Financial firms strengthen foothold in South East Asia

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By Lee Kyung-min

• Published May 23, 2019 5:55 PM KST
• Updated May 23, 2019 5:55 PM KST

By Lee Kyung-min

A growing number of financial services firms have expanded their overseas branches in Southeast Asia, a key untapped region President Moon Jae-in is seeking to help local firms enter.

According to the Financial Supervisory Service (FSS), Thursday, the firms opened 15 new outlets in the region, while closing nine.

Of the 437 branches in 43 countries, 15 were set up in Cambodia, Myanmar, Vietnam and Indonesia in 2018.

Korea Investment and Securities and Mirae Asset Daewoo established corporate entities in Indonesia and Singapore, respectively while Kiwoom Investment and Securities opened a branch in Vietnam.

The increase in the number of corporate entities and branches has translated into a jump both in their assets and net profits.

They reported a combined $179 billion in total assets in 2018, a 14 percent increase, or $21.8 billion in 2018, from the year before.

Branches in the U.S. reported the highest amount ($61 billion), followed by China ($32.5 billion) and Hong Kong ($17.9 billion).

The FSS said it will help boost cooperation with the financial authorities there to help expedite the approval process.