Financial Supervisory Service to Change 'Work Style'... Establishes Work Innovation Roadmap

Establishment of a Dedicated Financial Supervision Innovation Team and Development of Licensing Support System
Shortening Dispute Resolution Period through Changes in Dispute Allocation Method and Introduction of Concentrated Processing System
Improvement of Data Request Practices for Financial Companies

[Asia Economy Reporter Song Hwajeong] The Financial Supervisory Service (FSS) is launching a dedicated organization for financial supervision innovation and establishing a licensing support system as part of its efforts to innovate operations. Through this, it plans to boldly improve supervisory practices.

On the 5th, Lee Bokhyun, Governor of the FSS, held a meeting with the financial industry at the Korea Federation of Banks in Myeongdong, Seoul, to announce the FSS's operational innovation roadmap, the "FSS, the F.A.S.T. Project."

Governor Lee stated, "The 'FSS, the F.A.S.T. Project' is a commitment to carry out the FSS's supervisory duties under four key principles: Fairness, Accountability, Support, and Transparency. It consists of 20 detailed tasks across five major areas, encompassing hardware expansion such as the dedicated financial supervision innovation organization and licensing support system, as well as software upgrades for a fundamental shift in the 'way of working.'"

The FSS will systematically support financial industry innovation by establishing and operating a dedicated financial supervision innovation organization and building a licensing support system (Licensing Start Portal). To ensure reasonable reviews of foreign, general private equity funds, and new technology business finance companies, it will improve work methods and enhance transparency in financial product reviews. The FSS plans to minimize review delays through simplification of review items, on-site pre-inspections of formal requirements upon document submission, and batch reviews via visits to financial companies. Additionally, it will analyze licensing and registration demands by region and reinforce review personnel in sectors with concentrated demand.

Through innovation in dispute resolution processing methods, the FSS aims to resolve long-standing backlog disputes early and shorten dispute processing periods. By changing dispute assignment methods, introducing a focused processing system by dispute type, and operating a continuous concentrated hearing system, it plans to drastically reduce processing times. The goal is to cut the number of disputes from 4,700 as of the end of August this year to 2,000 by the end of March next year, a 60% reduction. The dispute assignment method will shift from the current random assignment to assigning handlers by dispute type, and the dispute type-specific processing system will replace the current first-in-first-out method with focused processing by dispute type. For cases with significant legal issues or consumer damage concerns, a concentrated hearing system will be operated to promptly decide on processing directions.

The FSS will also alleviate the workload of financial companies. Reports with low utilization among the periodic business reports submitted by financial companies will be abolished or have their reporting frequency eased. It will improve the convenience of the data submission request system (CPC) by addressing related inconveniences and reform data request practices. The FSS plans to support insurance companies in securing preparation time for product development by providing the average disclosure interest rate (calculated by the FSS) used in insurance product development earlier.

Additionally, the FSS will establish an Active Administration Committee (Chair: Senior Deputy Governor) within the organization to systematically support the execution of active administration.

The FSS plans to sequentially announce detailed implementation plans for each task and promptly implement those that can be immediately executed, aiming to complete as many as possible by the first half of next year.

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