KB Financial Group to Invest 9 Trillion KRW in Supporting 'Korean New Deal' Projects by 2025

Establishing Group-Level Support System for 'Korean New Deal' Projects through 'KB New Deal & Innovative Finance Council'
Investing a Total of 9 Trillion Won in Five Sectors with Over 1 Trillion Won Private Investment, Including Green New Deal
Committed to Supporting SMEs and Small Business Owners Facing Temporary Difficulties Due to COVID-19
Chairman Yoon Jong-kyu: "We Will Actively Participate in Supporting the National Korean New Deal Policy"

Yoon Jong-kyu, Chairman of KB Financial Group, along with Heo In, President of KB Kookmin Bank, and other key executives of major affiliates, are holding the 'KB New Deal? Innovation Finance Council' on the 23rd to discuss support measures for the 'Korean New Deal' policy.

[Asia Economy Reporter Jo Gang-wook] KB Financial Group will invest a total of 9 trillion KRW to support the 'Korean New Deal' project by 2025.

On the 23rd, KB Financial Group held the 'KB New Deal·Innovative Finance Council,' composed of key executives including Chairman Yoon Jong-kyu and KB Kookmin Bank President Hur In, and announced that it has decided to actively participate in the 'Korean New Deal' policy through continuous promotion and expansion of innovative finance.

KB Financial's '2020 Innovative Finance Promotion Status,' consisting of 16 core tasks under four major agendas, has been progressing rapidly with an average completion rate of 66.5% as of the end of June. KB Financial explained that this reflects the group's proactive efforts to coexist with companies facing difficulties due to COVID-19, such as expanding credit support to companies (technology finance progress rate of 85.2%, support of 5.8 trillion KRW).

At the meeting, it was decided to expand the 'KB Innovative Finance Council' to the 'KB New Deal·Innovative Finance Council.' In addition, the current status of credit support and investment for innovative companies was reviewed, and discussions were held on future key promotion plans as well as additional measures to effectively support the 'Korean New Deal' project.

First, among the 'Korean New Deal' projects, core tasks were additionally selected focusing on 'Digital-Green Convergence' and 'Green New Deal,' which have large private investment scales, and group-level promotion plans were discussed. To this end, the group’s CIB Chief Officer will participate as a new member of the 'KB New Deal·Innovative Finance Council,' concentrating capabilities on selecting and promoting areas where support is possible.

KB Financial Group decided to prioritize support in areas such as 'Green Smart School,' 'National Safety SOC Digitalization,' 'Green Remodeling,' 'Green Energy,' and 'Eco-friendly Future Mobility,' setting a goal to invest a total of 9 trillion KRW by 2025 (1.5 trillion KRW annually / about 30% of private investment scale).

Previously, KB Financial was the first in the financial sector to establish an 'ESG Committee' within the board of directors, leading ESG management, and is fostering ESG-related businesses, which have gained importance after COVID-19, as core strategic businesses of the group. Including renewable energy fields such as the 'Haenam Solar City Solar Power and Energy Project' and the 'Yeongam Wind and Solar Power Project,' the scale of ESG products, investments, and loans, which was about 20 trillion KRW as of the end of last year, will be expanded to 50 trillion KRW by 2030, and the group plans to reduce carbon emissions by 25%.

Chairman Yoon said at the meeting, "We must do our best in the fundamental role of finance to successfully promote the national task of the 'Korean New Deal,'" adding, "We will actively participate in the transition to a digital economy such as revitalizing the data industry and take the lead in supporting areas where private capital is needed."

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