A warning from the head of the nation’s financial regulator about the risks of investing in crypto assets has sparked criticism from traders of virtual coins, who reject his opinion that digital tokens are speculative tools. Financial Services Commission Chairman Eun Sung-soo on Thursday voiced concern about the recent crypto frenzy, saying “cryptocurrencies, which have no intrinsic value, are not a real currency,” during a meeting of the National Assembly’s National P

Market April 26, 2021

Woori Financial Group said Sunday it has established “ESG financing principles,” a framework for the incorporation of environmental, social and corporate governance factors into the group‘s business portfolios.  The ESG finance principles introduce a definition and initial purpose of ESG finance, while stipulating how to integrate ESG values when making business decisions regarding various business models, including credit loans, project financing and wealth management,

Market April 25, 2021

South Korea’s top financial regulator on Sunday unveiled measures to supply mid-range interest rate loans worth 32 trillion won ($28.7 billion) to 2 million borrowers with weak credit ratings by the end of this year. The policymaking Financial Services Commission plans to advise both conventional and internet-only banks to extend more mid-rate loans to borrowers with low to moderate credit scores like young people and small business owners, who find it difficult to access cheap bank loa

Market April 25, 2021

The top executives of Shinhan Financial Group and Shinhan Bank received light sanctions Thursday over the sale of problematic funds structured by hedge fund firm Lime Asset Management.  A sanctions committee under the market watchdog Financial Supervisory Service handed down an admonition to Shinhan Financial Group Chairman Cho Yong-byoung and a cautionary warning to Shinhan Bank CEO Jin Ok-dong for their lax oversight of the Lime fund misselling.  The decision was made late Thursda

Market April 23, 2021

Shinhan Bank said Tuesday it has signed a memorandum of understanding with Kakao Mobility to financially support the taxi-hailing company’s employees and cooperate on developing new business models.  Under the deal, Shinhan Bank will provide loan programs offering favorable interest rates to taxi drivers and employess of nine taxi compnies operated by TJ Partners. The company is a subsidiary of Kakao Mobility, an affiliate of the country’s dominant mobile messenger operator,

Market April 20, 2021

The nation’s top financial regulator said Monday it will launch a new stock loan system for retail investors to have better access to stock borrowing for short selling.  Short selling is a trading technique where investors sell borrowed stocks on the belief that share prices will fall in the near future. Short sellers profit if they buy the stocks back for less than they sold them for. Under the new system, a total of 17 local brokerages, including Korea Investment & Securitie

Market April 19, 2021

Responding to the prolonged crisis in Myanmar, the South Korean government has decided to halt financing for government infrastructure projects there until next year, a source told The Korea Herald on Friday. “The Ministry of Economy and Finance has temporarily suspended financial support through the Korea Economic Development Cooperation Fund for any new infrastructure projects by the military government,” said an official at the Export-Import Bank of Korea, who requested anonymity

Economy April 16, 2021

South Korea’s top financial regulator vowed Friday to minimize inconveniences caused by Citigroup’s decision to withdraw retail banking operations in 13 markets, including South Korea, as part of its business reorganization for Asia.  “The Financial Services Commission and the Financial Supervisory Service will closely monitor future progress regarding the group’s latest decision and review necessary measures to minimize any possible consumer inconveniences, stabili

Market April 16, 2021

Unionized workers at Citibank Korea voiced criticism against Citibank Korea’s decision to withdraw its retail banking operations, calling it unilateral. “(Citibank Korea’s labor union) can‘t accept Citigroup’s unilateral announcement. Since Bloomberg reported on the group’s possible divestiture plan in February, we have been preparing legal action and systematic countermeasures,” said Jin Chang-geun, head of the Citibank Korea labor union. “We&r

Market April 16, 2021

Hana Bank applied for trademark rights to the name “Hana Payments” last month, signaling that it is gearing up to enter the nation’s easy-to-use digital payment market. Industry sources told The Korea Herald on Thursday that the lender applied to register the name with the Korean Intellectual Property Office on March 19. This suggests that the lender may soon join the race to offer online-based easy payment solutions, market watchers said. Major financial groups including K

Market April 15, 2021

하나은행이 간편결제 서비스로 예상되는 하나 페이먼츠 (Hana Payments)를 상표로 출원해 간편결제시장 진출에 속도를 내고 있다. 　 15일 금융권에 따르면 하나은행은 3월 중순 해당 상표를 특허청에 출원했다. 최근 금융지주의 간편결제 시장 진출이 가속화되고 있는 만큼 이번 상표 출원이 간편결제 사업의 일환이라는 해석이 나온다.  하나은행이 “Hana Payments 브랜드 관련 사업은 하나카드 소관”이라고 밝히면서 이러한 관측에 힘을 실리고 있다. 　 하나카드 관계자는 이에 대해 “Hana Payments 관련해 구체적인 사업 콘텐츠나 아이템이 정해진 건 아직 없다“며 ”이번 상표 출원은 나중에 쓸 수 있는 네이밍 확보 차원의 선제적 대응”이라고 말을 아꼈다. 　 하지만 최근 카카오페이·네이버페이 등 국내 빅테크들이 주도하고 있는 간편결제 시장에 KB금융과 신한금융지주가 본격적으로 진출했

한국어판 April 15, 2021

Provincial bank-led financial institution JB Financial Group said Wednesday it had launched an intraboard committee responsible for making business decisions focused on environmental, social and corporate governance values.  As the top decision-making body for ESG management, the new committee will develop corporate strategies and policies regarding the incorporation of ESG criteria into the group’s business portfolios, while supervising ESG-related initiatives conducted by its af

Market April 14, 2021

The government should not set legal requirements for companies adopting environmental, social and corporate governance, or ESG, principles, but should instead provide incentives for those accepting green and ethical management practices voluntarily, a top lawyer said.  Lim Sung-taek, a managing partner at law firm Jipyong, said in an interview that excessive state-imposed restrictions regarding ESG commitments could lead to market backlash because ESG is about paradigm shifts created by ma

Market April 12, 2021

BNP Paribas South Korea said Sunday it had recently hosted a webinar to offer insight into green finance at home and abroad, as well as on law firms’ key roles in supporting companies’ environmental, social and governance management.  Co-hosted by local law firm Shin & Kim, the virtual event featured Kwon Yong-kwon, head of debt capital markets division at BNP Paribas Securities Korea, Song Soo-Young, a partner lawyer at Shin & Kim, and Lee Ji-sun, leader of Posco&rsq

Market April 11, 2021

Financial authorities will launch an investigation into executives of Hyundai Motor on allegations that they used undisclosed information regarding Apple’s electric vehicle project to profit from share trading, industry sources said Sunday. The Korea Exchange has passed on the case to the Financial Services Commission to begin its own probe as early as this month and decide whether to refer the case to prosecutors, industry insiders said. The KRX investigation, launched during the last

Market April 11, 2021