The Financial Services Commission, today, announced its plan to establish ‘Micro Finance Center (tentative)’ within 2013 to provide one-stop total consumer finance services.
The government introduced numerous micro finance products including Sunshine Loan, Smile Microcredit, and New Hope Loans to lift financial burdens of ordinary people. However, such efforts exposed several limits and problems due to lack of coordination among financial institutions and overlapped functions of the products.
To such backdrop, the Credit Counseling and Recovery Service and Smile Microcredit Bank will be merged with National Happiness Fund to establish ‘Micro Finance Center’ which will be responsible of overall micro finance services. Doing so is expected to provide more needed support and consumer-oriented financial services to ordinary people.
The government will propose related bill to the National Assembly within this year while forming a task force to fine-tune necessary procedures and measures.