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  • First Commission Payments Under 1200% Rule Approaching for GA Agents
    First Commission Payments Under '1200% Rule' Approaching for GA Agents As the first commission payment date approaches under the '1200% rule' for insurance agents affiliated with corporate insurance agencies (GAs), many GAs have yet to finalize specific payment criteria. GAs are adjusting their payment plans while monitoring competitors to prevent agent departures.According to the insurance industry on August 18, many GAs have not yet communicated the detailed commission criteria reflecting the 1200% rule to their agents.Typically, GA agents receive commission payments based on the previous month's contract performance around the 25th of the following month, with payments made by the 27th. Some GAs have developed payment plans that incorporate the 1200% rule, but these plans remain in draft form or are still undergoing last-minute adjustments.The 1200% rule limits the commission paid to agents in the first year of an insurance contract to a maximum of 12 times the monthly premium. For example, if a customer pays a monthly premium of 100,000 won, the maximum commission that can be paid in the first year is 1.2 million won.The hesitation among GAs in finalizing payment criteria stems from the need to secure agents and compete in product sales. The level and timing of commission payments can directly influence agent turnover and the company's sales performance.One GA agent stated, "For agents, products that offer higher commissions payable next month are more advantageous than those that pay out a year later. If the products offer similar coverage, the conditions for commission payments can affect sales, leading companies to closely observe competitors' payment plans."Industry discussions also include proposals to reduce the share of commissions for branch managers and other mid-level managers. Lowering commissions for frontline agents significantly could lead to turnover or decreased sales performance, so the focus is on maintaining agent commissions while adjusting those for mid-level managers.Adjustments to payment timing are also being considered. Some are exploring the option of reducing initial year payments while increasing the compensation proportion paid after contract retention. However, as financial authorities are scrutinizing any circumvention of regulations regarding payment timing or naming, actual payment plan designs may face restrictions.Ultimately, even with the same 1200% rule applied, the impact felt by frontline agents will vary depending on the commission distribution and payment methods of each GA. An industry insider noted, "Agents have not yet received commissions under the new criteria, so there is not yet a significant sense of impact from the 1200% rule. The real reactions will emerge once the first commissions are paid at the end of this month." 2026-08-18 15:08:00
  • BIGBANG Celebrates 20th Anniversary with New Music and Events
    BIGBANG Celebrates 20th Anniversary with New Music and Events Group BIGBANG's popularity remains 'ongoing.' This year, as they celebrate their 20th anniversary, events planned to mark the occasion are selling out rapidly, demonstrating their enduring appeal. A concert that attracted 210,000 fans sold out in just 22 minutes, while a fan event by the Han River was fully booked in six minutes. The release of their new song, their first in over four years, has also generated significant buzz. BIGBANG's current activities extend beyond a one-time music release; they are engaging fans through a comprehensive project that includes media exhibitions and pop-up stores, allowing them to reflect on the past 20 years while creating new memories.The narrative begins with the new song. BIGBANG will release their latest digital single, 'BiiiG,' at 6 p.m. on their debut anniversary, August 19. This marks their first new music since 'Still Life' in April 2022. The title 'BiiiG' is a variation of the word 'big,' reflecting the group's identity.Immediately following the song's release, at 8 p.m. on August 19, they will host a 'BIGBANG 20th Anniversary X Han River Collaboration' event at the Water Stage in Yeouido Hangang Park. This event, featuring a DJ performance of their hit songs, a drone show, and media art, sold out in just six minutes during pre-sales. It will be the first opportunity for fans to experience the new song live, with a free real-time broadcast available for WOW members.The excitement will continue with a solo concert. BIGBANG will kick off their world tour, 'BIGBANG 2026·2027 World Tour: XX: COSMOS,' from August 21 to 23 at Goyang Sports Complex. This concert will showcase their musical journey over the past 20 years and hint at their future direction. The first round of ticket sales for the Goyang concert saw a record 210,000 people waiting, and the second round sold out in just seven minutes. The organizing team announced that additional seats will be made available on August 18 at 7 p.m. Following this concert, BIGBANG will embark on a global tour, performing in 19 cities across North America, Europe, Oceania, and Asia.Outside the concert venues, the city is transforming into a massive festival to welcome fans. At the center of this celebration is the media exhibition 'COSMOS,' which integrates artificial intelligence (AI), holograms, extended reality (XR), and virtual reality (VR). Leading up to the main exhibition at the underground space 'dududo SEOUL' near Sicheong Station, various prequel events are currently taking place in the Jamsil area until August 23.The media exhibition at the 6th floor Art Hall of Avenue L features archival videos and unreleased photos documenting the past 20 years. A bridge connecting Avenue L and Lotte World Mall offers an interactive experience where fans can convert their supportive messages into a media art piece using the 'Arecibo Code.' Additionally, a pop-up store featuring limited-edition desserts created in collaboration with a famous bakery is set up in the basement of Lotte World Mall.With support from Songpa District, the area around Seokchon Lake is also embracing the 20th-anniversary atmosphere. A lighting event inspired by the official light stick, 'Bang Bong,' is taking place, and a large 'Bang Bong Crown' sculpture has been installed at the waterfront stage as a photo spot. A special lighting ceremony will be held at 8:19 p.m. on August 19 to commemorate the occasion.In addition to the exhibitions, a pop-up store featuring official tour merchandise is attracting fans. Since August 14, a pop-up at the Musinsa Mega Store in Seongsu and the Standard Myeongdong has been selling a 'Light Stick 20th Anniversary Edition' designed to symbolize the connection between BIGBANG and their fandom, V.I.P.This 20th-anniversary project focuses on providing fans with tangible experiences rather than merely reflecting on the past. With the music release as a starting point, BIGBANG aims to engage closely with fans across concert venues, the Han River, Jamsil, and urban spaces.Fans have responded enthusiastically. One fan, identified as A, who attended the Jamsil prequel exhibition, expressed, "I was so excited for the long-awaited comeback, and being at the exhibition made me realize again that 'BIGBANG is BIGBANG.' The various events and the attention to detail show their genuine care for fans."* This article has been translated by AI. 2026-08-18 15:04:00
  • South Koreans turn to bank savings amid stock market swings
    South Koreans turn to bank savings amid stock market swings SEOUL, August 18 (AJP) - South Koreans are moving more of their money into bank deposits as stocks tumble and higher interest rates make saving more attractive, prompting major banks to compete for customers with promotional offers. Major banks are competing for customers with promotional offers, with Shinhan, NH NongHyup, Hana and Woori offering higher interest rates on savings accounts. Woori Bank recently drew customers with a limited-time deposit offer capped at 1 trillion won (US$700 million), which sold out in just 10 days, attracting an average of roughly 100 billion won a day before hitting its sales limit on Aug. 12. The bank then raised the cap by another 1 trillion won and made it available through the end of this month. Launched on Aug. 3 to mark Liberation Day and the 150th anniversary of independence fighter Kim Koo's birth, the offer allowed customers to park up to 100 million won per person for six or 12 months at initial annual interest rates ranging from 3.1 percent to 3.4 percent. Shinhan Bank has also rolled out similar promotions, while NH NongHyup Bank is offering interest rates of up to 8.15 percent a year on an account limited to 10,000 customers. Hana Bank is providing rates of up to 7 percent available to 50,000 customers. These promotions reflect a broader influx of cash into the country's banks. The amount customers have put into savings accounts at the country's five major lenders stood at 999.23 trillion won as of last week, up 14.29 trillion won since the start of this month. By contrast, money held in brokerage accounts that is available for investment stood at 100.07 trillion won ($70 billion) as of Aug. 13, according to the latest data from the Korea Financial Investment Association. That was down 39.62 trillion won, or 28.4 percent, from a record 139.69 trillion won on June 4. Rising interest rates are also driving this shift. The Bank of Korea recently raised its benchmark rate for the first time in three and a half years, giving banks more room to offer higher returns. At the same time, a recent stock market selloff has made investors more cautious, reducing their appetite for risk in search of higher returns. AJP Takeaways: • Woori Bank's 1 trillion won ($700 million) limited-time offer reached its sales cap on Aug. 12, 2026, just 10 days after its Aug. 3 launch, prompting the bank to add another 1 trillion won. • Money placed in fixed-period savings accounts at South Korea's five major lenders reached 999.23 trillion won as of Aug. 13, 2026, up 14.29 trillion won from the start of the month. • Shinhan Bank, NH NongHyup Bank and Hana Bank are offering promotional savings rates as high as 8.15 percent as competition for customers' cash intensifies. 2026-08-18 15:03:52
  • Despite Falling Prices, Cryptocurrency Holders Increase Bitcoin and Ethereum Holdings
    Despite Falling Prices, Cryptocurrency Holders Increase Bitcoin and Ethereum Holdings Despite a significant drop in cryptocurrency prices, users of major domestic exchanges have increased their holdings. Over the past six months, the value of entrusted virtual assets has decreased by about one-third, yet the quantity of major cryptocurrencies like Bitcoin and Ethereum has risen. Analysts suggest that this trend reflects a growing number of investors viewing price declines as buying opportunities, alongside those opting to hold rather than sell.According to Dunamu's semi-annual report released on August 18, the value of virtual assets entrusted by Upbit users fell from 62.23 trillion won at the end of last year to 41.93 trillion won by the end of June, a decrease of 32.6%.By coin, the value of Bitcoin decreased by 25.4% to 15.52 trillion won. Ripple (XRP) saw a 40% drop to 10.18 trillion won, while Ethereum's value fell by 33.4% to 5.57 trillion won.In contrast, the quantity of major cryptocurrencies entrusted by users increased. By the end of June, Dunamu had received 173,911 Bitcoins, a 7.2% increase from the end of last year. During the same period, Ethereum and XRP holdings rose by 21.2% and 3.3%, respectively. Solana also saw an 11.7% increase.A similar trend was observed at Bithumb, where the value of entrusted virtual assets dropped from 17.90 trillion won at the end of last year to 12.50 trillion won by the end of June, a 32.7% decline.However, the quantity of major coins entrusted increased. Bitcoin rose from 45,341 to 47,117, a 3.9% increase, while Ethereum increased by 22.8% to 658,212. XRP grew from 1.81 billion to 1.85 billion, and Dogecoin rose from 2.56 billion to 2.79 billion. Notably, Ethereum's holdings increased by over 20% on both Upbit and Bithumb.This trend is interpreted as a response to the prolonged adjustment in the cryptocurrency market, with more investors viewing price declines as buying opportunities. Bitcoin, which once peaked at around $124,000 last year, has recently fallen to the $60,000 range. Industry experts explain that many investors have opted for a strategy of incremental buying, purchasing in smaller amounts as prices drop rather than making large purchases all at once.Additionally, the increase in entrusted quantities may also reflect existing investors choosing to hold rather than sell. A financial industry source stated, "In a situation where prices have dropped significantly, the combination of new investors entering the market for low-cost purchases and existing investors holding their assets has likely contributed to the increase in cryptocurrency quantities on exchanges."However, it is difficult to conclude that the increase in entrusted quantities is solely due to new purchases, as it may also include assets transferred from personal wallets or other exchanges. The industry views the situation as a complex interplay of low-cost buying during price declines and the continued holding by existing investors. 2026-08-18 15:00:20
  • Alibaba Cloud Launches Third Data Center in South Korea to Meet AI Demand
    Alibaba Cloud Launches Third Data Center in South Korea to Meet AI Demand Alibaba Cloud is accelerating the expansion of its AI infrastructure in South Korea with the launch of its third data center, responding to the growing demand for artificial intelligence (AI) in the country. The company aims to enhance its presence in the domestic AI cloud market by offering an 'end-to-end AI full stack' that encompasses infrastructure, proprietary AI models, platforms, and applications.Yoon Yong-jun, head of Alibaba Cloud Intelligence in South Korea, stated at a press conference on August 18 at the Chosun Palace in Gangnam, Seoul, "South Korea has a higher demand for digital and AI-related infrastructure than any other country. We will continue to expand our investments in AI-related infrastructure to reflect this market demand." According to the company, the third data center in the South Korean region is currently operational in an undisclosed location in Seoul. Three Data Centers Enhance Stability... Targeting Businesses with AI Full Stack Since entering the South Korean market in 2016, Alibaba Cloud opened its first data center in 2022, followed by a second one in 2025. The launch of the third data center this year marks a significant acceleration in the expansion of cloud infrastructure in the country.This expansion is part of Alibaba Group's $53 billion (approximately 75 trillion won) cloud and AI investment plan announced last year. Yoon noted, "We made proactive investments considering the anticipated increase in AI demand over the next 12 months." This initiative aims to enhance service stability and availability while strengthening the foundation for AI business and partner ecosystems.With the operation of the third data center, the service level agreement (SLA) for the South Korean region has increased from 99.95% to 99.99%. Yoon explained, "Even if one data center experiences an outage, the other two can continue to operate services, and the increased number of access points has strengthened the low-latency network environment."He also emphasized that customer data stored in the South Korean region will not be moved outside the region without customer consent. The company maintains its Information Security Management System (ISMS) certification obtained in 2023.However, Alibaba Cloud did not disclose specific details about the location, power capacity, or operational rates of the third data center, citing security reasons that typically prevent global cloud service providers from revealing such information during the initial operation phase. Expanding AI Services Based on the Third Data Center... Targeting Businesses with 'Full Stack'With the opening of the third data center, Alibaba Cloud has added support services for AI agent development and operation, including AgentRun and ACS Agent Sandbox, to the South Korean region.In the AI market, the company is promoting its differentiated strategy of an 'end-to-end AI full stack' that includes infrastructure, its own foundation model Qwen, model development and utilization platforms, AI agents, and applications.Price competitiveness and a variety of AI models are also highlighted as strengths. The company offers models that can operate with minimal GPU resources, allowing customers to choose according to their needs. Yoon stated, "Not all customers need large models; we provide over 200 open-source models specialized for various use cases."Based on this, the company is also strengthening support for small and medium-sized enterprises and startups. Yoon emphasized, "Alibaba's founding philosophy of supporting small businesses in China to secure overseas markets is reflected in our AI strategy, aiming to lower the barriers for AI adoption for price-sensitive SMEs and startups." Looking ahead, Alibaba Cloud plans to broaden its customer base in industries with AI demand, such as finance, while leveraging its infrastructure and business foundation established in China and Asia to support South Korean companies in entering local markets.* This article has been translated by AI. 2026-08-18 15:00:10
  • Meritz Securities Chooses Hong Kong as Its First Overseas Base
    Meritz Securities Chooses Hong Kong as Its First Overseas Base Meritz Securities has selected Hong Kong as its first overseas base and is working to establish a local subsidiary by the end of the year. After focusing on domestic operations, the company is now making a significant move to expand its global presence.According to the financial investment industry on August 18, Meritz Securities is progressing with the necessary procedures to establish its Hong Kong subsidiary in the second half of this year. However, the timeline for the establishment may extend into next year, depending on the approval schedule from local financial authorities.The establishment of the Hong Kong subsidiary is particularly significant as it marks Meritz Securities' first foray into international markets. It is the only one among South Korea's top 10 securities firms without an overseas base.The new Hong Kong subsidiary is expected to focus on brokerage services, including identifying local investment opportunities, facilitating transactions, and sourcing overseas deals. The company aims to leverage investment opportunities secured in Hong Kong to enhance synergies with its corporate finance (IB) and sales and trading (S&T) operations at headquarters.Efforts are also underway to organize the subsidiary's structure. A candidate for the inaugural head of the subsidiary has been appointed, and the company is reportedly securing specialized personnel to handle local sales.According to the Financial Supervisory Service, as of the end of last year, 16 South Korean securities firms (nine comprehensive financial investment firms and seven general securities firms) operated a total of 93 overseas branches in 15 countries. Among these, 83 were local subsidiaries and 10 were offices, with 11 branches located in Hong Kong.The reason South Korean securities firms utilize Hong Kong as a key overseas base is due to its status as a financial hub in Asia. Hong Kong serves as a gateway to the mainland Chinese market, attracting global capital and offering various business opportunities, including initial public offerings (IPOs), brokerage, and corporate finance.In fact, Hong Kong has emerged as a major source of revenue for South Korean securities firms' overseas subsidiaries, alongside the United States. As of the end of last year, the total assets of these overseas subsidiaries amounted to $35.74 billion (approximately 51.3 trillion won), with net profit reaching about $460 million (approximately 6.54 trillion won), a 67.8% increase from the previous year. The strong performance of subsidiaries in the U.S. and Hong Kong has been credited with driving overall profit growth.* This article has been translated by AI. 2026-08-18 15:00:10
  • Japans Long-Term Interest Rates Hit 30-Year High, 3% Threshold Looms
    Japan's Long-Term Interest Rates Hit 30-Year High, 3% Threshold Looms Japan's long-term interest rates surged to 2.945% on August 18, reaching a nearly 30-year high. The increase is attributed to heightened expectations of a rate hike by the Bank of Japan (BOJ) in September, coupled with concerns over expanded government bond supply due to active fiscal policies. Market analysts predict that breaching the 3% mark for 10-year bonds is imminent.On August 17, the benchmark 10-year government bond yield in the Tokyo bond market rose to 2.930%, the highest level since September 1996. The upward trend continued on August 18, peaking at 2.945%. The 2-year yield also climbed to 1.700%, the highest since May 1995, while the 5-year yield reached an all-time high of 2.180%.The primary driver behind the rising rates is the expectation of an early rate hike by the BOJ. Last month, Japan and the U.S. jointly intervened to curb the yen's depreciation, and U.S. Treasury Secretary Scott Vessenes expressed confidence in BOJ Governor Kazuo Ueda's commitment to addressing the situation. However, the yen's weakness has not fully stabilized, leading to increased speculation that the BOJ will need to respond with a rate hike.Market sentiment now views a September rate increase as a likely scenario. According to a survey by the short-term financial market research firm Dotan Research, as of the afternoon of August 17, the probability of the BOJ raising rates at its monetary policy meeting on September 17-18 has risen to approximately 80%. The overnight index swap (OIS) market also reflects an 80% likelihood of a rate hike.If this forecast holds true, the BOJ would raise rates for the second time in three months, following an increase in June. This suggests that the previously typical six-month interval between rate hikes may shorten.Internally, the BOJ is also sensing this shift. During last month's monetary policy meeting, some policymakers indicated that if inflationary pressures exceed expectations, the pace of rate hikes could accelerate.Market focus is now shifting from whether a September hike will occur to how high the final policy rate will rise. Bank of America Securities predicts that the BOJ will implement four additional rate hikes by July 2027, raising the policy rate to 2%, an upward revision from the previous forecast of 1.75% by the end of 2027.Additionally, the Japanese government's active fiscal policy is contributing to rising bond yields. As the government plans to increase spending, the likelihood of expanding bond issuance grows, which could lead investors to demand higher yields. The Takaiichi administration has committed to 'responsible active fiscal policy' and plans to eliminate budget caps for economic growth and crisis response in the 2027 budget proposal. Noriyasu Mizuho, chief bond strategist at Mizuho Securities, stated in the Nikkei that there is a strong possibility that market expectations for rising rates will spread ahead of next year's budget formulation.There is currently little buying pressure to counteract the rising rates. Many analysts believe that significant demand for government bonds is unlikely in the near term. Recent auctions for 30-year and 10-year bonds saw weak investor demand. On this day, the Ministry of Finance set the coupon rate for the 5-year bond auction at 2.200%, the highest level since the bond's issuance began in 2000. Analysts suggest that uncertainty surrounding the BOJ's rate hike pace and final target may contribute to subdued auction demand.The global rise in long-term interest rates is also exerting selling pressure on Japanese government bonds. In the U.S., concerns over fiscal deterioration and increased funding needs for AI data center investments have driven long-term Treasury yields higher. On August 17, the yield on U.S. 30-year bonds surpassed 5.31%, reaching its highest level since 2007.These factors have led to predictions that breaching the 3% threshold for Japan's 10-year bonds is only a matter of time. Takafumi Yamawaki, a bond analyst at JPMorgan Securities, noted that unless there are changes in monetary policy or the yen's weakness, reaching 3% could trigger additional selling pressure, suggesting that 3% may not be the peak but rather the start of a new upward trend.The rise in Japanese interest rates could also impact the U.S. Treasury market. Japanese institutional investors, who have sought higher yields abroad in a low-rate environment, may find U.S. Treasuries less attractive as Japanese yields rise, especially when considering currency hedging costs.It remains uncertain whether a significant repatriation of Japanese capital will occur. However, as Japan is the largest foreign holder of U.S. Treasuries, reducing new purchases or reallocating maturing funds back to Japan could exert pressure on the U.S. Treasury market.* This article has been translated by AI. 2026-08-18 15:00:10
  • Three Teams Advance in AI Foundation Model Project, Focus on Model Enhancement and Real-World Testing
    Three Teams Advance in AI Foundation Model Project, Focus on Model Enhancement and Real-World Testing The Ministry of Science and ICT announced that three elite teams have passed the second evaluation of the 'Independent AI Foundation Model' project and will focus on enhancing model performance and real-world testing in the next phase. The strategy aims to narrow the technology gap with global frontier-level models while increasing practical usability.On August 18, the ministry revealed the results of the second evaluation. The teams from Upstage, SK Telecom (SKT), and LG AI Research Institute advanced to the next stage. Motif Technologies, which joined through an additional application, was eliminated in this evaluation.The three advancing teams plan to concentrate on enhancing model performance and conducting real-world testing in industrial and service environments.Upstage aims to refine its model into one that the public can genuinely experience, utilizing the portal Daum and consortium partners. The company also plans to expand language support to Asian languages, laying the groundwork for entering the global market.Upstage stated, "We are establishing an ecosystem where all citizens can benefit from AI while advancing Korean AI to the global stage. In the final testing phase, we will do our utmost to enhance the model that the public can experience through Daum and consortium partners." They added, "We will also expand language support to Asian languages to facilitate global dissemination."SKT is focusing on creating a model that can be practically utilized in the domestic AI ecosystem, based on the success of its own AI model in various industries and everyday life.SKT has been conducting real-world testing in the manufacturing sector by developing specialized agents for KG Steel and Connec, and in the defense sector through a memorandum of understanding with the Ministry of National Defense to provide lightweight models. The company is also collaborating with SK Biopharm in the bio sector. Moving forward, SKT plans to focus on reducing memory and processing speed burdens that arise during the operation of its proprietary AI model, 'A.X K2,' by companies and institutions.LG AI Research Institute emphasized that it has secured a technological foundation for the stable training and operation of large-scale models and improved response quality and usability for actual users during the second phase.In the third phase, the institute aims to further enhance the scale and performance of its models to compete directly with global frontier-level models. They also plan to hold a talk concert to reveal specific directions for technological development.Im Woo-hyung, co-research director at LG AI Research Institute, stated, "Expanding the model size significantly to compete on par with global frontier-level models was a strategic choice we had to make. It is challenging to narrow the technology gap with global big tech using only small models, so we will continue to strive for performance that meets or exceeds that of models at the same scale."Meanwhile, Motif, which did not pass the evaluation, has decided not to contest the results.Im Jeong-hwan, CEO of Motif, remarked, "Regardless of the outcome, this project has proven that it is possible to develop AI models at a global frontier level in Korea based solely on technology. If the government had not decided to challenge the development of its own AI foundation model, opportunities for small startups like ours would not have existed, and we would not have achieved these results." He added, "Motif will continue to dedicate itself to developing global frontier models in the future."* This article has been translated by AI. 2026-08-18 15:00:00
  • Record High Mortgage Rates Prompt Review of Loan Regulation Policies
    Record High Mortgage Rates Prompt Review of Loan Regulation Policies The mortgage rates at South Korea's five major banks have surged to their highest level since statistics began being recorded. In June, the average mortgage rate for new installment loans from KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup banks reached 3.27%, the highest since July 2019. This marks a significant increase from 2.99% in December of last year, with rates rising for seven consecutive months this year.Banking officials explain that the increase in mortgage rates is partly due to efforts to manage the total volume of household loans, which has led to a slowdown in the growth of mortgage lending. However, the costs of operations and risk premiums are also factored into these rates, meaning not all of it contributes to bank profits. In fact, the interest rate spread between mortgage loans and deposits at the five major banks decreased from 1.56% in May to 1.48% in June. Nonetheless, it is clear that volume regulation has pushed rates higher. As the government restricted loan volumes, banks raised prices to reduce demand, ultimately passing the costs onto borrowers.While managing household debt is a valid concern, the current rigid approach of setting total volume targets for financial institutions and imposing penalties for exceeding them is problematic. For banks, raising rates or reducing lending limits has become the easiest response.The negative effects of this approach are already evident. Access to essential loans, such as those for down payments or relocation expenses, has become more difficult. Consequently, the government announced on August 13 that it would double the target increase rate for household loans this year from 1.5% to 3%, and would separately manage loans related to housing supply, such as relocation and interim loans. This adjustment comes just four months after the initial targets were set.The fundamental limitation of total volume regulation is its failure to distinguish between borrowers' risks and repayment capabilities. Genuine homebuyers who can manage their principal and interest payments are competing within the same volume limits as speculative buyers seeking to purchase multiple properties with excessive debt. When limits are reached, even creditworthy borrowers may have to pay higher rates or forgo loans altogether. Financial regulation should focus on preventing borrowing that exceeds repayment capacity rather than simply reducing debt levels.The solution lies in refining regulations centered on repayment ability, such as the Debt Service Ratio (DSR). Stricter measures should be applied to multiple property owners and high-risk loans, while distinguishing between genuine demand from first-time buyers and funds for relocation. Total volume targets for financial institutions should serve as a supplementary tool, not a means to drive up interest rates.Banks should not use total volume regulation as an excuse to maintain high mortgage rates. With the government increasing lending capacity, there may be room to lower adjustment rates that suppress demand. While managing household debt is necessary, it should not be at the expense of genuine borrowers. The record high mortgage rates signal that it is time to reassess the current total volume regulation approach. 2026-08-18 15:00:00
  • Chinese Foreign Minister Wang Yi to Visit South Korea on August 19-20
    Chinese Foreign Minister Wang Yi to Visit South Korea on August 19-20 Wang Yi, China's Foreign Minister, will make an official visit to South Korea from August 19 to 20 at the invitation of South Korean Foreign Minister Park Jin.During a regular briefing on August 18, Foreign Ministry spokesperson Park Du-sun stated, "The two ministers are expected to exchange in-depth views on bilateral relations, the situation on the Korean Peninsula, and regional and international issues of mutual interest during the China-South Korea Foreign Ministers' Meeting and an official dinner on August 19."This visit marks Wang's first trip to South Korea in nearly five years, since September 2021, and the first China-South Korea Foreign Ministers' Meeting since the talks in Beijing last September.Park added, "Ahead of the Asia-Pacific Economic Cooperation (APEC) summit in Shenzhen, China, in November, this visit will serve as an opportunity to review the progress of the full restoration of China-South Korea relations and to prepare for the next steps and high-level exchanges."President Yoon Suk Yeol is scheduled to meet with Wang Yi at the Blue House on the morning of August 20.The Blue House stated, "President Yoon will assess the direction of the development of China-South Korea relations and the regional situation, and he will convey his regards to Chinese President Xi Jinping."Additionally, a meeting and lunch between National Security Advisor Kim Sung-han and Wang Yi is also planned for August 20, where a broad exchange of views on China-South Korea relations, the situation on the Korean Peninsula, and other regional and international issues will take place.* This article has been translated by AI. 2026-08-18 14:56:00