913 of 2,764 senior officials are multiple homeowners.

• 913 officials own 3,886 properties. 1,292 in Seoul, 679 in Gyeonggi Province.
• Concentrated in Gangnam-gu (226), Seocho-gu (206), and Songpa-gu (121).
• A joint investigation by JoongAng Ilbo and Leaders Index.
• Related Link.

What Matters Now.

No Supplemental Investigative Authority for the Prosecution Service.

• Lee Jae-myung (President) clarified that exceptional supplemental investigative authority is necessary, but the Democratic Party chose a different path. Yesterday, in a general assembly of lawmakers, they agreed to grant only the right to request supplemental investigations, not the authority itself.
• Jeong Cheong-rae (Democratic Party Leader) said, “Prosecutorial reform is the banner and symbol of the Lee Jae-myung administration. Under no circumstances should this banner or symbol be tarnished.”
• They also decided to unify the structure of the Central Investigative Agency’s personnel. The government’s proposal was to divide roles into investigative judges and professional investigators, but the Democratic Party overturned it, stating, “It is no different from the dualized prosecutorial structure of prosecutors and investigators.” The intent is to remove prosecutors’ ranks.
• They also maintain the position to eliminate the title of Prosecutor General. This overturns Lee Jae-myung’s clarification that the head of the prosecution service could be called the Prosecutor General. Kim Han-gyu (Democratic Party’s Chief Deputy Speaker) said, “We will prepare a revised opinion stipulating that the Prosecutor General concurrently serves as the head of the prosecution service.”
• Jeong Seong-ho (Minister of Justice) drew attention in a Chosun Ilbo interview, stating, “Since police investigations cannot be perfect, whether it’s supplemental investigative authority or any other measure, supplementary measures must be prepared.” He added, “Otherwise, the Lee Jae-myung administration’s prosecutorial reform will fail.” This reflects a divergence from Jeong Cheong-rae’s stance.
• Related Link.
• Related Link.

Both Myeong Tae-gyun and Kim Young-sun Acquitted.

• This trial addressed allegations that Kim Young-sun (former People Power Party lawmaker) gave half of her parliamentary salary to Myeong Tae-gyun as payment for receiving a nomination.
• The court ruled that the money was not a nomination fee but rather wages. It meant unpaid compensation for Myeong Tae-gyun’s work as a local chapter head in Kim Young-sun’s district.
• The bench acknowledged, “Myeong Tae-gyun may have influenced Kim Young-sun’s nomination,” but concluded it was not political funding and thus acquitted them.

Arrest Warrants Sought for Kang Sun-woo and Kim Kyung.

• It has been 38 days since the investigation began. Criticism emerges that it is too late.
• The core facts of the case have emerged: ahead of the 2022 local elections, Kim Kyung (Seoul city council member) allegedly handed 100 million won to Kang Sun-woo (then Democratic Party lawmaker), and Kim Byung-ki (then Democratic Party nomination committee chair) was aware and tacitly approved.
• Police applied breach of trust charges, not bribery. Kang Sun-woo faces breach of trust for receiving, Kim Kyung for breach of trust for giving.
• Kim Byung-ki has not been summoned for questioning yet.

Deep Dive.

“Confidence in Party Leadership? Put Your Position on the Line.”.

• Jang Dong-hyeok (People Power Party Leader) has confidence he will survive the party member vote.
• He said, “We will ask the party members’ will” and “If the party members demand my resignation, I will step down not only as leader but also as lawmaker.”
• Targeting Han Dong-hoon-aligned lawmakers or Oh Se-hoon (Seoul Mayor), he pressured, “If you demand the leader’s resignation, you must bear corresponding political responsibility.”
• Given the party’s conservative-dominated membership structure, Jang Dong-hyeok is unlikely to be ousted.
• However, demanding that a leader stake their position is a different matter altogether from merely seeking a confidence vote.
• Jang Ye-chan (Deputy Director of Yeouido Research Institute) praised, “In a rubber-stamp legislature filled with ‘egunam’ (empty men), we finally see manly and bold politics.”
• Shin Ji-ho (former Saenuri Party lawmaker) rebelled, calling it “a democratic-destroying act that seeks to neutralize criticism through blackmail and intimidation.”

Was There a Presidential Determination That Jeong Cheong-rae’s Re-election Is Absolutely Unacceptable?

• “Look at Kim Min-seok (Prime Minister)’s recent moves. He’s rallying party members to explain state affairs and has been guarding Lee Hai-chan’s (former Prime Minister) funeral home nonstop. It’s a signal he’s going to the convention to take down Jeong Cheong-rae.” This was reportedly said by a pro-Myung faction lawmaker.
• A Democratic Party official remarked, “All the president’s close confidants who communicate privately have jumped in,” adding, “The clear message is the president opposes the merger.”
• There are also claims that “Jeong Cheong-rae is plotting to seize control of the Democratic Party on behalf of the non-Myung faction.”
• A senior lawmaker stated, “One can’t help but suspect a scheme is underway to transform the Democratic Party into the ‘Pro-Moon Democratic Party’ from the ‘Pro-Myung Democratic Party.’”
• Kang Chan-ho (JoongAng Ilbo columnist) pointed out, “If the merger is forced through, the aftermath will be severe regardless of the outcome.”
• Related Link.

“Does Small Size Mean No Dignity?”.

• Cho Kuk (Reform Party Leader) said this. “This is not about ideological or policy disputes. It’s a torrent of abuse and mockery with no trace of decency.”
• After Lee Eun-ju (Democratic Party Supreme Council Member) called the Reform Party’s land public concept policy “unconstitutional and socialist-oriented,” Cho Kuk retorted, “That’s the kind of criticism you’d expect from the People Power Party.”
• Cho Kuk added, “They’re weaving conspiracy theories upon conspiracy theories,” and urged, “I hope they quickly clean up their internal mess.”

Another Take.

Youth Face a Double Divide.

• Top 20% net assets: 560 million won. Bottom 20%: 50 million won. A 10.4x gap.
• The gap between top and bottom 20% is 7.1x in 40s, 7.5x in 50s. Youth gaps are wider.
• Chosun Ilbo analyzed that a dual divide—by residence and workplace—is the cause. The gap between metropolitan+corporate vs. regional+SMEs is stark.
• In their 20s, corporate vs. SME wages are 3.42M vs. 2.23M won (1.19M difference). By 50s, it’s 7.72M vs. 3.30M won (4.42M difference).
• Per the Korea Enterprises Federation, SME wages are 58% of corporate levels. Down from 70% in 2020. Netherlands: 89%. Sweden: 90%.
• Related Link.

Was the Issue Early-Morning Delivery, or Just Another Loophole for Big Supermarkets?

• Large supermarkets are prohibited from operating between midnight and 10 AM and must close for two mandatory days each month.
• The Democratic Party is considering allowing large supermarkets to offer early-morning delivery. Though they urged, “Please don’t overinterpret this as an immediate change,” the debate has ignited.
• Lee Jung-hee (Chung-Ang University Professor) questioned, “Given the strong lock-in effect of online platforms, it’s doubtful how much market share large supermarkets can actually take from Coupang.”
• Critics argue, “Instead of regulating Coupang, they’re just creating another Coupang.”
• Lee Sung-won (Secretary-General of the Small Business Owners and Self-Employed Solidarity Association) pointed out, “Large supermarkets aren’t targeting Coupang’s next-day delivery—they’re eyeing the short-distance delivery market where local stores barely survive.” “If round-the-clock delivery opens, neighborhood supermarkets, convenience stores, and traditional markets will be defenseless,” he added.
• Related Link.

The Death of the Washington Post.

• The newspaper that once embodied American media’s pride for breaking the Watergate scandal.
• After being acquired by Jeff Bezos (Amazon founder) in 2013, several innovation experiments were attempted, but its editorial stance collapsed rapidly during Trump’s second term. During the last election, controversy erupted over its retraction of an editorial supporting Kamala Harris (then Democratic candidate).
• Yesterday, it laid off over 300 out of 800 editorial staff.
• The Washington Post’s subscriber count peaked at 3 million in 2020 but has been declining ever since. In 2024, it recorded a $100 million loss.
• Martin Baron (former Washington Post executive editor) criticized, “Bezos’s disgusting efforts to curry Trump’s favor left an ugly stain.”
• Related Link.

KOSPI Plunges 4% Despite Retail Investors’ ₩7 Trillion Buying Spree.

• Volatility continues with sharp gains and drops. Foreign investors net-sold ₩5 trillion.
• The U.S. market struggled again today. Weak employment data and a tech sell-off dominated. Microsoft and Amazon fell 5% and 4%, respectively.
• New unemployment claims hit their highest level since 2009.
• Bitcoin dropped below $70,000.
• Related Link.

The Era of Monthly Rent Accelerates.

• Jeonse listings in Seoul have dropped 20% in a year. Monthly rent listings rose 9%.
• The Korea Daily analyzed that government policies are accelerating the shift from jeonse to monthly rent.
• Supplies have shrunk as tenants increasingly exercise their contract renewal rights, making new entries harder.
• Last year’s designation of all Seoul as a land transaction permit zone—with mandatory residency requirements—also reduced jeonse housing.
• Capital-area jeonse loan thresholds have risen too. Concerns grow that housing cost burdens may become structurally entrenched.
• *Note on formatting:** The line breaks in the original Korean content were preserved exactly, with each distinct sentence or clause appearing on its own line as in the source. The translated title was condensed to match the original’s punchy, concise style while retaining its critical tone about policy-driven housing shifts. Key terms like *jeonse* (Korean lease system) were retained without explanation to preserve cultural specificity, as per the context-aware instructions.

Did They Buy Stocks Early and Then Hype the News?

• There are suspicions that Hankyung Economic Daily journalists engaged in front-running.
• The Stock Manipulation Eradication Joint Response Team raided the Hankyung Economic Daily headquarters.
• Late last year, a former journalist from EToday and Seoul Economic TV was arrested and indicted for front-running and pocketing 11.2 billion won.
• Related Link.

The Fix.

The Bell Around the Basic Pension Cat’s Neck.

• In 2024, 24 trillion won was allocated for 6.76 million people; by 2050, this will swell to 150 trillion won for 13.3 million people.
• Giving it to the bottom 70% by income means excluding only the top 30%—even those earning around 2.47 million won monthly can receive 349,000 won in basic pension.
• Taking back what was originally given is the hardest part.
• Choi Ok-geum (National Pension Service Research Institute Director) argued, “The national pension and basic pension should be integrated and used as a minimum income guarantee system.” She added, “We must reduce the number of recipients but find ways to support low-income groups more substantially.”
• Oh Ki-hyeong (Democratic Party lawmaker) emphasized, “Reform is only a matter of time,” and stressed, “The Ministry of Health and Welfare must take the initiative in restructuring.”
• Will the Lee Jae-myung administration dare to touch the basic pension?
• Related Link.

Three Absences in Korean Conglomerate Governance.

• First, there is no ex-ante oversight mechanism. Audit committee members remain under the controlling shareholder’s control.
• Second, there is no ex-post accountability. Shareholder derivative lawsuits are too difficult to initiate. With Samsung Electronics’ market cap exceeding 1,000 trillion won, gathering just 0.01% equity requires 100 billion won.
• Third, there are no shareholders to exercise rights. Audit reports are released only one week before shareholder meetings. The short notice period prevents external shareholders from exercising proposal rights at all.
• Kim Woo-chan (Korea University Professor) pointed out, “Our companies serve company and shareholder interests when they don’t conflict with controlling shareholders’ or executives’ private interests—but when conflicts arise, they unhesitatingly prioritize the controlling shareholder or executive’s interests.”
• Related Link.

ICYMI.

Giving 100 Million Won Each Time Boosted Birth Rates.

• This is the story of Booyoung Group. The number of births rose from 28 in 2024 to 36 last year.
• Lee Jung-geun (Booyoung Chairman) said, “I thought giving 100 million won would provide emotional satisfaction and practical use,” and “We plan to endure until the total fertility rate reaches 1.5.”
• A cumulative 13.4 billion won has been paid out so far.
• They decided to provide permanent rental housing for those who have a third child.
• Booyoung’s experiment also changed tax policies. Recipients had to pay 41.8 million won in income tax on the 100 million won incentive, but the government decided to exempt childbirth support funds from taxation up to two times in full.

Key Data to Understand the Flow of Money.

• South Korea’s real estate assets total 16,841 trillion won (2023), with housing market capitalization at 7,158 trillion won (end of 2024).
• GDP was 2,557 trillion won in 2024, while household debt reached 1,927 trillion won. Real estate-backed loans alone were 1,123 trillion won—nearly half of GDP.
• Last year’s IPO market? 5 trillion won.
• Paid-in capital increases? 10 trillion won (2025).
• As of February 5, KOSPI market cap was 4,265 trillion won, KOSDAQ at 608 trillion won.
• Money remains heavily tied to real estate. Stock prices have risen, but corporate financing remains barren.
• The stock market is an outflow channel, not a funding one. Share buybacks alone hit 18 trillion won as of November last year. Where do companies raise funds? Only through retained earnings.
• Productive finance? For decades, real estate-backed loans have been banks’ effortless cash cow.
• Collateral+guaranteed loans account for 75% of financial sector lending.
• New VC investments were around 6 trillion won last year.

Google Revenue Hits $403 Billion.

• It’s the Gemini effect. Cloud division revenue surged 48% in Q4 (year-on-year).
• Monthly active users rose from 650 million in October to 750 million in January this year.

Trump-Led Rare Earth Alliance, South Korea as Chair.

• The FORGE (Forum for Geostrategic Resource Cooperation) initiative was created by gathering 55 countries.
• It’s a trade bloc including South Korea, Japan, Australia, and emerging economies from South Asia, Africa, and Latin America.
• It’s an attempt to counterbalance China’s monopoly on rare earth elements.
• They agreed to set price floors to counter Chinese dumping.
• ‘Forge’ is a double entendre meaning both ‘to form’ and ‘blacksmith’s forge’.
• South Korea will serve as the inaugural chair. South Korea also chairs the Critical Minerals Security Partnership (MSP).
• Related Link.

Worth Reading.

Is the Nation’s Diplomatic Instinct Dulling?

• South Korea’s government failed to detect any signs until Trump imposed 25% tariffs. Even accounting for his notoriously erratic nature, it’s problematic if they didn’t anticipate criticism over legislative delays.
• Koo Yoon-cheol (Minister of Economy and Finance)’s remark that “investment in the first half will be difficult” may have been the final provocation.
• Lee Jeong-eun (Dong-A Ilbo Deputy Bureau Chief) warned, “Diplomatic instincts dull not when the other side is unpredictable, but when one becomes paralyzed in the face of that unpredictability.”
• Related Link.

Did Prices Rise Despite Taxes or Because of Them?

• Heavy capital gains taxes were introduced under the Roh Moo-hyun administration. They were suspended and abolished under Lee Myung-bak and Park Geun-hye, then reinstated under Moon Jae-in. The Yoon Suk-yeol administration suspended them again, and their revival (end of suspension) is now imminent.
• Coincidentally, housing prices surged significantly under Roh Moo-hyun and Moon Jae-in. While it’s hard to attribute the rise directly to heavy capital gains taxes, the “lock-in” effect of withheld listings may have contributed somewhat.
• Lee Sang-ryul (JoongAng Ilbo Editorial Writer) distilled three lessons from past governments’ failures: First, heavy taxation cannot stabilize housing prices; second, the market’s volatility cannot be controlled without sufficient supply; third, increasing supply is difficult without deregulating redevelopment and reconstruction projects.
• Related Link.

It’s Not the Taxes That Failed.

• Je Chung-im (Professor at Seomyung University Graduate School of Journalism) disagrees. Unlike conservative media’s “tax bomb” narrative, the comprehensive real estate tax failed not because of the tax itself, but because it was implemented late in the presidential term and the next president overturned it.
• Je Chung-im emphasized, “If the government strengthens property taxes early in its term and clearly signals they won’t waver until the end, outcomes could change.” “Lowering transaction taxes like acquisition and capital gains taxes could stabilize prices by increasing housing supply in the market.”
• Even President Lee Jae-myung’s remark that “taxes shouldn’t be used for other purposes” deserves reconsideration. It’s the government’s role to use taxes to cool or stimulate as needed. The framing must be precise.
• Related Link.

Feedback.

Will Investment Promises Made at Every Presidential Meeting Be Kept?

• Large corporations’ announced “50,000 hires” are based on gross recruitment figures that exclude resignations or retirees. However, net growth (based on actual employment insurance subscribers) is often less than half—or even negative—compared to the announced numbers.
• Looking at the four major conglomerates, they pledged massive annual investments of tens of thousands of jobs, but over four years, net growth was only about 47,910. Even combined, this falls short of a single year’s announced scale (50,000).
• In reality, as many workers leave as are hired, so viewing only 20–30% of the announced figures as actual net growth in the job market is reasonable.

Problems When Approaching Renewable Energy Through Price.

• Slowletter writes, “As the Renewable Portfolio Standard (RPS) ratio increases, we’re not discussing subsidies paid to producers or the costs of purchasing Renewable Energy Certificates (RECs). South Korea’s renewable energy ratio is low, and we’re now trying to raise it. Can we really say this has no relation to electricity prices? (Omitted)
• We’re not blaming renewable energy for recent electricity price hikes. However, it’s also irresponsible to categorically claim that expanding renewable energy will have no impact. Rather than insisting electricity prices can’t be raised, it’s more honest to acknowledge that some burden-sharing is necessary.
• Is this approach—like the nuclear industry sometimes does—not renewable energy itself distorting facts by forming its own ‘energy faction’?
• Today’s Slowletter has [advertisement].
• We’ve previously declined multiple advertising inquiries to preserve readability. However, if our readers can tolerate it, we plan to occasionally feature ads with meaningful purposes.
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(Advertisement) ‘Known Fishermen’ Send ‘Known Seafood’ from Tongyeong.

• ‘Known Fishermen’ is a service that delivers rapidly frozen seafood caught by local fishermen from Geoje and Tongyeong. Every package includes the fisherman’s name, boat name, fishing location, and date.
• It’s not from unknown fishermen—it’s trustworthy, fresh seafood sent by ‘known fishermen.’
• ‘Known Fishermen’ is a seafood subscription service created three years ago by Jang Seok (CEO of Jungang Seafood) with the goal of revitalizing coastal fisheries.
• Jang Seok previously served as chairman of the board at Ewha School, a community alternative school, and chairman of the Pressian Cooperative. Three years ago, he was preparing to be featured in a Slow News solution project, and though the article wasn’t completed, we’re glad to finally introduce this initiative.
• Coincidentally, they were selected as a participating vendor for the Korea Fisheries Expo hosted by the Ministry of Oceans and Fisheries and are currently offering a 40% discount event. They’re selling oysters, mackerel, squid, redfin sea bream, cutlassfish, and more—including their flagship product, oysters. Click the image below to go to the event page.
• Large-scale bottom trawlers are devastating marine ecosystems. ‘Known Fishermen,’ who practice small-scale fishing, aim to sustain coastal ecosystems by building a network between fishermen and consumers. Please support the ‘Known Fishermen’ project.
• Related Link.
• Related Link.