S. Korean economy grows 1% in 2025; Q4 GDP unexpectedly contracts 0.3%: BOK

The South Korean economy expanded 1 percent last year, driven by robust exports, but posted negative on-quarter growth in the fourth quarter, central bank data showed Thursday. The country's real gross domestic product-- a key measure of economic growth -- for 2025 matched the Bank of Korea's earlier forecast, though the growth rate slowed from a 2 percent expansion in the previous year, according to the preliminary data by the central bank. It marked the slowest growth since 2020, when the econ

Jan. 22, 2026

BOK becomes first central bank to deploy in-house AI

The Bank of Korea and internet giant Naver on Wednesday unveiled an artificial intelligence model built exclusively for the central bank, marking what officials described as the first deployment of an in-house AI model by a central bank anywhere in the world. The system, dubbed Bank of Korea Intelligence, or Boki, operates entirely on the central bank’s internal on-premise network, distinguishing it from cloud-based or externally hosted AI tools used by other monetary authorities. “As one of the

Jan. 21, 2026

Gov't to provide temporary tax benefits to investors investing back home

The government will introduce a temporary tax incentive for retail investors who sell overseas stocks this year and reinvest the proceeds in domestic assets, the finance ministry said Tuesday. Under the new scheme, investors who sell overseas equities and convert the proceeds into Korean won for investment in domestic assets for at least one year will be eligible for an income deduction on capital gains from overseas stock sales, according to the Ministry of Economy and Finance. Capital gains on

Jan. 20, 2026

IMF revises up S. Korea's 2026 growth outlook to 1.9%

The International Monetary Fund (IMF) on Monday slightly raised its economic growth forecast for South Korea this year to 1.9 percent, the finance ministry said. In its latest World Economic Outlook report, the IMF increased its projection for Asia's fourth-largest economy by 0.1 percentage point from its previous estimate released in October. The IMF has steadily raised its growth outlook for South Korea since July, the Ministry of Economy and Finance said, noting the latest forecast exceeds th

Jan. 19, 2026

Seoul shares bask in 12th straight day of rally to end above 4,900 points

South Korean stocks extended their winning streak to a 12th day to close at a level previously unseen on Tuesday, led by gains in auto and technology shares. The local currency fell against the US dollar. After opening lower, the Korea Composite Stock Price Index rose 63.92 points, or 1.32 percent, to finish at 4,904.66, having hit an intraday high of 4,917.37. It marked the 12th consecutive day of gains since the start of the year and also the longest winning streak since a 13-session rally fro

Jan. 19, 2026

S. Korea, Egypt agree to push for CEPA talks

South Korean Trade Minister Yeo Han-koo and his Egyptian counterpart officialized the two countries' commitment to push forward with negotiations for a comprehensive economic partnership agreement, Yeo's office said Monday. Yeo and Hassan El-Khatib, Egypt's trade minister, signed a joint statement agreeing to push ahead with the CEPA negotiations during Yeo's visit to the Middle Eastern country Sunday (local time), according to the Ministry of Trade, Industry and Resources. A CEPA is a type of f

Jan. 19, 2026

Samsung family to sell 2.8 tln won worth of stake in Samsung Electronics to pay inheritance taxes

The family of late Samsung Group Chairman Lee Kun-hee plans to sell stake in Samsung Electronics worth 2.85 trillion won (US$1.92 billion), regulatory filings showed Sunday, in an apparent bid to pay inheritance taxes. Hong Ra-hee, the widow of the late business tycoon and an honorary director of the Leeum Museum of Art, signed a deal on Jan. 9 to sell 15 million shares in Samsung Electronics through Shinhan Bank, according to regulatory filing. The shares were valued at about 2.85 trillion won

Jan. 18, 2026

IMF warns Korea’s dollar exposure far exceeds FX market size

The International Monetary Fund’s warning that Korea’s US dollar assets exposed to foreign-exchange risk are “disproportionately large” is drawing renewed attention, as the won weakens again despite authorities’ efforts to stabilize the currency. In its latest Global Financial Stability Report, the IMF said dollar asset exposure held by Korean companies and financial institutions amounts to nearly 25 times the size of the country’s onshore FX market, signaling heightened vulnerability to volatil

Jan. 18, 2026

Banks join authorities to stem currency weakness

South Korea's major commercial banks are stepping up efforts, alongside government foreign exchange authorities, to curb the local currency's recent weakness, offering incentives for customers to sell US dollars and lowering interest rates on foreign-currency deposits, officials said Sunday. The won has hovered near the closely watched 1,450 won level against the US dollar recently despite authorities' verbal intervention and policy measures, pressured by broad dollar strength, geopolitical risk

Jan. 18, 2026

BOK stands pat as weak won returns

The Bank of Korea held the base rate steady Thursday, citing renewed concerns over currency depreciation despite authorities’ efforts to boost the won’s value at the end of last year. The central bank kept the benchmark rate unchanged at 2.5 percent, extending a pause that has been in place since a cut of 0.25 percentage point in May. The BOK’s rate decision stems from the won’s recent depreciation against the US dollar. The currency has retraced most of the gains made late last year, when stron

Jan. 15, 2026

BOK holds key rate steady for 5th straight session to defend weak won

South Korea's central bank again left its benchmark interest rate unchanged Thursday as a weakened won and rising inflation concerns limited room for further easing. The Monetary Policy Board of the Bank of Korea held the key rate at 2.5 percent at its rate-setting meeting in Seoul, marking the fifth consecutive on-hold decision since July. The pause comes despite the central bank remaining in a monetary easing cycle. Since October 2024, the BOK has lowered the benchmark rate by a cumulative 100

Jan. 15, 2026

Bessent says recent won depreciation not in line with S. Korea's strong economic fundamentals

US Treasury Secretary Scott Bessent has said the recent depreciation of the Korean won was not in line with the Asian country's "strong" economic fundamentals, as he met with Seoul's Finance Minister Koo Yun-cheol this week, the Treasury Department said Wednesday. During the meeting with Koo on Monday, the secretary also underscored that "excess volatility" in the foreign exchange market is "undesirable," it said, amid growing concerns in Seoul about the Korean currency having fallen against the

Jan. 15, 2026

Creator, copyright groups oppose 'use first, pay later' stance in government AI plan

South Korean creator and copyright groups issued a joint statement rejecting the “Korea AI Action Plan” released by the Presidential Council on National Artificial Intelligence Strategy, warning it could allow AI companies to use copyrighted works “without legal uncertainty” and, in practice, without paying. The groups — spanning literature, broadcasting, screenwriting, music, choreography and visual arts — said Tuesday they cannot accept what they described as a “use first, pay later” policy di

Jan. 14, 2026

S. Korea adds 193,000 jobs in 2025 amid sluggish manufacturing, construction

South Korea maintained on-year employment growth at the 100,000 level for the second consecutive year in 2025, as job losses continued in the manufacturing and construction sectors and youth employment remained sluggish, data showed Wednesday. The number of employed people increased 193,000, or 0.7 percent, from a year earlier to 28.77 million last year, according to the data from the Ministry of Data and Statistics. Job creation had been more robust in the immediate post-pandemic period, with 8

Jan. 14, 2026

Exports down 2.3% during first 10 days of Jan. despite strong chip sales

South Korea's exports went down 2.3 percent from a year earlier in the first 10 days of January despite strong outbound shipment of semiconductors, data showed Monday. Outbound shipments reached $15.55 billion in the Jan. 1-10 period, compared with $15.92 billion tallied a year earlier, according to the data from the Korea Customs Service. In contrast, average daily exports climbed 4.7 percent on-year to $2.22 billion, according to the customs office. The number of working days during the period

Jan. 12, 2026