Yoon Ho-young, CEO of Kakao Bank, "Significant Expansion of Mid-Interest Loans"... IPO Planned Within the Year (Comprehensive)

CEO Yoon Ho-young Online Meeting "Focus on Mid-Interest and Mid-Low Credit Loans"
Full Product Launch Scheduled for Second Half... "Will Participate in MyData Business"

Yoon Ho-young, CEO of Kakao Bank, is making an announcement at an online press conference on the morning of the 2nd.

Expansion of Mid-Interest Rate and Medium-to-Low Credit Loans Starting This Second Half

[Asia Economy Reporter Kiho Sung] Yoon Ho-young, CEO of KakaoBank, stated, "This year, we want customers to think of KakaoBank first in the mid-interest rate and medium-to-low credit loan sectors." To this end, KakaoBank plans to expand the loan volume for medium-to-low credit customers and launch new products. KakaoBank is preparing for its initial public offering (IPO) this year. Additionally, it has expressed its intention to participate in the Personal Credit Information Management Business (MyData) as the first internet-only bank.

Setting this year's strategic goal as 'KakaoBank First,' CEO Yoon said at an online press conference on the 2nd, "All products and services will provide the highest convenience and competitive benefits, and we want customers to think of KakaoBank first whenever they need financial services." He added, "Especially this year, we will expand financial inclusion in the loan product sector."

The full-scale expansion of mid-interest rate and medium-to-low credit loan supply will begin in the second half of this year. KakaoBank plans to introduce products exclusively for medium-to-low credit customers based on its own credit evaluation. Although the loan supply volume is currently undecided, it is expected to be much larger than the existing mid-interest rate loan product supply. Alongside this, corporate loan products will also be introduced. In collaboration with the Ministry of SMEs and Startups and the Korea Credit Guarantee Fund, KakaoBank is developing loan products for individual business owners, targeting the second half of the year.

CEO Yoon also expressed his intention to participate in the second round of MyData preliminary license applications scheduled for March this year. He said, "We did not apply in the first round because we were not directly conducting related business at that time, but we plan to apply for the preliminary license in the upcoming second round."

He continued, "Although I cannot share specific business plans yet, KakaoBank will approach MyData not as a standalone business but as a process to solve customer problems, just as we have done so far. I believe this is what differentiates us."

Yoon Ho-young, CEO of Kakao Bank, is answering questions at an online press conference on the morning of the 2nd.

"Technology Engineers the Bank"... Financial Technology Research Institute Begins Full-Scale Activities

CEO Yoon announced that this year, the platform business segment will be further strengthened. He plans to expand partner companies for linked loans, securities account opening services, and credit card recruitment agency services, and the linked 26-week installment savings will collaborate with a wider range of partners. Yoon explained, "Various financial services are being reviewed and discussed internally at KakaoBank, and more products and services than planned may be launched this year."

The Financial Technology Research Institute, designated as an innovative financial service by the government last year, will begin full-scale activities this year. The institute plans to seek collaboration opportunities with fintech and techfin companies in an environment exempt from network separation and focus on developing artificial intelligence (AI), security, and non-face-to-face technologies.

CEO Yoon emphasized, "With COVID-19 making digital contact a daily routine, KakaoBank aims to connect finance and daily life more conveniently in the digital contact era and accelerate the speed and scope of innovation in areas where innovation has not yet occurred."

Meanwhile, KakaoBank's provisional net income last year was 113.6 billion KRW. The fee sector also recorded its first annual surplus. Net profit from fees was 6.8 billion KRW, and net interest income was 408 billion KRW. Total assets increased by approximately 3.926 trillion KRW from the previous year to 26.65 trillion KRW. Capital rose from 1.6787 trillion KRW at the end of the previous year to 2.797 trillion KRW due to a capital increase of about 1 trillion KRW. The Basel III (BIS) ratio at the end of 2020 was 20.03%.

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