The Minute to Read series provides a quick overview of significant events in Korea from the week, conveniently condensed into a one-minute read. Here’s a recap of what happened this week: Apr. 15-19.
Finance Ministers of S. Korea, U.S., and Japan share concerns over currencies slump
Finance ministers from South Korea, the U.S., and Japan voiced concern over the recent sharp depreciation of the Korean won and the Japanese yen against the U.S. dollar at their first trilateral finance dialogue on Apr. 17. U.S. Secretary of the Treasury Janet L. Yellen showed Washington’s will to work jointly with the two countries in dealing with the fall of the yen and the won at the trilateral meeting. It came after South Korean Deputy Prime Minister Choi Sang-mok and Japanese Finance Minister Suzuki Shunichi made “the verbal intervention” to take an appropriate step for the slumping currencies on Apr. 16.
Market uncertainty makes money flocked to investor deposits
The volume of South Korean investor deposits and CMA balances, held in the form of funds awaiting deployment in the stock market, has steadily risen this year. This can be attributed to investors’ uncertainty about where to invest due to concerns regarding the timing of a potential U.S. interest rate cut and policy uncertainty following the general election.
According to the Financial Investment Association of Korea, CMA balances, serving as standby funds for stock investments, reached 7.936 trillion won (about $57.86 billion) as of Apr. 16., marking an 8.05% increase from the end of the previous year 7.3854 trillion won (about $53.55 billion). This figure peaked at a record high of 82.172 trillion won (about $59.59 billion) on Apr. 15.
Constitutional Court refers Serious Accidents Act to En Banc hearing
On Apr. 17, the Constitutional Court of Korea announced that it would refer the constitutional appeal to the Serious Accidents Punishment Act filed by the Korea Federation of SMEs to the full bench. The decision to refer the case means that the Constitutional Court will examine whether the Act’s contents follow the Constitution. This is the first time the court will hear a case on the Act’s obligations and penalties.
The Serious Accident Punishment Act penalizes employers or company representatives with at least one year of imprisonment or fines up to 1 billion won (about $721,292) for fatal industrial accidents. The Korea Federation of SMEs contended that the current law’s scope of responsibilities and obligations is unclear.
Samsung & major global tech firms step up efforts to challenge Nvidia’s dominant position
While major tech firms such as Google, Meta, Apple, and Microsoft (MS) have begun to develop their own artificial intelligence (AI) chips, Samsung Electronics and Intel have also geared up to secure leading positions in AI semiconductors, challenging Nvidia’s dominance.
Intel recently unveiled its AI processor “the Intel Gaudi 3″ and announced a collaboration with Naver. Meanwhile, Samsung Electronics has reportedly completed the development of its own AI accelerator chip, “MACH-1,” and has begun working on its next-generation product “MACH-2″.
S. Korean local governments reject permission for event featuring Japanese AV actors
Local governments in South Korea have continued to cancel an event featuring Japanese adult video (AV) actors. Playjoker, the organizer of the 2024 KXF Adult Festival (2024 KXF The Fashion), had initially planned to hold the event on Apr. 20-21 at a private exhibition center in Suwon, Gyeonggi-do, but it was canceled after facing opposition from residents and civil society groups. An alternative venue in Paju, Gyeonggi-do, was also blocked. A subsequent attempt to host the event at “US Cruise,” an on-board bar in Jamwon Hangang Park, Seoul, was refused by the Seoul Metropolitan Government. The Seoul Metropolitan Government warned of legal action, lease termination, and permit revocation for the bar if it proceeded. The city also reportedly considered cutting off electricity if the event went ahead. Ultimately, the event was relocated to a bar in Apgujeong Rodeo Street, Seoul. Gangnam-gu authorities warned that holding an adult festival violates the Food Sanitation Act and could result in administrative penalties.
Le Sserafim’s Coachella performance sparks debate over singing abilities
K-pop girl group Le Sserafim debuted at the “Coachella Valley Music and Arts Festival” in the United States on Apr. 13. The group achieved a remarkable milestone by becoming the K-pop group to perform solo on the Coachella stage in the shortest period since their debut (only a year and a half).
However, reactions from netizens have been mixed. Much criticism focused on the group members’ live singing abilities, with international netizens commenting on YouTube videos expressing disappointment, such as “vocals, oh no” and “stop.” There were comments like “What happened to the vocals?” “Sorry, but their vocals were terrible,” and “I love Le Sserafim, but I think Coachella is too much for them” on Instagram posts featuring their performance.
Some users on the American community platform Reddit defended the group. “Le Sserafim’s singing may not be the best, but their overall performance is definitely praiseworthy,” while another mentioned, “I attend the Coachella annually, and everyone around me danced and sang along. Their energy was absolutely incredible.”
E-Mart merges with its supermarket chain
South Korea’s largest hypermarket operator, E-Mart, will merge with its subsidiary Supermarket (SSM), “Emart Everyday.” Both companies held board meetings on April 16 and resolved to merge. The merger agreement will be signed on April 30, followed by consultation with shareholders and creditors. The merger will be completed on June 30, with the launch of the integrated E-Mart expected on July 1 after completing registration. The combined entity aims to enhance profitability and customer benefits by integrating product purchasing and logistics.
One minute, that’s all it takes to know about Korea. Click here ☞ https://page.stibee.com/subscriptions/305897
