Korea's Reform Drive Gets a Boost as Lawmakers Vote for Changes
The revisions to the so-called commercial code include making board members legally accountable to all shareholders, instead of catering largely only to those with significant stakes — such as the founding families of the nation's many conglomerates. Another key change is to limit the voting rights of the largest shareholders and related parties to 3% when appointing the members of an audit committee.
South Korean authorities have been seeking to replicate the success seen in Japan, where a push for corporate reforms helped lift stock valuations and spur a world-beating equity rally. Korea unveiled a so-called 'Corporate Value-up Program' in early 2024 with a view to incentivize firms to prioritize shareholder returns.
The resolve though has intensified in recent months as newly elected President Lee Jae-myung made lifting governance standards and improving stock-market returns one of his top priorities.
Expectations that South Korea is embracing a more shareholder-friendly culture have been a major driver behind this year's surge in the nation's stocks, which has propelled the market's value to over $2 trillion.
The benchmark Kospi Index has surged almost 30% in 2025 to be one of the world's best-performing gauges. It largely held its 1.2% gain on Thursday following the outcome of the vote.
'This amendment to the Commercial Act sends a positive signal, as it demonstrates the strong commitment of the government and the National Assembly to corporate governance reform,' said Seokkeun Ha, chief investment officer at Eugene Asset Management in Seoul. 'In the short term, it could provide supportive momentum for the Kospi, backed by expectations of foreign capital inflows.
With assistance from Shinhye Kang.
This article was generated from an automated news agency feed without modifications to text.
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Economic Times
38 minutes ago
- Economic Times
India's hold on Pakistan begins to hurt where it matters
India put the Indus Water Treaty (IWT) with Pakistan, signed in 1960, in abeyance following the Pahalgam terrorist attack in April, arguing Pakistan violated the treaty through unrelenting cross-border terrorism. Months after the action, India's hold on Pakistan has begun to hurt which is evident from incendiary statements by several Pakistani leaders. Speaking at a private dinner in Tampa, Florida, where he had gone to attend an American military function, a few days ago, Pakistan's army chief Asim Munir threatened India that his country would target dams with missiles, as per media reports. Munir told members of the Pakistani diaspora, 'We will wait for India to build a dam, and when it does so, phir 10 missile sey faarigh kar dengey [we will destroy it with 10 missiles].' 'The Indus river is not the Indians' family property. Humein missilon ki kami nahin hai, al-Hamdulillah [we have no shortage of missiles, Praise be to God],' he said. Munir also threatened India with nuclear strike. After Munir's comments, Pakistani Prime Minister Shehbaz Sharif on Tuesday warned that any attempt to block water flow into Pakistan would be a violation of the IWT and met with a 'decisive response.' Speaking at an event in Islamabad, Sharif declared, 'The enemy cannot snatch even a single drop of water from Pakistan. You threatened to stop our water—if you try, Pakistan will teach you a lesson you will never forget.' Last month, former Pakistan foreign minister Bilawal Bhutto Zardari, who is the chairman of Pakistan Peoples Party, warned India over its unilateral suspension of the IWT. Speaking during the budget session of the National Assembly, said, 'India has two options: share water fairly, or we will take it from all six rivers.' Also Read | 'Enemy can't snatch even single drop of water': After Munir, Pak PM Shehbaz Sharif threatens India on Indus treaty India rejects international court jurisdictionPakistan has welcomed an international court's ruling interpreting design criteria for new run-of-river hydropower projects on the Western Rivers (Chenab, Jhelum and Indus), to be built by India, saying it vindicates its position on the Indus Waters Treaty (IWT), which India put in abeyance after the Pahalgam attack. India, however, has never recognised the Permanent Court of Arbitration, which reportedly ruled that India must "let flow" the waters of the Western Rivers for Pakistan's unrestricted use. India has instead focused on the neutral expert mechanism."The specified exceptions for generation of hydro-electric plants must conform strictly to the requirements laid down in the treaty, rather than to what India might consider an 'ideal' or 'best practices' approach," Pakistan's foreign office said Monday's ruling, Pakistan reiterated its commitment to implementing IWT and urged India to resume functioning of the same. India maintains IWT will remain in abeyance until Pakistan takes action against cross-border terrorism. Also Read | After Asim Munir's nuclear rant, Bilawal Bhutto threatens Pakistan could 'take back six rivers' from India Why are Pak leaders threatening India?Possibly, Pakistan has realised India's suspension of the IWT is not going to be reverted, which poses dire medium- and long-term challenges to the country. Under normal IWT operations, India shared vital water-flow data and alerted Pakistan to seasonal variations and flood risks. Now, India has halted such data sharing, severely impairing Pakistan's ability to anticipate floods or droughts. India no longer needs to follow design and operational restrictions for projects on the western rivers—Indus, Jhelum, and Chenab—meaning it can proceed unilaterally with dam construction and modifications. This includes reservoir flushing to clear sediment at projects like Kishanganga, potentially affecting downstream short-term capability is limited due to India's existing infrastructure, long-term construction of dams and reservoirs could significantly alter water availability for Pakistan in dry relies on Indus waters for 80–90% of its irrigated agriculture, which supports roughly 25% of its GDP and up to 37–45% of employment depending on the report. Also Read | 'We'll show them what's next': After Indus dam, Pak Army Chief Asim Munir now fixes target on RIL Jamnagar refinery In the long term, India could ramp up dams, storage, and diversion projects along the western rivers, consolidating significant upstream control. Pakistan, with limited storage capacity, may suffer perennial water shortages, especially in non-monsoon seasons. Domestic instability in Pakistan could intensify—impacting food security, rural livelihoods, trade competitiveness, and energy possible Pakistan has sensed India's long-term plans to restrict water flow and is alarmed at the Indian environment ministry panel has given 'in-principle' approval for diversion of over 847 hectares of reserved forest and 'jungle-jhari' land for construction of the ambitious 1,856-MW Sawalkot hydroelectric project in Ramban district of Jammu & Kashmir, TOI reported last month. Certain key green provisions were set aside for the purpose, keeping in view national interests. Though the final approval will be subject to grant of environment clearance for the project by the UT govt, the move shows the intent to swiftly take up the dam's construction for leveraging Chenab river's potential following suspension of the IWT. The Sawalkot hydroelectric project (HEP) is a major hydropower initiative, intended to harness the potential of the Chenab — one of the western rivers along with Indus and Jhelum whose waters currently flow unchecked to Pakistan despite India's right to use it for non-consumptive purposes, including hydro-power is also set to revive the long-stalled Tulbul Navigation Project in Jammu & Kashmir, PTI has reported recently, based on information from sources. A detailed project report for Tulbul is being prepared and is expected to take about a year to complete. This move, which comes right after the IWT suspension, underscores a significant policy shift: leveraging water resources as a means of strategic assertion. The work was restarted in 2010, with the then irrigation minister of J&K, Taj Mohideen, stating that Article 9 of IWT permitted such projects meant for non-consumptive use. In 2012, unidentified terrorists lobbed a grenade towards a bund raised by the workers for the project. Under the IWT, India was allocated the eastern rivers (Ravi, Beas and Sutlej), while the western rivers (Indus, Jhelum and Chenab) were allocated to Pakistan, with limited rights for India. India is allowed to use water from the western rivers for non-consumptive purposes like navigation, power generation and limited storage. The Tulbul Project aligns with these permissible uses. With the IWT in abeyance, there can't be any challenge to this project. After the Uri Terror Attack in 2016, Prime Minister Narendra Modi said "blood and water cannot flow together" during a high-level review meeting of the IWT. This was a clear signal that India might review or alter its commitment to the IWT in response to Pakistan's failure to curb cross-border terrorism. Nearly a decade later, Modi's indication has become a reality. India's revival of plans to build long-term projects on several rivers suggests it is not going to revert its decision. It also drives home the message in Pakistan that the suspension of the IWT was not a merely tactical move but a long-term strategic shift. Also, India's rejection of international court jurisdiction over IWT underlines this shift. That's what is bothering Pakistan's top leaders.
Time of India
an hour ago
- Time of India
India's hold on Pakistan begins to hurt where it matters
India put the Indus Water Treaty (IWT) with Pakistan, signed in 1960, in abeyance following the Pahalgam terrorist attack in April, arguing Pakistan violated the treaty through unrelenting cross-border terrorism. Months after the action, India's hold on Pakistan has begun to hurt which is evident from incendiary statements by several Pakistani leaders. Speaking at a private dinner in Tampa, Florida, where he had gone to attend an American military function, a few days ago, Pakistan's army chief Asim Munir threatened India that his country would target dams with missiles, as per media reports. Munir told members of the Pakistani diaspora, 'We will wait for India to build a dam, and when it does so, phir 10 missile sey faarigh kar dengey [we will destroy it with 10 missiles].' 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Donate For Health Donate Now Undo After Munir's comments, Pakistani Prime Minister Shehbaz Sharif on Tuesday warned that any attempt to block water flow into Pakistan would be a violation of the IWT and met with a 'decisive response.' Speaking at an event in Islamabad, Sharif declared, 'The enemy cannot snatch even a single drop of water from Pakistan. You threatened to stop our water—if you try, Pakistan will teach you a lesson you will never forget.' Last month, former Pakistan foreign minister Bilawal Bhutto Zardari , who is the chairman of Pakistan Peoples Party, warned India over its unilateral suspension of the IWT. Speaking during the budget session of the National Assembly, said, 'India has two options: share water fairly, or we will take it from all six rivers.' Live Events Also Read | 'Enemy can't snatch even single drop of water': After Munir, Pak PM Shehbaz Sharif threatens India on Indus treaty India rejects international court jurisdiction Pakistan has welcomed an international court's ruling interpreting design criteria for new run-of-river hydropower projects on the Western Rivers (Chenab, Jhelum and Indus), to be built by India, saying it vindicates its position on the Indus Waters Treaty (IWT), which India put in abeyance after the Pahalgam attack. India, however, has never recognised the Permanent Court of Arbitration, which reportedly ruled that India must "let flow" the waters of the Western Rivers for Pakistan's unrestricted use. India has instead focused on the neutral expert mechanism. "The specified exceptions for generation of hydro-electric plants must conform strictly to the requirements laid down in the treaty, rather than to what India might consider an 'ideal' or 'best practices' approach," Pakistan's foreign office said Monday. Following Monday's ruling, Pakistan reiterated its commitment to implementing IWT and urged India to resume functioning of the same. India maintains IWT will remain in abeyance until Pakistan takes action against cross-border terrorism. Also Read | After Asim Munir's nuclear rant, Bilawal Bhutto threatens Pakistan could 'take back six rivers' from India Why are Pak leaders threatening India? Possibly, Pakistan has realised India's suspension of the IWT is not going to be reverted, which poses dire medium- and long-term challenges to the country. Under normal IWT operations, India shared vital water-flow data and alerted Pakistan to seasonal variations and flood risks. Now, India has halted such data sharing, severely impairing Pakistan's ability to anticipate floods or droughts. India no longer needs to follow design and operational restrictions for projects on the western rivers—Indus, Jhelum, and Chenab—meaning it can proceed unilaterally with dam construction and modifications. This includes reservoir flushing to clear sediment at projects like Kishanganga, potentially affecting downstream flow. Though short-term capability is limited due to India's existing infrastructure, long-term construction of dams and reservoirs could significantly alter water availability for Pakistan in dry months. Pakistan relies on Indus waters for 80–90% of its irrigated agriculture, which supports roughly 25% of its GDP and up to 37–45% of employment depending on the report. Also Read | 'We'll show them what's next': After Indus dam, Pak Army Chief Asim Munir now fixes target on RIL Jamnagar refinery In the long term, India could ramp up dams, storage, and diversion projects along the western rivers, consolidating significant upstream control. Pakistan, with limited storage capacity, may suffer perennial water shortages, especially in non-monsoon seasons. Domestic instability in Pakistan could intensify—impacting food security, rural livelihoods, trade competitiveness, and energy sustainability. It's possible Pakistan has sensed India's long-term plans to restrict water flow and is alarmed at the prospect. An Indian environment ministry panel has given 'in-principle' approval for diversion of over 847 hectares of reserved forest and 'jungle-jhari' land for construction of the ambitious 1,856-MW Sawalkot hydroelectric project in Ramban district of Jammu & Kashmir, TOI reported last month. Certain key green provisions were set aside for the purpose, keeping in view national interests. Though the final approval will be subject to grant of environment clearance for the project by the UT govt, the move shows the intent to swiftly take up the dam's construction for leveraging Chenab river's potential following suspension of the IWT. The Sawalkot hydroelectric project (HEP) is a major hydropower initiative, intended to harness the potential of the Chenab — one of the western rivers along with Indus and Jhelum whose waters currently flow unchecked to Pakistan despite India's right to use it for non-consumptive purposes, including hydro-power generation. India is also set to revive the long-stalled Tulbul Navigation Project in Jammu & Kashmir, PTI has reported recently, based on information from sources. A detailed project report for Tulbul is being prepared and is expected to take about a year to complete. This move, which comes right after the IWT suspension, underscores a significant policy shift: leveraging water resources as a means of strategic assertion. The work was restarted in 2010, with the then irrigation minister of J&K, Taj Mohideen, stating that Article 9 of IWT permitted such projects meant for non-consumptive use. In 2012, unidentified terrorists lobbed a grenade towards a bund raised by the workers for the project. Under the IWT, India was allocated the eastern rivers (Ravi, Beas and Sutlej), while the western rivers (Indus, Jhelum and Chenab) were allocated to Pakistan, with limited rights for India. India is allowed to use water from the western rivers for non-consumptive purposes like navigation, power generation and limited storage. The Tulbul Project aligns with these permissible uses. With the IWT in abeyance, there can't be any challenge to this project. After the Uri Terror Attack in 2016, Prime Minister Narendra Modi said "blood and water cannot flow together" during a high-level review meeting of the IWT. This was a clear signal that India might review or alter its commitment to the IWT in response to Pakistan's failure to curb cross-border terrorism. Nearly a decade later, Modi's indication has become a reality. India's revival of plans to build long-term projects on several rivers suggests it is not going to revert its decision. It also drives home the message in Pakistan that the suspension of the IWT was not a merely tactical move but a long-term strategic shift. Also, India's rejection of international court jurisdiction over IWT underlines this shift. That's what is bothering Pakistan's top leaders.
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First Post
2 hours ago
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Do Kwon, the man behind $40 bn cryptocrash, pleads guilty to fraud
Kwon, 33, co-founded Terraform Labs in Singapore and built the TerraUSD and Luna tokens, a pairing that once carried a market value north of $50 billion Do Kwon, the South Korean cryptocurrency entrepreneur whose stablecoin empire imploded in 2022, pleaded guilty Tuesday (August 12) to two US counts of conspiracy to defraud and wire fraud. Kwon, 33, co-founded Terraform Labs in Singapore and built the TerraUSD and Luna tokens, a pairing that once carried a market value north of $50 billion. At a hearing in Manhattan federal court, he admitted lying to investors about how his supposedly stable digital dollar kept its $1 peg. STORY CONTINUES BELOW THIS AD 'I made false and misleading statements about why it regained its peg by failing to disclose a trading firm's role in restoring that peg,' Kwon told Judge Paul Engelmayer. 'What I did was wrong.' More from Tech Perplexity offers $34.5bn for Google's Chrome in bid to challenge search dominance The plea deal with the US attorney's office drops other charges, including securities fraud and money laundering conspiracy, from a nine-count indictment. Prosecutors will recommend no more than 12 years in prison if Kwon accepts full responsibility. Sentencing is set for December 11. He faces a statutory maximum of 25 years. Back in 2021, when TerraUSD slipped off its peg, Kwon told the world a computer algorithm had fixed it. In reality, prosecutors say, he orchestrated a secret rescue by a high-frequency trading firm that bought millions of dollars' worth of the token. The false narrative, they allege, lured more investors into Terraform's products and sent Luna soaring before the crash wiped out roughly $40 billion. Manhattan US Attorney Jay Clayton called it 'one of the largest frauds in history,' driven by the hype of blockchain technology and speculative mania. Kwon has been in custody since his extradition from Montenegro last year. He also faces criminal charges in South Korea. The plea agreement allows him to seek transfer abroad after serving half his US sentence, if prosecutors do not object. STORY CONTINUES BELOW THIS AD In a separate case, he and Terraform agreed in 2024 to pay $80 million in civil penalties and accept a ban from crypto transactions as part of a $4.55 billion settlement with the U.S. Securities and Exchange Commission. The 2022 crypto crash swept away several high-profile firms. Kwon's fall from a darling of the blockchain scene to a jailed defendant stands as one of its most spectacular collapses. With inputs from Reuters
