This file photo taken on June 13, 2022, shows a cryptocurrency price monitor at Bithumb’s Gangnam center in southern Seoul. (Yonhap)
SEOUL, June 21 (Korea Bizwire) — South Korean young people who invested heavily in apartments, stocks or crypto-assets last year are being hit with a breakdown in asset values.
What’s more, the expected rise of U.S. interest rates is getting people worried, especially those who have borrowed large sums of money to buy real estate.
“During the pandemic era, we used to enjoy a 130-percent profit rate from fund investments in the tech industry,” said a 30-year-old office worker surnamed Cho.
“Now, the sudden plunge in KOSDAQ funds has made it difficult to recoup the original investment,”
Higher prices for goods and services nationwide are also leading to complaints.
“Profit rates from stock investment fell to minus 30 percent. Now, I can’t close the account because I can’t sell the stocks yet,” said a 34-year-old office worker surnamed Lee.
“My monthly salary is the same, but overall prices in the country have gone up, so cutting back on consumption helps only a little. I try not to use my car because of high gas prices and I always eat at the company cafeteria.”
A 45-year-old surnamed Park recently lost 150 million won (US$116,100) in a Goblin Coin fraud.
“I decided to let go, and work at a different job for money. For a month or two, though, I couldn’t leave home. I’ve been depressed day and night,” Park said. “I’ve undergone counseling, and even turned to religion.”
“During the pandemic, there were no applicants for part-time jobs. Now, I get 20 applications for a daily two or three-hour part-time job, paying 700,000 won per month,” said a 34-year-old owner of a “gosiwon,” a low-cost boarding housing facility.
“I’m worried if falling asset prices will take us back to the age of labor income.”
H. M. Kang (hmkang@koreabizwire.com)
