Financial Services Commission Establishes Dedicated 'Youth Finance' Department... Oversees Financial Policies for 2030 Generation (Comprehensive)

Legislative Notice Procedure Completed... Enforcement on April 7
Operated as Evaluation Target Until End of March 2024
Overall Coordination of Financial Life Policies for Youth

[Asia Economy Reporter Song Seung-seop] Financial authorities are establishing a dedicated department for youth finance. They plan to launch it as soon as the organizational restructuring is completed on the 7th of next month, with additional staffing.

According to the industry on the 31st, the Financial Services Commission recently completed the legislative notice procedure to establish the "Youth Financial Life Support Division" within the Financial Consumer Bureau. This division is being created by the FSC to efficiently implement policies related to the financial lives of young people.

The sub-organizations within the Financial Consumer Bureau will increase from six (Financial Consumer Policy Division, Microfinance Division, Household Finance Division, Capital Market Division, Asset Management Division, Fair Market Division) to seven. The staff will increase by four, with one additional person each at grades 4, 5, 6, and 7, expanding the total FSC staff from 221 to 225. One additional secretary-level and technical secretary-level staff, and one additional administrative officer and IT officer will be added. One staff member each will also be secured at the administrative assistant and IT assistant, and administrative assistant deputy and IT assistant deputy levels. The budget will be reallocated from the existing budget secured for this year.

The organization will operate as an evaluation target until the end of March 2024. According to the 2021 government management guidelines, the Ministry of the Interior and Safety conducts performance evaluations for a certain period on newly created sub-organizations and newly hired personnel through organizational revisions. This is to enhance organizational performance and ensure accountability and efficiency. It operates within a three-year range, and the Ministry of the Interior and Safety evaluates the work performance before the period expires. After a review meeting, the evaluation period can be excluded or extended, and the organization may be downsized or abolished.

Follow-up Measures to the Youth Basic Act... Increase in Youth Policy Personnel Across Ministries

Once the head of the Youth Financial Life Support Division is appointed, they will oversee and coordinate policies related to the financial lives of young people. They will also handle cooperation and coordination with related ministries and external organizations, conduct surveys and field communication related to youth financial life, and manage the enactment and revision of laws and regulations.

This restructuring is a follow-up measure to the Youth Basic Act enacted in August last year. It was prepared to address the difficulties faced by the youth generation, such as employment difficulties and housing instability, and to provide comprehensive support. In addition to the FSC, the Ministry of SMEs and Startups will establish a Youth Policy Division under the Startup Promotion Policy Officer. The Ministry of Economy and Finance and the Ministry of Land, Infrastructure and Transport will also organize Youth Policy Divisions and Youth Housing Policy Divisions, respectively. The Ministry of Education, Ministry of the Interior and Safety, Ministry of Culture, Sports and Tourism, Ministry of Health and Welfare, and Ministry of Employment and Labor plan to expand personnel responsible for youth affairs.

Nam Hyung-gi, Director of the Youth Policy Coordination Office at the Office for Government Policy Coordination, stated, "At a time when youth policy is taking root as a major national policy, establishing dedicated departments in related ministries is very timely," and emphasized, "We will closely cooperate with each ministry’s dedicated youth policy departments to ensure that government-wide youth policies are carried out organically."

Han Chang-seop, Director of the Government Innovation Organization Office at the Ministry of the Interior and Safety, also evaluated, "With the establishment of this new dedicated youth organization and reinforcement of personnel, we will be able to establish and implement new policies from the perspective of young people and further develop existing policies through evaluation and inspection."

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