[2021 National Audit] Go Seung-beom "Additional Household Debt Measures to be Announced in Mid-October"

"Includes Supplementary Measures for Actual Users as Well"

Financial Services Commission Chairman Ko Seung-beom and Minister of Land, Infrastructure and Transport Noh Hyung-wook are talking ahead of the 31st Real Estate Market Inspection Meeting of Related Ministers held on the 29th at the Government Seoul Office in Jongno-gu, Seoul. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Jin-ho Kim] Ko Seung-beom, Chairman of the Financial Services Commission, stated on the 6th that the additional measures on household debt will be announced "around mid-October."

Chairman Ko made this remark while attending the Financial Services Commission's audit by the National Assembly's Political Affairs Committee on the same day.

In response to Democratic Party lawmaker Kim Byung-wook's question on why the total household debt growth rate is managed at the 6% level and whether this is an administrative convenience measure, Chairman Ko replied, "It was decided considering growth rate figures and other factors."

He added, "The 6% target is not something recently created; it has been discussed since last April. However, even with total volume management, we will pay attention to devising measures to protect genuine borrowers."

Regarding concerns that administrative convenience measures by financial authorities might create 'excess demand,' where people who do not actually need loans take them anyway, he said, "We will prepare supplementary measures to ensure loans are made primarily to genuine borrowers," and "The supplementary measures will be announced around mid-October."

Earlier, President Moon Jae-in said at a morning staff meeting that "While managing household debt is inevitable, policy efforts should be made so that genuine borrowers do not face difficulties with jeonse loans and others." This message is interpreted as considering concerns that recent consecutive loan suspensions by banks and anticipated additional loan regulations by financial authorities could cause harm mainly to genuine borrowers.

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