 2:00 p.m. 2025-11-26 14:20:48
  • IMF urges Korea to raise retirement age, delay pension payouts
    IMF urges Korea to raise retirement age, delay pension payouts SEOUL, November 26 (AJP) - The International Monetary Fund has recommended that South Korea raise its statutory retirement age to 65 and delay the start of public pension benefits to 68, according to a report posted on the IMF’s website. Citing OECD research, the Fund said the proposed changes could lift total employment by about 14 percent and increase GDP by 12 percent by 2070. The IMF said adjusting the retirement and pension system is essential to ensure long-term fiscal sustainability as the country confronts rapid population ageing. It also called for reforms to South Korea’s seniority-based wage structure, urging a shift toward performance-related pay. Without changes to the wage system, simply extending the retirement age could have “unintended negative effects,” the report warned. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-11-26 09:49:51
  • S. Korea sets 2027 target for full autonomous vehicle commercialization
    S. Korea sets 2027 target for full autonomous vehicle commercialization SEOUL, November 26 (AJP) - South Korea will make large-scale investments in autonomous vehicles and artificial intelligence as part of a broader strategy to accelerate the country’s transition to an innovation-driven economy, Deputy Prime Minister and Finance Minister Koo Yun-cheol said on Wednesday. Speaking at an economic strategy meeting in Sejong, Koo said the government aims to commercialize fully autonomous vehicles by 2027 and elevate South Korea into the world’s top three leaders in the sector. Beginning next year, the government will establish dedicated “test cities” for autonomous driving, deploying more than 100 vehicles to collect data and validate technologies. Seoul also plans to support the development of specialized GPUs for autonomous systems and set up AI learning centers accessible to companies, universities and research institutes. Koo vowed to ease regulatory hurdles that have slowed progress in core technologies, including allowing the use of original, unpseudonymized video data to improve research accuracy. The meeting also reviewed plans to advance next-generation energy projects spanning solar power, power grids and green hydrogen. Koo said the government aims to commercialize high-efficiency tandem solar cell modules by 2028 and begin mass production of 20-megawatt offshore wind turbines within five years. To strengthen energy security, authorities will seek standard design approval for Korean small modular reactors and expand investment in nuclear-related funds. Koo added that AI-based grid systems will be introduced to improve forecasting and direct electricity to regions with higher demand. South Korea also plans to localize key high-voltage direct current technologies by 2027 and complete construction of the West Coast energy highway. In green hydrogen, the government aims to cut production costs by more than half through advances in high-efficiency technologies and large-scale demonstration projects. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-11-26 09:38:10
  • Korea targets Arctic route cooperation in talks with Denmark, UK
    Korea targets Arctic route cooperation in talks with Denmark, UK SEOUL, November 25 (AJP) - South Korea is sharpening its focus on Arctic shipping corridors as it launches a weeklong maritime diplomacy effort in Denmark and the United Kingdom, aiming to expand cooperation on emerging polar routes and secure broader international backing for its maritime agenda. The Ministry of Oceans and Fisheries said Tuesday Minister Jeon Jae-soo will meet Denmark’s Minister for Industry, Business and Financial Affairs on Nov. 26 to sign memorandums of understanding covering green and digital shipping routes and logistics. Seoul is also set to hold high-level talks with Maersk, the Danish Shipping Association, and the Danish Maritime Authority, with the Arctic route highlighted as a priority area for collaboration. From Nov. 27 to 28, Jeon will attend the 34th International Maritime Organization (IMO) Assembly in London. He will also meet IMO Secretary-General Arsenio Dominguez and Singapore’s Minister for Transport, Jeffrey Sio, to seek support for South Korea’s bid to host the 2028 UN Ocean Assembly and to advance preparations for next year’s World Maritime Day event in South Korea. Jeon will lead last-minute negotiations as the IMO Assembly decides whether South Korea will secure a 13th consecutive term on the IMO Council. “Through cooperation with the IMO and key maritime partners such as Denmark, we aim to strengthen the resilience of global maritime logistics and advance eco-friendly and digital transitions,” Jeon said. “The Ministry is committed to pioneering Arctic routes as a top national priority.” * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-11-25 13:38:11
  • Record number of 30-somethings in Seoul unable to afford their own homes
    Record number of 30-somethings in Seoul unable to afford their own homes SEOUL, November 24 (AJP) - A triple whammy of soaring home prices, an increase in single-person households, and tighter loan regulations has pushed the number of households in their 30s without their own homes in Seoul to a record high. According to the Ministry of Data and Statistics, the figure rose by 17,215 from the previous year to 527,729, the highest since relevant statistics began in 2015. After a slight dip from 475,606 in 2015 to 456,461 in 2018, the number of households in their 30s without their own homes began climbing in 2019, rising by about 3,000 in 2021 and reaching 17,000 in 2023. Homeownership among 30-somethings has fallen for three consecutive years, with 193,456 households owning homes in 2024, down 7,893 from the previous year, and 2.9 times fewer than those in the same age group without homes. In Seoul, just 25.8 percent of people in their 30s owned homes in 2024, compared to 33.3 percent in 2015 and 30.9 percent in 2020. Across the country, the proportion fell to 36 percent for its sixth consecutive year, though it remains 10 percentage points higher than in Seoul, suggesting that soaring home prices in Seoul make it difficult for young people to afford their own homes. Delays in employment and marriage are also pushing back home purchases, while Seoul's high proportion of single-person households is seen as another factor lowering homeownership among young people. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-11-24 10:38:41
  • INTERVIEW: Korean economist sees AI as key to breaking out of low growth
    INTERVIEW: Korean economist sees AI as key to breaking out of low growth SEOUL, November 13 (AJP) - South Korea has a rare chance to escape years of sluggish growth if it can harness artificial intelligence as a new engine of productivity, according to Jeon Kwang-woo, chairman of the Institute for Global Economics and a former head of the Financial Services Commission. In an interview with Aju Business Daily, Jeon said the country’s economy — long constrained by an aging population, weak investment, and slowing exports — could find renewed momentum in the global race for AI leadership. “Artificial intelligence can be a catalyst for growth,” he said, adding that the challenge is to ensure that innovation “does not deepen inequality or social polarization.” South Korea’s economy expanded 1.2 percent in the third quarter, beating expectations. The Bank of Korea now estimates that if growth in the final quarter remains above minus 0.1 percent, full-year expansion could reach roughly 1 percent. The International Monetary Fund recently raised its 2025 forecast for South Korea from 0.8 percent to 0.9 percent, while global investment banks see growth in the 1 percent range. Even so, Jeon noted that South Korea continues to lag behind major economies, where growth averages 2 to 3 percent. “Low growth has become structural,” he said. To address it, he called for policies that boost labor productivity, technological competitiveness, and corporate investment, supported by a more dynamic financial system. Jeon pointed to recent developments in the AI industry as a promising sign. NVIDIA chief executive Jensen Huang’s plan to supply 260,000 GPUs to South Korea, he said, represents not only a technological opportunity but also a strategic hedge against U.S.–China tensions. “We must expand infrastructure such as data centers and energy supply to take advantage of this AI momentum,” Jeon said. South Korea’s government has pledged to make the country one of the world’s top three AI powers, but Jeon cautioned that fiscal prudence will be essential. “Spending must focus on areas with strong multiplier effects, such as AI infrastructure,” he said. “Excessive cash handouts could undermine financial stability.” He also warned of potential labor market polarization as automation advances. “AI will reduce labor demand in some sectors,” he said. “The government and businesses should prepare through retraining programs and stronger safety nets for vulnerable groups.” Despite concerns about a possible AI bubble, Jeon remains optimistic that the technology will continue to drive exports — especially in semiconductors — and lift South Korea’s growth to the upper 1 percent range next year. But he cautioned that policy uncertainty and geopolitical risks, including renewed U.S.–China tariff tensions, could still weigh on the outlook. “AI is not a guarantee of growth,” he said. “It’s an opportunity — one we must seize carefully, with both innovation and inclusion in mind.” * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-11-13 10:37:59