FSC’s achievements and performances in 2014

Standard

The FSC Chairman Shin Je-Yoon made a briefing to National Policy Committee of the National Assembly about the FSC’s achievements and performances this year.

 

Facilitation of Technology Finance

기술금융

(TDB)

Technology Database(TDB) was established with participation of 32 public and private entities. TDB provides 9.6 million cases of technology information to 23 TCBs.

(TCB)

TCBs provided 1.8 trillion won worth of loans based on technology assessment results as of the end of August.

 

Development of Venture Capital Market

성장사다리

(Growth Ladder Fund)

The FSC launched ‘Growth Ladder Fund’, a fund specialized in providing business fund for each development stage for venture companies and SMEs. Total 2.5 trillion won worth of subsidiary funds were raised as of the end of September. Growth Ladder Fund invested 310.1 billion won in 64 start-up stage firms as of the end of September.

(KONEX)

KONEX grew three folds in volume since the launch in July 2013. 61 companies are listed and total market value accounts for 1,315.4 billion won as of October. 4 KONEX-listed companies were re-listed in the Kosdaq market.

 

Improvement of Household Debt Structure

가계부채

 The volume of Korea’s household debt amounted at 1,040 trillion won as of the end of June. However, since the announcement of the government’s plan to improve household debt structure in June 2011 and February 2012, the pace of household debt increase has slowed and the debt structure has improved*. Experts evaluate that the risk of household debt problem to pose entire financial system failure has significantly diminished.

*Household debt increase rate: (2011)8.7%→(2012)5.2%→(2013)6.0%

*Fixed rate non-amortized loan/bank housing mortgage loan: (end-2010)0.5/6.4→(end June, 2014)17.9/21.6

 

Improvement of Financial Regulatory System

금융규제

The FSC streamlined regulatory approval process for financial investment business and reduced regulatory burden related with financial institutions’ business operations. Moreover, outdated and unrealistic regulations were abolished to create better business environment for financial firms. The FSC also improved procedures for inspection and sanction on financial companies to relieve their burdens.

 

Privatization of Woori Financial

우리금융

In accordance to the government’s ‘Plan to Privatize Woori Financial Group’ its provincial banks(Kyongnam and Kwangju) and 6 securities companies were sold. The government announced the third phase plan for Woori privatization in June, 2014 which is to sell Woori Bank’s stakes on a two-track basis. 30% controlling stake and 27% minority shares will be sold separately to encourage active participation.

 

Eradication of Unfair Transaction

불공정거래The FSC established Capital Market Investigation Unit in September, 2013 in a bid to eradicate unfair capital market transactions. As of the end of August, 2014 26 cases of serious illegal transaction acts have been detected and reported to the prosecution. Through close coordination with the FSS and the investigative authorities, the FSC greatly reduced the number of unresolved cases related to market violation*.

*Cases pending for investigation: (end-2012)75→(July 2014)46

*Cases pending for trial: (end-2012)141→(July 2014)98

 

Improvement of Unreasonable Financial Practices금융관행

Since the launch of Financial Consumer Protection Bureau in August, 2013 the FSC has been abolished or improved unreasonable financial practices causing inconvenience to financial consumers. As of the end of September, 2014 65 unreasonable financial practices have been improved.

 

Simplication of Online Transaction System

온라인결제

The FSC abolished the requirement to use certified key when making online credit card payments exceeding 300 thousand won. Since September, the FSC has been encouraging credit card companies and payment gateway companies to facilitate non-Active X payment.

 

 

 

 

 

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