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  • Shinhan Bank Allocates Additional 500 Billion Won for Housing Loans
    Shinhan Bank Allocates Additional 500 Billion Won for Housing Loans Shinhan Bank has allocated an additional limit for housing loans through loan brokers. This temporary expansion of broker applications aims to enhance loan accessibility for young people and actual homebuyers.According to the financial sector on September 17, Shinhan Bank has designated a total of 500 billion won for a special limit on housing loans through broker channels. Starting on September 18, 250 billion won will be allocated first, with the remaining 250 billion won to be supplied from October 2. The target audience is individual customers aged 39 and under.Previously, Shinhan Bank resumed accepting housing loan applications through brokers on September 1, but the influx of applications led to the closure of submissions by 5 p.m. the following day. This special limit is separate from the already exhausted limit for September.A Shinhan Bank official stated, "We have allocated this special limit to support the government's initiative for youth housing stability and to strengthen financial support for actual homebuyers." The official added, "While managing the overall household loan volume stably, we will carefully ensure that necessary funds are supplied to young people and actual homebuyers without disruption."Meanwhile, following the recent easing of household loan volume management limits under the 8.13 measures, banks are expanding their lending operations, which they had previously restricted. IBK Industrial Bank also resumed accepting housing loans and jeonse (key money deposit) loans through brokers starting September 15.* This article has been translated by AI. 2026-09-17 16:16:00
  • Seoul Housing Prices Surge, Driven by Outer Areas with 17% Increase Over 84 Weeks
    Seoul Housing Prices Surge, Driven by Outer Areas with 17% Increase Over 84 Weeks Seoul's apartment prices have risen for 84 consecutive weeks, nearing the previous record of 85 weeks. Unlike past trends where prices fell in outer areas first, this time, the Gangnam district is experiencing declines while outer regions are on the rise. Although the duration of this increase is shorter than before, the cumulative rise is more than double.According to the Korea Real Estate Agency, as of the second week of September (September 14), the average sale price of apartments in Seoul increased by 0.16% compared to the previous week, marking 84 weeks of continuous growth since the first week of February last year. This leaves just one week before matching the longest streak of 85 weeks recorded from June 2020 to January 2022.During the previous longest growth period, prices began to decline in Eunpyeong District on December 20, 2021, followed by Dobong and Gangbuk Districts on December 27, and Seongbuk and Nowon Districts on January 10 of the following year. The overall sale prices in Seoul fell on January 24, ending that growth phase, although Gangnam and Seocho Districts saw slight increases of 0.01%.In contrast, Gangnam and Seocho Districts have experienced six consecutive weeks of declines since August 10, while Songpa District has seen two weeks of decreases. However, all other 22 districts have reported price increases. This week, Jungnang District recorded the highest rise at 0.51%, followed by Seodaemun and Dobong Districts at 0.47% each, and Seongbuk District at 0.43%, highlighting the strength of outer areas.The cumulative increase during this period is also significant. Based on weekly statistics from the Real Estate Agency, the cumulative increase in apartment prices during the previous longest growth period of 85 weeks was 7.71%. In contrast, the current growth period has seen a cumulative increase of 17.34% over 84 weeks, more than double the previous rate despite being one week shorter.However, the recent upward trend is showing signs of slowing. The overall increase in Seoul dropped from 0.29% in the fourth week of August to 0.22%, 0.20%, and finally 0.16%. In outer areas, while Jungnang and Dobong Districts continued to rise, Gangbuk District's increase slowed from 0.46% to 0.26%, indicating regional disparities.Market analysts suggest that the initial surge in core areas like Gangnam has led to a shift in demand towards less expensive regions due to loan and transaction regulations targeting high-priced homes, creating a 'matching' market dynamic.Looking ahead, the key question is whether the weakness in Gangnam will spread to other areas or if the buying momentum in outer regions will continue. It is difficult to assume that a decline will occur at the same time simply because the current growth period is similar to past ones.Seojin Hyung, a professor at Kwangwoon University, stated, "The ongoing supply shortage, coupled with the depreciation of currency value due to increased money supply, is likely to keep upward pressure on housing prices for the time being. In a situation where rental properties are scarce, actual buyers are moving to the sales market, particularly focusing on relatively lower-priced outer areas."Kwon Dae-jung, a professor at Hansung University, noted, "As demand shifts to relatively lower-priced areas, a balloon effect is emerging, suggesting there is potential for further increases until spring next year. While the high-end housing market is experiencing a slowdown due to various regulations, demand is concentrating in mid- to low-priced areas, which could lead to increases in both sale and rental prices."He added, "To quickly fill the supply gap, it is necessary to activate the supply of non-apartment housing. If the issues surrounding the calculation of housing units for multi-family homes and officetels are not addressed, there may be limits to expanding supply." 2026-09-17 16:12:00
  • Design Miami: 12,000 Visitors and Galleries Report Sold-Out Success
    Design Miami: 12,000 Visitors and Galleries Report Sold-Out Success The 'Design Miami: Seoul 2026' event, which concluded on September 6, showcased the potential of 'buying design' beyond mere exhibition.According to the Seoul Design Foundation, a total of 11,972 visitors attended the event over its seven-day run. More than 50 pieces were sold, with some galleries reporting complete sell-outs.This year's theme, 'Resonance: Design in Dialogue,' connected global galleries with Asian designers and brands, bridging different cultures, generations, technologies, and craftsmanship through design. Six international galleries and nine major partners, including Samsung Electronics and Alosso, participated, featuring over 100 designers and more than 230 works, expanding the scale and programming of the international collectible design fair.Notably, 11,972 people visited the DDP during the event, with 2,937 attending the VIP preview on opening day. A total of over 50 pieces were sold, including 35 from gallery exhibits and 15 from in-situ works, leading to numerous purchase negotiations.Italian gallery Alex Turco, making its debut in Seoul, reported results exceeding expectations and expressed a desire to return next year with more exceptional works.Louis Sandino, founder of Side Gallery, praised the diverse material experiments and craft approaches of Korean and Japanese artists, while Simon Stewart, director of Charles Burnand Gallery, highlighted the intersection of Korean craft and design and the experimental work of local artists.The in-situ program showcased works by Asian designers that contemporarily reinterpret traditional Korean materials such as hanji and mother-of-pearl lacquerware, illuminating new possibilities for Korean and Asian design in collaboration with global galleries.Chad Liu from Taiwan's Designsurfing noted that this year's Design Miami: Seoul was a meaningful experience for introducing Taiwanese creators to Korea and discovering new design exchange opportunities in Seoul, hoping such encounters will continue next year.Particularly, partner programs with Samsung Electronics and Alosso received positive responses by merging design with technology, art, and space, expanding design products into new collectible objects.Belgium's STACK is pursuing the establishment of a domestic store following the sell-out of its exhibited works, and some in-situ pieces have attracted inquiries from museums and galleries both domestically and internationally.Design Miami: Seoul plans to enhance its synergy with Frieze Seoul, which will be held at DDP next year, aiming to expand the visits and exchanges of global galleries and collectors in Seoul. The event seeks to further highlight the cultural strengths of Seoul, where contemporary and traditional art and design coexist on the international stage.Jen Roberts, CEO of Design Miami, stated, 'The sales performance across galleries and the in-situ program demonstrates that Seoul is increasing its presence on the international design stage.'* This article has been translated by AI. 2026-09-17 16:08:00
  • Government to Establish 3 Trillion Won Fund to Support Housing Supply
    Government to Establish 3 Trillion Won Fund to Support Housing Supply The government plans to create a new fund worth 3 trillion won to normalize troubled real estate project financing (PF) sites. The initiative aims to enhance housing supply by revitalizing PF projects that have stalled due to financial difficulties despite their viability.On September 17, Kwon Dae-young, Vice Chairman of the Financial Services Commission, visited an apartment construction site in Dohwa-dong, Mapo-gu, Seoul, to assess the operation of the 'KAMCO PF Project Normalization Support Fund' and announce plans for the new fund.The Korea Asset Management Corporation (KAMCO) will begin recruiting fund managers in October, with the selection process concluding in December. The goal is to establish the 3 trillion won fund by the first half of next year, with both public and private sectors contributing 1.5 trillion won each.Notably, 60% of the new fund will be invested in residential projects, aiming to supply approximately 18,000 housing units. The Financial Services Commission intends not only to liquidate troubled PF projects but also to enhance their viability through restructuring, ultimately linking it to increased housing supply.The existing KAMCO fund was established in September 2023 with a size of 1.1 trillion won and has so far invested 819.3 billion won. Of this, 373 billion won has been allocated to residential projects, which are expected to provide around 3,881 housing units.A representative example is the project site in Mapo-gu visited by Vice Chairman Kwon. This site failed to transition to a main PF due to rising interest rates and construction costs. However, after KAMCO invested 60.5 billion won, the project was restructured to convert urban living housing into apartments and select a new construction company. Construction began in February, and sales were completed in April, with 178 units set to be supplied.* This article has been translated by AI. 2026-09-17 16:04:20
  • Financial Supervisory Service Reports on Consumer Protection Progress
    Financial Supervisory Service Reports on Consumer Protection Progress The Financial Supervisory Service (FSS) has revealed its achievements in consumer protection over the past year. While it has connected issues identified during the complaints and disputes process to system improvements and established a proactive supervisory framework, challenges remain due to short-term performance-driven sales practices and an increase in complaints and disputes.On September 17, the FSS held a public report meeting in Yeouido, Seoul, to present its accomplishments and future directions regarding consumer protection.The FSS reported that from July of last year to August of this year, it linked 94 cases identified during the complaints and disputes process to system improvements. Notably, during the TMON and WEMAKEPRICE incidents, it recognized the right of installment payment users to withdraw their applications, establishing dispute resolution criteria for 11,696 similar cases amounting to 13.22 billion won.However, the FSS acknowledged that there are still areas for improvement in sales practices for financial products. Among bank-traded exchange-traded funds (ETFs), 94.6% of transactions were short-term trades within six months, yet 91.7% of these transactions were subject to upfront fees, which are unfavorable for short-term trading. This indicates a misalignment between the sales incentives of financial companies and consumer trading tendencies.The FSS's capacity to handle the increasing number of complaints and disputes has not kept pace with their growth. The number of disputes processed rose from 11,578 in the third quarter of last year to 13,469 in the second quarter of this year, a 16.3% increase. During the same period, the number of complaints and disputes received increased from 34,628 to 40,668, a 17.4% rise, slightly outpacing the increase in processed cases.Lee Se-hoon, the FSS's Chief Deputy Commissioner, stated in a pre-briefing, "We still have a long way to go," comparing the progress to running a marathon, saying, "We have only covered about 5 kilometers of the 42-kilometer race."Consumer advocates have pointed out that relying solely on recommendations and best practices is insufficient to change the sales practices of financial companies. Moon Mi-ran, chair of the Consumer Citizens' Association, remarked, "Current measures are formulated as best practices, lacking binding force and penalties for violations. We need to create and sell products that provide real benefits to consumers, going beyond mere procedural compliance."Looking ahead, the FSS plans to solidify its proactive supervisory framework in the design and sales processes of financial products and enhance its capacity to handle complaints and disputes. It will also expand its platform for addressing financial crimes affecting consumers.Lee Chan-jin, the FSS Commissioner, emphasized, "Consumer protection is not a peripheral issue but the foundation of trust that allows finance to exist. The real achievement will be the changes consumers feel in the financial field, making this report not a conclusion but a starting point."* This article has been translated by AI. 2026-09-17 16:04:10
  • Fed hike stalls KOSPI as shipbuilders outrun chipmakers
    Fed hike stalls KOSPI as shipbuilders outrun chipmakers SEOUL, Sept. 17 (AJP) — Investors in Seoul rotated out of chipmakers and into shipbuilders on Thursday after the U.S. Federal Reserve raised interest rates for the first time since 2023, leaving the KOSPI flat as foreigners sold for a seventh straight session. Foreign investors dumped a net 2.3 trillion won ($1.6 billion) of shares, lifting their seven-session total above 13 trillion won, as SK hynix and Samsung Electronics slipped and HD Hyundai Heavy Industries jumped 6.6 percent. The same split ran across the region. Chip stocks lagged in Tokyo even as the Nikkei 225 edged higher. Gold miners dragged on Chinese shares. The Korea Composite Stock Price Index (KOSPI), the main board of the Korea Exchange, slipped 2.6 points to 6,715.4. It had been up as much as 1.2 percent before foreign selling deepened and erased the gain. Institutions bought a net 158.6 billion won ($114.8 million) and individuals 413.8 billion won ($299.4 million). The Fed, America's central bank, lifted its benchmark rate by a quarter point to a range of 3.75 to 4 percent in a unanimous vote on Wednesday and signaled another increase could come before year-end. Chipmakers took the brunt of the selling. SK hynix fell 0.8 percent to 1,745,000 won ($1,262.6). Samsung Electronics lost a smaller 0.4 percent to 252,500 won ($182.7). Components maker Samsung Electro-Mechanics sank 3.7 percent to 1,330,000 won ($962.3). HD Hyundai Heavy Industries climbed to 469,500 won ($339.7), with local reports tying the rebound to its steep earlier losses and new growth prospects. Kang Jin-hyuk, a senior researcher at Shinhan Securities, said during the session that industrials and financials were propping up the index while chips paused to digest the hawkish Fed. Gainers outnumbered decliners 453 to 398, a sign the flat close hid wider buying beneath the chip heavyweights. The tech-heavy KOSDAQ, South Korea's secondary market, rose 6.2 points to 822.2. The 0.8 percent rise marked its third straight gain. The won weakened 4.6 won to 1,382.1 per dollar. In Tokyo, the Nikkei 225 rose 0.3 percent to 64,136.3 for a second straight session. Chip-testing equipment maker Advantest fell 1.5 percent to 30,240 yen. Fast Retailing and SoftBank Group each gained 1.0 percent, to 67,700 yen and 6,247 yen. The Bank of Japan opened a two-day policy meeting, with its decision due Friday. In Shanghai, the composite index traded lower as metals producers led losses. Shandong Gold slid more than 6 percent, a drop Chinese market reports linked to the Fed's move. Han Ji-young, an analyst at Kiwoom Securities, argued the post-Fed swings are a chance to buy rather than cut exposure, citing intact earnings momentum. That case rests on foreigners returning. Until they do, a market leaning on shipbuilders rather than chips has little room to absorb another hawkish surprise. AJP Takeaways - After the U.S. Federal Reserve raised interest rates for the first time since 2023, investors in Seoul rotated out of chipmakers and into shipbuilders, leaving the KOSPI flat. - Foreign investors sold a net 2.3 trillion won ($1.6 billion) of shares, extending their selling streak to a seventh straight session. - The split ran across the region: chip stocks lagged in Tokyo even as the Nikkei 225 rose 0.3 percent, and gold miners dragged on Chinese shares. Entity tags: Federal Reserve, Bank of Japan, KOSPI, KOSDAQ, Korea Exchange, Nikkei 225, SK hynix, Samsung Electronics, Samsung Electro-Mechanics, HD Hyundai Heavy Industries, Advantest, Fast Retailing, SoftBank Group, Shandong Gold, Shinhan Securities, Kiwoom Securities, Kang Jin-hyuk, Han Ji-young 2026-09-17 16:00:53
  • Kim Seong-soo Advances in National Assembly, Poised to Become First Supreme Court Justice Under Lee Administration
    Kim Seong-soo Advances in National Assembly, Poised to Become First Supreme Court Justice Under Lee Administration Kim Seong-soo's nomination for Supreme Court Justice has passed the National Assembly's threshold on September 17. If approved by President Lee Jae-myung, he will become the first Supreme Court Justice appointed under the current administration, with an appointment expected as early as this week.During the afternoon session, the National Assembly voted on Kim's nomination, with 227 members in favor, 28 against, and 13 abstentions out of 268 present.Kim is set to succeed former Justice Lee Heung-gu, who retired on September 7. Chief Justice Cho Hee-dae recommended Kim to President Lee on August 18, and the president submitted the nomination to the National Assembly on August 31.The National Assembly's Special Committee on Personnel Hearings held a hearing on September 14 to assess Kim's qualifications and ethics, and on September 16, the committee adopted a report on the hearing's findings with bipartisan agreement. The report included contrasting opinions: the Democratic Party expressed confidence in Kim's qualifications, while the People Power Party criticized his responses to key constitutional and social issues as vague.With Kim's nomination now approved by the National Assembly, only President Lee's final endorsement remains. Given that two Supreme Court positions are currently vacant, there is speculation that the presidential endorsement could occur within the week.Following the retirement of former Justice Noh Tae-ack in March and the recent departure of former Justice Lee, two of the 14 Supreme Court seats have been unfilled for over ten days.If President Lee endorses Kim's nomination, he will immediately begin a six-year term, marking the first Supreme Court Justice appointed since the current administration took office.However, the successor to former Justice Noh has yet to be determined, suggesting it may take some time to fill all 14 Supreme Court positions. Chief Justice Cho recommended Judge Son Bong-ki of the Daegu District Court as Noh's successor on August 18, but the Blue House requested a re-nomination on August 28, citing a lack of prior consultation.The Blue House reiterated its call for a prompt re-nomination on September 11, but Chief Justice Cho has been deliberating for over three weeks.* This article has been translated by AI. 2026-09-17 16:00:20
  • Ministry of Science and ICT and Broadcasting Media Commission Accelerate Establishment of Korean Broadcasting Media Communication Promotion Agency
    Ministry of Science and ICT and Broadcasting Media Commission Accelerate Establishment of Korean Broadcasting Media Communication Promotion Agency The Ministry of Science and ICT and the Broadcasting Media Commission have reviewed the progress of cooperation in the fields of artificial intelligence (AI) and over-the-top (OTT) services. They also discussed key issues including the preparation for the establishment of the Korean Broadcasting Media Communication Promotion Agency, terrestrial UHD policy, and user protection from infringement incidents.On September 17, the two agencies held their first working-level meeting as a follow-up to a high-level policy consultation. This meeting came after the two ministries convened a policy consultation for the first time in two years in June 2024.During the meeting, the establishment of the Korean Broadcasting Media Communication Promotion Agency, terrestrial UHD policy, and user protection from infringement incidents were key topics of discussion.The two agencies agreed to actively collaborate on the establishment of the Korean Broadcasting Media Communication Promotion Agency to support the promotion of broadcast media, protection of user rights, and revitalization of the broadcasting advertising industry. They will include two members recommended by the Ministry of Science and ICT in the establishment committee of the agency, which is set to be established by the Broadcasting Media Commission, and will continue discussions on the scope of transfer of affiliated organizations. The organizations under consideration for transfer include the Korea Broadcasting and Communications Promotion Agency, the Korea Internet & Security Agency, the Korea Intelligent Information Society Agency, the Korea Information and Communication Promotion Association, and the Korea Radio Promotion Association.They also agreed to discuss the construction of a terrestrial UHD broadcasting network and frequency policy.Furthermore, the two ministries will strengthen policy cooperation to protect citizens. They agreed to actively collaborate in designing and operating the user protection evaluation system for infringement incidents, which will be established through amendments to the Telecommunications Business Act.Park Dong-joo, Secretary General of the Broadcasting Media Commission, stated, "We will enhance practical cooperation in key areas that are highly relevant to citizens, including major issues, user protection, and response to complaints."Choi Woo-hyuk, Director of the Information Security Network Policy Office at the Ministry of Science and ICT, added, "We will continue to develop response measures for key issues such as AI, media, and OTT through policy consultations and working-level meetings."* This article has been translated by AI. 2026-09-17 16:00:20
  • SBI Savings Bank Partners with KakaoPay and KCB to Expand Loans for Low to Mid-Credit Borrowers
    SBI Savings Bank Partners with KakaoPay and KCB to Expand Loans for Low to Mid-Credit Borrowers SBI Savings Bank is collaborating with KakaoPay and Korea Credit Bureau (KCB) to enhance financial access for low to mid-credit borrowers. On September 17, SBI Savings Bank announced that it has signed a memorandum of understanding (MOU) with KakaoPay and KCB to expand financial services for this demographic. The agreement aims to improve access to finance for vulnerable groups who may not be adequately assessed by traditional credit information alone. SBI Savings Bank plans to utilize KakaoPay's alternative credit evaluation model, known as the 'KakaoPay Score,' in its loan assessment strategy, while also strengthening its evaluation capabilities through KCB's credit evaluation infrastructure. The bank intends to leverage alternative data based on KakaoPay's MyData to assess customers' repayment abilities from multiple angles. A new financial product incorporating the KakaoPay Score is also set to be launched. An SBI Savings Bank representative stated, "This agreement is significant in providing new financial opportunities to customers who have not been sufficiently evaluated by traditional credit assessment methods. We will continue to enhance financial access for low to mid-credit borrowers through our alternative credit information-based assessment strategy."* This article has been translated by AI. 2026-09-17 16:00:10
  • Despite Extended Residency Grace Period, Homebuyer Loan Barriers Remain High
    Despite Extended Residency Grace Period, Homebuyer Loan Barriers Remain High The government has expanded the residency grace period for properties in land transaction permit zones, but loan regulations remain unchanged, keeping the barriers high for homebuyers without property. While the path to purchasing homes with tenants has widened, buyers whose funds are tied up in rental deposits face challenges in securing the necessary funds for closing.According to the Ministry of Land, Infrastructure and Transport, the application deadline for the residency grace period for rental properties in land transaction permit zones has been extended by one year, from the end of this year to December 31, 2027. In addition to the remaining period of existing lease contracts, one renewal contract of up to two years will also be recognized as a valid reason for the grace period. The ministry plans to implement this on October 1, allowing for occupancy by 2029 at the latest if the renewal contract is recognized.However, delaying occupancy does not mean buyers can postpone property acquisition. Buyers must acquire the property within four months of receiving approval. They must also maintain their status as non-homeowners since May 12 of this year and are required to reside in the property for two years after actual occupancy.Loan regulations that restrict funding remain unchanged. In regulated areas, the loan-to-value (LTV) ratio for general non-homeowners who do not qualify for preferential treatment is set at 40%. The total debt service ratio (DSR) and limits on total loan amounts based on property prices also apply, meaning the actual loan amount may decrease based on the borrower's income and existing debts.The proportion of residency grace period applications among all land transaction permit applications has not been significant. According to the city of Seoul, there were 135 applications for residency grace periods for apartments in August, accounting for 4.5% of the total 3,012 applications. Although the number of grace period applications decreased by 34.8% from the previous month, the overall number of applications also fell by a similar margin, keeping the proportion the same. However, the total applications include cases that do not require a grace period, such as immediate occupancy.Transferring a tenant's deposit reduces the immediate cash payment to the seller. However, for non-homeowners who must continue living in another rental property, the situation changes. Most of their assets may be tied up in the deposit of their current residence, making it difficult to use for down payments or closing costs.For example, to purchase a house priced at 650 million won with a deposit of 300 million won, even if the deposit is transferred, the buyer would still need to secure an additional 350 million won, excluding ancillary costs. Unlike buyers with cash reserves, those whose funds are tied up in their current rental deposits may require separate financing.This means that the impact of the new measures may differ between households with sufficient liquid assets and those whose assets are mostly tied up in rental deposits.Moreover, the deposit transfer and mortgage loan limits cannot simply be added together. Properties with tenants have their deposits and priority of claims affecting loan assessments. The transferred deposit is also money that must be returned to future tenants, necessitating the preparation of funds for repayment at the time of occupancy.Lee Eun-hyung, a researcher at the Korea Construction Policy Institute, stated, “It is unlikely that the extension of the grace period will lead to an immediate increase in transaction volume.”First-time homebuyers or those meeting criteria for low-income and genuine demand may qualify for relaxed loan standards compared to general borrowers. However, not all non-homeowners are eligible for preferential treatment. The potential loan amounts can vary even among non-homeowner buyers based on their past homeownership history, income, and property prices.On the other hand, there are evaluations that this measure effectively broadens the range of transactions for properties with tenants. By recognizing renewal contracts, it increases the possibility of buying and selling homes while allowing existing tenants to continue residing. However, renewal contracts must be signed before the grace period application and the renewal period must start within the application period to be recognized. Not all tenants automatically have their residency period extended by two years.Kim Hyo-sun, a senior real estate expert at KB Kookmin Bank, commented, “The intention seems to be to resolve the mismatch caused by the land transaction permit system blocking properties that would come onto the market due to tax reforms, while also allowing properties with tenants to remain available for rent.” However, she pointed out that for actual transactions to occur, transaction regulations also need to be considered. 2026-09-17 16:00:00