The chief of global index provider MSCI Inc. plans to visit South Korea this week for talks on the country's possible inclusion in its advanced market index, officials here said Tuesday.

During his stay here, Henry Fernandez plans to meet with key government officials, including Financial Services Commission Chairman Yim Jong-yong, to discuss whether the country's benchmark index should be added to the MSCI's developed market index.

While the MSCI categorizes 78 countries into three benchmark indices -- developed, emerging and frontier markets -- it has maintained South Korea's emerging market status since 2009, while dropping the nation from its review list of DM index candidates in 2014.

Last year, the FSC formed a working group and has been in talks with the provider to get the local stock market back on the review list and ultimately to be included in the top index group.

MSCI decides the final candidate country at its annual review meeting, which is slated for June.    

"Details of (Henry Fernandez's) itinerary and agenda are not known, but his visit may indicate progress in the issue between the two sides," a Seoul official said, requesting anonymity.

As the reasons for its reluctance to put South Korea on the DM index, the MSCI has cited the market rigidity of its investor identification system and a lack of full currency convertibility.  

"The government is working to reform the stock management system for offshore investors, with its main objective to introduce the omnibus account structure," another official said.  

The omnibus account structure is commonly used to facilitate relationships among brokers, especially when operating in different jurisdictions. It is viewed as an efficient way to bunch customer trading activities into a single account, saving money through economies of scale. (Yonhap)