Eun Seong-su, Financial Services Commission Chairman, Meets with Financial Holding Company Presidents... Cooperation on Loan Maturity Extension

Eun Sung-soo, Chairman of the Financial Services Commission

[Asia Economy Reporter Kwangho Lee] Eun Sung-soo, Chairman of the Financial Services Commission, will meet with the chairmen of the five major financial holding companies: Kookmin, Shinhan, Hana, Woori, and NongHyup. This is to seek cooperation from the financial sector regarding the additional extension of loan maturity extensions and interest repayment deferral measures, which have been extended until the end of next month.

According to the financial sector on the 16th, Chairman Eun will hold a private meeting with the chairmen of the five major financial holding companies at an undisclosed location in Seoul this week.

Attendees include KB Financial Chairman Yoon Jong-kyu, Shinhan Financial Chairman Cho Yong-byeong, Hana Financial Chairman Kim Jung-tae, Woori Financial Chairman Sohn Tae-seung, and NH NongHyup Financial Chairman Sohn Byung-hwan.

Currently, the Financial Services Commission is reviewing a plan to re-extend the loan maturity extension and interest repayment deferral measures in the financial sector. A six-month extension period is the most likely option under consideration.

The Financial Services Commission implemented these measures for six months starting April 1 last year and extended them for an additional six months, planning to end them on March 31 this year.

Chairman Eun plans to submit the related agenda at a regular meeting later this month after consultations with the financial sector.

At last month's Financial Services Commission work plan briefing, Chairman Eun stated, "The entire Republic of Korea is facing a difficult environment, and given the current situation, extending the maturity is inevitable."

Prime Minister Chung Sye-kyun also supported the Financial Services Commission's position during a government questioning session at the National Assembly on the 5th, saying, "The government believes that an additional extension is inevitable due to the serious COVID-19 situation."

Meanwhile, as of last month, the total loan maturity extension amount in the entire financial sector was 126 trillion won (413,000 cases). The interest repayment deferral amount was 157 billion won (13,000 cases), with a principal amount of 4.7 trillion won. The proportion of cases applying for interest deferral among all maturity extension cases was about 3%.

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