In the MyData Era, Korea Housing Finance Corporation Also Throws Its Hat in the Ring (Comprehensive)

Current Consulting Service Bid Announcement
Business Partner Selection Next Month, Strategy Preparation Possible Within the Year

[Asia Economy Reporter Park Sun-mi] The Korea Housing Finance Corporation (KHFC) is preparing a strategy to manage and utilize housing finance data by linking it with shared data and integrating it into the financial sector's MyData business. The corporation has currently announced a consulting service bid, and the strategy is expected to be established as early as this year.

According to the financial sector on the 24th, KHFC recently announced a bid for a consulting service titled "Housing Finance Data Management and Operation Strategy Establishment," with a project period of 90 days and a budget of 210 million KRW, and is currently in the process of selecting a contractor. Considering the 40-day bid announcement period and the 90-day project execution period, if the contractor is selected and the contract is finalized by next month, the business strategy could be established within this year.

What is the background of the consulting service bid announcement?

The strategy KHFC aims to pursue through this consulting service includes four main areas: ▲establishing management and utilization strategies for housing finance data ▲establishing strategies for providing and linking public data ▲establishing strategies for MyData integration and services ▲planning the construction of data platforms and infrastructure.

Besides assessing the volume of internally accumulated data and exploring utilization methods, the goal is to discover high value-added housing finance public data and link it with data outside housing finance to recommend customized financial products to consumers and support asset management. This is why the corporation explicitly included the establishment of a MyData industry-based business model in its data consulting requirements.

KHFC specifically stated that the contractor should provide advice not only on the analysis of the MyData industry market and environment but also on a MyData industry-based business model unique to KHFC. This implies that the corporation’s business area, which has mainly involved securitization of mortgage-backed securities, housing finance credit guarantees, and reverse mortgage guarantee services, could expand into asset management support services through data utilization.

MyData refers to a business that displays scattered personal credit information at a glance and provides services such as recommending customized financial products based on that information. In the financial sector, commercial banks, insurance companies, securities firms, and card companies have mainly entered this market, while participation by financial public enterprises has been limited. The Credit Information Service and the Financial Security Institute have mainly played roles in safely combining data and delivering it with anonymization and pseudonymization so that the data subjects cannot be identified.

However, as the government is shifting its direction to allow the public to proactively utilize public data, which was previously regarded as the property of public institutions, and to open it for industrial innovation and value creation, the channels for financial public enterprises to utilize data are expected to expand significantly. The Ministry of the Interior and Safety has also recently launched the "Public Sector MyData Distribution System Construction Project" to provide personal information held by administrative and public institutions to data subjects in data form for safe utilization.

"We hope to engage in the MyData business like private financial companies"

A KHFC official said, "In an era where big data utilization has become important, the corporation is currently working on the next-generation information system construction project. Once the housing finance data management and operation strategy is completed within this year, we will reflect it and proceed with improving the outdated system next year."

He added, "Based on the strategy, KHFC is also envisioning conducting the MyData business in the future. Like other financial companies, we will apply to the government for business approval and, once authorized, utilize data to provide better services as a financial public enterprise."

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