Assets of 8 banking groups rise 5% on new loans
Reports on the assets of the banking groups released by the Financial Supervisory Service (FSS) on Tuesday did not include some of the major players in the industry, including Woori, Citi and Korea Development Bank, as they are no longer under the holding company system.
The eight banking groups that still operate under the holding company system are Shinhan, Hana, KB Kookmin, NH Nonghyup, Standard Chartered Korea, BNK, DGB and JB.
According to the FSS report, the increase in assets of the eight banking groups was largely from a 28 trillion won increase in loans in the first half. The biggest chunk of that went to small and midsize companies, which borrowed a total of 31.2 trillion won. Borrowing for real estate also made a big contribution as 7 trillion won of mortgages were taken out. Loans extended to big companies also counted, though conglomerates only borrowed 4 trillion won in fresh loans.
By asset size, Shinhan Group came out on top with 359.4 trillion won, followed by Hana with 332.5 trillion won and NH Nonghyup with 324.6 trillion won. KB was the fourth-biggest group by assets with 317.3 trillion won. But when adding the assets of the newly acquired LIG Insurance to KB’s assets, the total swells to 343 trillion won.
The total number of affiliates under the eight banking groups as of the end of June amounted to 147, which is five more than at the end of last year. The number of employees expanded 4.1 percent, or 4,464 people, to total 113,580.
Net profits of the banking groups also increased in the first half. As of the end of June, the eight banking groups’ profits amounted to 4.1 trillion won, up 25.2 percent compared to the same period last year.
BY LEE HO-JEONG [firstname.lastname@example.org]