Too Many Bureaucrats in KRX

FSC Chairman Chin Dong-soo

By Kim Tae-gyu
Staff Reporter

The country's top financial policymaker asked government officials and ex-bureaucrats not to join the Korea Exchange (KRX), the Seoul bourse operator whose chairmanship is currently vacant.

Financial Services Commission (FSC) Chairman Chin Dong-soo made the recommendation Friday during a press meeting, with the search for a new KRX head imminent.

``Too many bureaucrats have moved to the KRX. In this climate, government officials had better not take the reins of the exchange,'' said Chin, who has the legal right to recommend a candidate for the position to the President.

Former Korea Exchange Chief Executive Lee Jung-hwan resigned Oct. 13, although his term at the KRX, which was designated as a public corporation early this year, still had about 15 months to go.

Lee, a lifetime financial bureaucrat before joining the KRX, claimed in an e-mail message to KRX employees sent just after his resignation that financial authorities had pressed him to retire.

The KRX aims to select its new boss this year but it remains to be seen whether they will be able to do so, due to the many processes required.

The KRX board will create a committee comprised of KRX outside directors and professors. It will shortlist applicants for the top job through document screening and interviews.

The committee will select a single candidate or multiple ones to report to FSC Chairman Chin, who will then recommend one to President Lee Myung-bak for appointment.

``We hope to finish the job within the year because the absence of a chairman may cause some problems. But we are not sure whether the processes will finish this year,'' a KRX official said.

Meanwhile, Chin also said during the press conference the FSC is mulling over whether to form a task force of government officials and civilians, including the Finance Minister, the Bank of Korea and private experts.

``The consultative organization would help the government come up with better mid- to long-term policies in how the financial segment can back up the real economy in the future and how to generate more added values in the financial industry,'' Chin said.

``The task force would also discuss agenda items associated with the G20 meetings in advance. It is expected to help the progress of Korea's financial industry.''

voc200@koreatimes.co.kr

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