Financial Services Commission Designates First Innovative Service Based on Generative AI

Natural Language-Based Financial Consulting, etc.

Yonhap News

A financial company that will operate the first generative artificial intelligence (AI)-based financial innovation service in Korea has been selected. The Financial Services Commission announced on the 9th that at the regular meeting held on the 27th of last month, it designated 10 innovative financial services from 9 financial companies utilizing generative AI for the first time.

The designated financial companies this time include Shinhan, KB, NH Bank, Kakao Bank, NH and KB Securities, Kyobo and Hanwha Life Insurance, and KB Card. They operate services based on generative AI, such as providing financial consultations based on natural language, offering conversational services for currency exchange and asset management, and conducting insurance coverage analysis.

Regarding the designation of these innovative services, Kim Byung-hwan, Chairman of the Financial Services Commission, stated, “There were as many as 141 applications for the designation of innovative financial services utilizing generative AI, which shows the strong desire of financial companies for regulatory improvements on network separation and their strong will for innovation.”

He added, “To ensure that financial consumers can quickly experience the benefits of regulatory improvements, financial companies need to promptly launch the designated innovative services in the market and provide services under a robust security system to balance innovation and security.”

Key Details of Designated Innovative Financial Services. Source=Financial Services Commission

According to the 'Financial Sector Network Separation Improvement Roadmap' announced last August, the use of generative AI and SaaS (Software as a Service) by financial companies has been broadly permitted. Accordingly, during the innovation service application period from September 16 to 27, 74 companies applied for 141 innovative services requesting special exemptions from network separation regulations.

The Financial Services Commission plans to process the remaining applications sequentially through procedures such as the Innovative Financial Review Committee and designate them within the statutory deadline.

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