Shinhan Bank Signs Business Agreement with Japan's Yucho Bank to Promote New Ventures

Promotion of New Business Model Discovery in Retail and Digital Sectors
Collaboration Between Leading Banks of Korea and Japan to Develop Credit Evaluation Models

[Asia Economy Reporter Kwangho Lee] Shinhan Bank announced on the 27th that it has signed a business agreement with Japan's largest financial institution, Yucho Bank, to promote new business ventures.

The signing ceremony was conducted non-face-to-face between Korea and Japan, attended by Jin Ok-dong, President of Shinhan Bank, Ikeda, President of Yucho Bank, and Kim Jae-min, Vice President of SBJ Bank.

This business agreement was established to discover new business models in the retail and digital sectors through collaboration between representative financial institutions of Korea and Japan.

Specifically, both companies plan to jointly promote key projects such as ▲ collaboration on the development of scoring models (personal credit evaluation models) ▲ review of business models based on scoring models.

Through this business agreement, both parties will promote the development of personal credit evaluation models for retail loans. In particular, since introducing the Credit Scoring System (CSS) in 1998, Shinhan Bank has been leading credit evaluation models by being the first commercial bank to obtain internal rating system approval, and developing models for low-income groups and machine learning techniques.

Recently, Shinhan Bank has been continuously upgrading credit evaluation models using digital-based big data and alternative data, and plans to provide this experience and know-how to Yucho Bank.

A Shinhan Bank official said, "We expect various collaborations to pioneer new markets in the Japanese financial market through the business agreement with Yucho Bank," adding, "We will continue to combine the competitiveness of both companies to create innovative synergy."

Meanwhile, Yucho Bank is a subsidiary of Japan Post Group, holding total deposits of 1,900 trillion won and about 98 million individual customers. It is Japan's largest platform, providing various products and services using a nationwide network.

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