State-run financial firms still awaiting appointments of leaders

By Anna J. Park

A couple of months have passed since the Yoon Suk-yeol administration was inaugurated in early May, yet some of the key chief posts of state-run financial organizations remain empty, raising concerns over the leadership vacuum during this period of increased uncertainties in global financial markets.

While Kim Joo-hyun officially began his term as chairman of the Financial Services Commission (FSC) early this week, there are still several posts in state-run financial institutions awaiting the appointments of their new leaders. Market watchers expect these empty seats to be filled soon, now that Kim has taken the helm of the country's top financial regulatory agency.

The Export-Import Bank (Eximbank) of Korea is one of these organizations that currently lacks a leader. Since its former CEO, Bang Moon-kyu, was tapped as the minister of the Office for Government Policy Coordination early last month, the bank has been going through a leadership vacuum for over a month. The bank's regular personnel appointments, originally set for the start of this month, have also been delayed.

Eximbank former Vice Chairman Yoon Hee-sung and Korea Investment Corp. (KIC) former CEO Choi Hee-nam are two of the candidates for the leading post at the state-run bank whom market watchers say could be appointed. Shin Sung-hwan, a professor of finance at Hongik University, as well as Choi Jong-hag, a professor of management at Seoul National University, are also being considered as potential candidates due to their activities on the presidential transition committee.

The Korea Credit Guarantee Fund has also been lacking a leader, since previous Chairman and CEO Yoon Dae-hee's term ended in early June. The seat has so far remained empty, largely because the FSC chief, who was finally officially appointed only early this week, has the authority to appoint someone to the post.

The Credit Finance Association, which had been led by current FSC chief Kim Joo-hyun, also needs to seek a new leader. The Korea Insurance Research Institute's leadership has also been vacant since its previous chief's term ended in April.

The Bank of Korea (BOK) Monetary Policy Board also currently has a vacancy in urgent need of being filled. One post out of the five-member board has been vacant since previous member Lim Ji-won's term ended in May. Given that the board's role is more important now than ever for its nimble responses to soaring global and domestic inflation, the empty seat needs to be filled as soon as possible.