Hana Bank Decides to Join Bank Council for Additional KIKO Dispute Mediation

[Asia Economy Reporter Kim Min-young] KEB Hana Bank has decided to participate in the 'Bank Council' that handles additional dispute voluntary adjustments related to the foreign exchange derivative product KIKO incident.

According to the financial sector on the 8th, Hana Bank held an extraordinary board meeting on the same day and decided to participate in the bank council for additional dispute adjustment regarding KIKO.

Previously, in December last year, financial authorities set a policy that if banks that sold KIKO products accept dispute adjustment decisions, a bank council would be formed to voluntarily adjust compensation amounts for companies applying for additional dispute adjustments due to damages.

There are a total of 11 banks that sold KIKO products, and among them, Hana Bank is the first to express its intention to participate in the council.

The Financial Supervisory Service has shortlisted 147 damaged companies as subjects for dispute adjustment. These are companies that signed contracts with an excessive scale (over-hedging) compared to their actual export amounts at the time of the KIKO contract.

A Hana Bank official said, "This is a decision to end the long-standing KIKO-related disputes and secure customer trust," adding, "Beyond simply the obligation to pay compensation, we have decided to fulfill our social responsibility as a financial institution by sharing the pain with the damaged companies."

Hana Bank plans that once the council is formed, it will identify the companies eligible for compensation among the 147 damaged companies recognized by the Financial Supervisory Service for incomplete sales, and establish compensation standards through voluntary adjustments with participating banks.

This content was produced with the assistance of AI translation services.