Former prosecutors have gotten big appointments by the administration of President Yoon Suk-yeol, a career prosecutor, and the finance industry is no exception.
President Yoon Suk-yeol named Kim Joo-hyun, chairman of the Credit Finance Association, as the new chief of the Financial Services Commission (FSC) on Tuesday.
Fractional ownership — tradable units representing underlying assets — is attracting regulatory scrutiny, as the popular form of investment has been the target of complaints and questions about whether unit holders are adequately protected.
After the review, the operations of Discovery Asset Management were suspended for three months and CEO Jang Ha-won is prohibited from working for three months,. IBK, which sold about 30 percent of the funds, was fined 4.7 billion won.
Amid growing concern over the spread of the Omicron variant and interest rate hikes, the Financial Services Commission asked lenders to shore up their bad debt reserves and brace for a potential loan crisis.
The online bank Toss, the third of its kind in Korea, started accepting loan applications on Tuesday after halting the service just nine days after it started business in October.
The rate for businesses with less than 300 million won in annual revenue will fall to 0.5 percent from 0.8 percent, the Financial Services Commission (FSC) said Thursday.
The Bank of New York Mellon, the oldest bank in the United States, is ceasing corporate trust services in Korea.
Forbearance on some household loans for people facing difficulties due to Covid-19 has been extended for another six months.
The head of Korea's financial regulator said he will make continued efforts to bring household debt growth down to pre-pandemic levels, as debt has emerged as a major risk that could threaten the country's economy.