Financial Authorities Temporarily Ease Capital Adequacy and Liquidity Regulations

Son Byung-du, Vice Chairman of the Financial Services Commission

[Asia Economy Reporter Kim Hyo-jin] Sohn Byung-doo, Vice Chairman of the Financial Services Commission, said on the 17th, "We will temporarily ease capital adequacy and liquidity regulations to ensure that the funding supply of financial institutions participating in the livelihood and financial stability package programs is not contracted."

Vice Chairman Sohn made these remarks at a financial situation review meeting related to the "Livelihood and Financial Stability Package Program 100 trillion won +@" in response to the novel coronavirus infection (COVID-19). The Financial Services Commission plans to announce detailed information regarding this soon.

The Financial Services Commission also plans to adjust the total labor cost increase during management evaluations to ensure that overtime pay for employees responding to COVID-19 is fully paid.

Additionally, the Financial Services Commission plans to revise the management evaluation guidelines for financial public institutions by introducing non-quantitative indicators to assess the degree of government policy implementation efforts and deleting profitability and soundness indicators.

According to the Financial Services Commission, from February 7, when the government first announced financial support measures related to COVID-19, until the 13th of this month, 40.9 trillion won in financial support has been provided to small business owners and small to medium-sized enterprises affected by COVID-19.

New loans and guarantees amount to 19.6 trillion won, and loan maturity extensions and principal and interest payment deferrals total 20.2 trillion won.

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