Eun Sung-soo "Announcement on Additional Loan Maturity Extensions to be Made This Month"

Eun Sung-soo, Chairman of the Financial Services Commission (second from the right), is speaking at a meeting with heads of financial associations held on the afternoon of the 12th at the Korea Federation of Banks in Jung-gu, Seoul. (Photo by Financial Services Commission)

[Asia Economy Reporter Kim Hyo-jin] Eun Sung-soo, Chairman of the Financial Services Commission, stated on the 12th that he plans to announce the extension of loan maturities and additional interest repayment deferrals in the financial sector due to the impact of the novel coronavirus infection (COVID-19) preferably within this month.

Chairman Eun made these remarks to reporters after holding a meeting with financial association heads including Kim Tae-young, Chairman of the Korea Federation of Banks, Shin Yong-gil, Chairman of the Life Insurance Association, Kim Yong-duk, Chairman of the General Insurance Association, Kim Joo-hyun, Chairman of the Credit Finance Association, and Park Jae-sik, Chairman of the Korea Federation of Savings Banks, at the Korea Federation of Banks in Jung-gu, Seoul, in the afternoon. He said, "It is better to end instability quickly," expressing this position.

The Financial Services Commission explained that the financial association heads agreed on the necessity to extend loan maturity extensions and interest repayment deferral measures, as difficulties for small and medium-sized enterprises and small business owners continue, during the meeting.

Discussions on win-win and cooperation measures in response to the entry of big tech (large information and communication companies) into the financial industry were also held at the meeting.

Chairman Eun officially proposed the formation of a public-private joint consultative body (Digital Finance Council) involving financial authorities, the financial sector, and big tech companies, and expressed his intention to collect opinions by financial sector and reflect them as much as possible in institutional improvements.

The financial association heads expressed their willingness to actively participate in the discussion process and said they hope that a fair competitive environment such as "same function-same regulation" will be established through the consultative body.

Chairman Eun also urged the associations to focus on related education and guidance to ensure that the financial sector measures of the government’s real estate policy work properly at frontline financial company counters.

He emphasized that efforts to block market disruption, such as checking for violations of loan regulations until the housing market stabilizes, will continue.

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