Financial Services Commission Chairman Ko Seung-beom: "Strengthening Household Debt Management While Protecting Low-Income and Vulnerable Groups"

Chairman Go, 2022 Pan-Financial Sector New Year's Meeting New Year's Address
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Seung-beom Ko, Chairman of the Financial Services Commission / Photo by Dong-joo Yoon doso7@

[Asia Economy Reporter Kiho Sung] On the 4th, Go Seung-beom, Chairman of the Financial Services Commission, stated, "The financial sector is facing increasingly diverse challenges" and emphasized the need to respond swiftly to changes.

In his New Year's address at the '2022 Pan-Financial New Year's Meeting,' jointly hosted by six financial associations including the Korea Federation of Banks, Chairman Go urged, "Market risks and uncertainties are rising due to the COVID-19 crisis and the global shift to tightening, and we must respond promptly to industrial structural changes such as digitalization, platformization, and innovations driven by big tech and fintech."

Regarding this year's goals for the Financial Services Commission, he mentioned focusing on laying the foundation for harmonizing three tasks: ▲financial stability ▲financial development ▲economic growth, and concentrating on spreading the inclusive finance policy.

First, he emphasized maintaining a watertight financial stability system. Chairman Go said, "While consistently strengthening household debt management, we will also implement protective measures for low-income and vulnerable groups," adding, "We will closely monitor the stability of the short-term funding market, the crisis response capacity of the non-bank sector, and address vulnerabilities."

On financial development, he stated, "We will reform the regulatory framework to promote innovation and competition," and "We will organize the financial system to enable entry into various new businesses and continue support to back digital transformation."

He then promised to drive economic growth by strengthening real economy support. He emphasized, "We will supply policy finance worth 200 trillion won this year without fail, support the structural transformation of the real economy through the establishment of New Deal funds, and induce ESG (environmental, social, and governance) disclosure and investment," and added, "We will also innovate capital market systems such as the KONEX market and public funds."

To spread inclusive finance, he said, "We will strengthen tailored support for vulnerable borrowers by supplying 10 trillion won worth of policy finance for low-income households," and "We will support asset formation and management for the youth and improve the financial system to be more consumer-friendly."

Chairman Go remarked, "The economic and financial order after COVID-19 will be drastically different from before the pandemic," and urged, "We must fully overcome the crisis and turn the challenges we face into opportunities for innovation. We need to enhance the dynamism of the economy and finance."

Meanwhile, the '2022 Pan-Financial New Year's Meeting' was converted into sharing New Year's addresses from four major institution heads?the Deputy Prime Minister and Minister of Economy and Finance, the Chairman of the Financial Services Commission, the Governor of the Bank of Korea, and the Chairman of the Financial Supervisory Service?along with an encouragement speech from the Chairman of the National Assembly's Political Affairs Committee with financial industry professionals, instead of holding an in-person meeting due to COVID-19.

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