Domestic Banks Accelerate Global Business Again... Approvals for Establishing Overseas Branches Increase (Comprehensive)

KB Kookmin Bank Obtains Preliminary Approval for Singapore Branch Establishment
NH Nonghyup Bank Receives Final Approval for Hong Kong Branch Establishment

[Asia Economy Reporter Park Sun-mi] The global operations of domestic banks, which had slowed due to the COVID-19 pandemic, are gaining momentum again.

According to the financial sector on the 3rd, KB Kookmin Bank announced that it has obtained preliminary approval from the Monetary Authority of Singapore to establish a branch. Upon opening the Singapore branch, KB Kookmin Bank will be able to handle all operations including corporate finance, investment finance, capital market-related tasks, and securities business, except for local currency-based retail operations. The bank places great significance on establishing a foothold in Singapore, a leading financial hub in Asia.

With the goal of developing its global division as one of its core businesses, Kookmin Bank plans to use Singapore, which is emerging as a global financial hub, as a base for global investment finance and fundraising, and to continuously expand its overseas network. As part of this global expansion strategy, the bank recently established an Asia Credit Review Center and expanded its scope of work beyond credit reviews in Hong Kong and China to include Southeast Asia, India, and Oceania. It also plans to relocate the Asia Credit Review Center to Singapore in the future.

NH Nonghyup Bank has also obtained final approval to establish a branch in Hong Kong. Despite concerns over issues such as the National Security Law last year, Hong Kong has solidified its position as a global trade finance and Asian investment finance hub based on stable interest rates, exchange rates, and foreign exchange reserves. Nonghyup Bank received final approval from the Hong Kong Monetary Authority on the 29th of last month.

Through its entry into Hong Kong, Nonghyup Bank plans to strengthen corporate finance services, expand investment finance centered on syndicated loans, and diversify foreign currency fundraising channels, focusing on qualitative growth in its global business. The Nonghyup Bank Hong Kong branch aims to commence operations within the year after completing branch establishment procedures such as leasing premises and developing IT systems.

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