Jung Eun-bo, Financial Supervisory Service Chief, Strengthens "Market Instability Cooperation" with Global Financial Leaders

Jung Eun-bo, Governor of the Financial Supervisory Service, meeting with Christine Lagarde, President of the European Central Bank (ECB) (left). Photo by Financial Supervisory Service

[Asia Economy Reporter Song Seung-seop] Jeong Eun-bo, Governor of the Financial Supervisory Service (FSS), has stepped up cooperation with top global officials to respond to growing financial instability caused by the Ukraine crisis and other factors.

According to the FSS on the 25th, Governor Jeong discussed major issues with top economic and financial officials from various countries from the 16th to the previous day. He met with Christine Lagarde, President of the European Central Bank (ECB); Andrew Bailey, Governor of the Bank of England; Sam Woods, Chief Executive of the UK Prudential Regulation Authority; Thorsten Foecksch, Vice President of the German Federal Financial Supervisory Authority; and Rob Fauber, Chairman of Moody's.

Governor Jeong exchanged views with them on the post-pandemic transition, the emergence of global inflation, normalization of monetary policy, and the Ukraine crisis. They also shared opinions on the potential increase in uncertainty in global financial markets. In particular, they discussed establishing a top-level hotline to strengthen global cooperation in preparation for a scenario where the Ukraine crisis rapidly spreads to financial market instability and deterioration of the real economy.

Specifically, with President Lagarde, they shared key considerations in eurozone monetary policy decisions and approaches related to monetary policy transitions. Governor Bailey mentioned major policy variables such as energy prices, inflation, and the labor market, and reviewed cooperation measures to prepare for macro-financial uncertainties. Vice President Foecksch responded that he would cooperate as much as possible within the feasible scope regarding requests for information sharing related to heritage funds.

Voices regarding the status of Korea's economy and financial markets were also heard. Chief Woods expressed his intention to benchmark the financial regulatory flexibility measures for vulnerable groups implemented in Korea after COVID-19 in the UK, highly evaluating Korea's macroprudential supervisory response. Chairman Fauber stated that Moody's would comprehensively evaluate the stable operation of the Korean economy in the upcoming credit rating assessment.

Meanwhile, Governor Jeong also met with Gregory, Deputy Executive Director of the UN Counter-Terrorism Office, to discuss cooperation measures for anti-money laundering. They shared the necessity of global cooperation to respond to the decentralization trend in finance, such as virtual assets (DeFi).

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