Former Shinhan Financial Group Chairman Jo Yong-byeong Solely Recommended as Next Bank Federation Chairman Candidate

Former Shinhan Financial Group Chairman Cho Yong-byeong, a private sector figure, has been solely recommended as the candidate for the 15th Chairman of the Korea Federation of Banks.

On the morning of the 16th, the Korea Federation of Banks held the 3rd meeting of the Chairman Candidate Recommendation Committee and a board meeting at a hotel in Jung-gu, Seoul, where former Chairman Cho was solely recommended as the next chairman candidate. The recommendation committee discussed the entire provisional candidate pool, and the subsequent board meeting unanimously approved former Chairman Cho as the next chairman candidate.

Regarding the recommendation of candidate Cho, the Korea Federation of Banks stated, "He is evaluated as the right person to solve the current issues facing the banking industry and contribute to the development of the banking industry amid domestic and international uncertainties, based on his broad understanding of the financial industry and outstanding insight."

Earlier, the recommendation committee selected six provisional candidates in a meeting last week. Among the former bureaucrats were former KB Financial Group Chairman Lim Young-rok, who served as Director-General of Financial Policy at the Ministry of Finance and Economy and as the 2nd Vice Minister. Among private sector candidates were Cho, along with KB Financial Group Chairman Yoon Jong-kyu, former NH Nonghyup Financial Group Chairman Son Byung-hwan, former Industrial Bank of Korea President Cho Jun-hee, and former Korea Citibank Chairman Park Jin-hoe. However, Chairman Yoon withdrew midway, forming a five-way contest.

At the 3rd meeting on the day, the recommendation committee selected private sector candidate Cho as the final candidate among the five provisional candidates. Born in Ham-an County, Gyeongnam Province, Cho graduated from Daejeon High School and Korea University (College of Law). He joined Shinhan Bank in 1984 and has held positions such as New York Branch Manager, Vice President, CEO of Shinhan BNP Paribas Asset Management (currently Shinhan Asset Management), and Bank President. In 2017, he became Chairman of Shinhan Financial Group, making him a true 'Shinhan man.'

At the end of last year, he surprised many by announcing his sudden retirement, overturning expectations that he would seek a third term as Chairman of Shinhan Financial Group. Cho's retirement signaled a shake-up among financial holding company CEOs. At the time, Financial Supervisory Service Governor Lee Bok-hyun expressed personal respect for Cho as a leader.

There are concerns in the financial sector that the reality Cho will face as the head of the banking sector will not be easy. This is because demands for expanding win-win finance are increasing regarding the interest income banks have earned during the high-interest rate period that has continued since last year. Recently, even President Yoon Seok-yeol issued a warning with his so-called 'servant role' remarks, and discussions on introducing a windfall tax are underway, mainly led by opposition parties.

Following the recommendation committee meeting, Kim Kwang-soo, Chairman of the Korea Federation of Banks, told reporters, "Until now, the banking sector has paid a lot of attention to protecting financial consumers and win-win finance, but considering the reality that it is not socially well evaluated, I feel heavy-hearted." He added, "Because (candidate Cho) has extensive experience and leadership, I believe he will handle this situation well."

Meanwhile, the Korea Federation of Banks plans to hold a general meeting of members on the 27th to officially elect candidate Cho as the next chairman. Subsequently, candidate Cho will begin his three-year term starting from the 1st of next month.

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