news highlight

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  Korea's chip boom to bolster consumption in 2027: BOK SEOUL, October 22 (AJP) — South Korea's semiconductor boom could spread more broadly to household consumption in 2027 through bonuses, dividends, fiscal transfers and a stronger won, although the benefits remain uneven, the Bank of Korea (BOK) said Thursday. Private consumption has recovered from a trough in early 2025 but has lagged the broader expansion, rising 2.6 percent from a year earlier in the first half of 2026. Services, nondurable and semidurable goods led October 22, 2026
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  UPDATE: Bank of Korea stands pat, bonds rally on unanimous pause *Updated with Governor Shin Hyun-song’s remarks, central bank statement, data and market response. SEOUL, October 22 (AJP) - The Bank of Korea (BOK) on Thursday kept its key rate steady at 3.00 percent to assess the effects of a half-percentage-point increase across its last two summer meetings, while maintaining a clear restrictive bias. “Since growth and inflation data appear stronger than predicted in August, we should keep up tightening policy stance,” Gover October 22, 2026
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  Nonregular workers make up the bulk of Korea's wage job gains SEOUL, October 21 (AJP) -Nearly four in 10 of South Korea’s 22.5 million wage earners are nonregular workers, adding 103,000 from a year earlier as of August to account for almost all of the 113,000 net increase in wage employment. Worse, the monthly pay gap between nonregular and regular workers widened to 1.94 million won, feeding inequalities on the job front. Nonregular workers increased 103,000 and its share to the work force 38.5 percent - the highest on record - w October 21, 2026
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  Korea's profit recovery mostly led by big corporate names: BOK ◆ SEOUL, October 21 (AJP) — South Korea's corporate profitability improved in 2025 mostly for large companies and chip- and shipbuilding-related industries, widening gap with smaller firms. The operating margin of nonfinancial for-profit corporations rose to 5.2 percent from 4.6 percent a year earlier, the highest since 2021, according to annual data released Wednesday by the Bank of Korea (BOK). Sales growth, meanwhile, slowed to 2.4 percent from 3.7 percent, highlighti October 21, 2026
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  Korea's mid-October exports double at fresh high SEOUL, October 21 (AJP) — South Korea's chip-led export boom remained firmly intact through the first 20 days of October, with monthly outbound shipments more than doubling from a year earlier to a record $61.6 billion. Exports jumped 105.4 percent from a year earlier, while imports rose 42.8 percent to $47.1 billion, leaving a trade surplus of $14.5 billion, according to preliminary data from the Korea Customs Service (KCS). The headline increase was amplified by gre October 21, 2026
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  Korea's producer inflation cools as chip prices retreat SEOUL, Oct. 21 (AJP) — South Korea’s producer inflation plateaued in September as weaker chip prices and a stronger won offset holiday food demand and higher utility charges. The producer price index rose 0.2 percent from August to 129.78, according to the Bank of Korea (BOK), while the annual increase slowed to 7.7 percent from 7.9 percent. August’s monthly gain was revised down to 0.1 percent from the preliminary 0.2 percent. Underlying price momentum soften October 21, 2026
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  Youth pension subsidy sparks debate over cost and fairness SEOUL, October 20 (AJP) - South Korean President Lee Jae Myung's call to reconsider the application requirements for a new government-funded pension subsidy for young people has sparked a debate among lawmakers over fairness, fiscal responsibility and the fundamental principles of the country's pension system. The dispute emerged Tuesday after Lee questioned whether requiring young people to apply for their first month's pension contribution would unfairly exclude those October 20, 2026
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  Homebuyers in Seoul use cash for purchases SEOUL, October 20 (AJP) - More people relied on their own money to purchase apartments in Seoul this year as stricter loan rules made borrowing harder, accounting for nearly 70 percent of all buyers, government data showed on Tuesday. They spent 8 percent more of their own money or 54.18 trillion won (US$40.8 billion). Buyers relying on their own funds accounted for 66.8 percent of all apartment buyers, up from 58.4 percent a year earlier. The increase came even as the total amou October 20, 2026
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  BOK, BoE discuss tokenization cooperation SEOUL, October 20 (AJP) — The Bank of Korea (BOK) and the Bank of England (BoE) discussed closer cooperation on tokenized finance after comparing domestic and cross-border digital-money projects, the BOK said Tuesday. Sarah Breeden, the BoE's deputy governor for financial stability, visited the BOK on Monday and exchanged views with officials on payment innovation and other issues. Officials from the two central banks reviewed progress on South Korea's Project Han October 20, 2026