[New Year's Address] Jeong Eun-bo, Financial Supervisory Service Chief, Emphasizes "Proactive Management of Potential Risks"

Eunbo Jeong, Governor of the Financial Supervisory Service

[Asia Economy Reporter Kwangho Lee] Jung Eun-bo, Governor of the Financial Supervisory Service, stated on the 31st, "The top priority for the new year is proactive management of potential risks."

In his New Year's address, Governor Jung said, "Currently, there are various risks, both large and small, latent in the financial market, and if they materialize, their impact will be widespread and the scarring effects may persist."

Governor Jung emphasized, "We must be able to respond promptly to any possibility that could cause financial instability, regardless of the system's share, including household debt, foreign currency liquidity, short-term money markets, and risks originating from the non-bank sector."

He continued, "We need to enhance the continuous market monitoring system and guide the industry itself to maintain vigilance in risk management."

Regarding financial consumer protection, he diagnosed, "As financial products become more complex and sales channels diversify due to digitalization, blind spots in consumer protection may arise, such as consumer damage caused by information asymmetry and exclusion of certain groups. To prevent this, proactive efforts must be made throughout the entire lifecycle of financial products?from development, sales, to post-management?to protect consumers."

He also stated, "We must actively support financial innovation," while pointing out, "The unbalanced competitive conditions between financial companies and big tech (large information technology companies) must be resolved."

Furthermore, he urged, "To prevent a 'tilted playing field,' we must establish a fair and cooperative regulatory framework based on the principle of equal functions and equal regulations."

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