The Korea Times

Card issuers turn to small-business lending as consumer loan curbs squeeze growth

As Korea’s financial authorities continue tightening their grip on household debt, card issuers are looking beyond personal card loans for growth, with many expanding into lending for sole proprietors and small-business owners, according to industry officials Thursday. In recent years, card companies have relied on card loans to offset slowing growth in their transaction fee incomes. Carrying higher interest rates than bank loans but requiring no collateral, these have become a popular source of quick funding for borrowers with limited access to mainstream credit. That appeal has also made them a target of regulators. Authorities regard card loans as a significant contributor to household leverage and have sought to restrain their growth as part of a broader campaign to curb debt accumulation and cool speculative demand in the property market. Pressure on the sector intensified this week after several major card issuers exceeded regulatory targets for outstanding card loan balances. The Financial Supervisory Service summoned the companies on Monday and urged them to strengthen interna

Jun 19, 2026By Park Han-sol

Card issuers turn to small-business lending as consumer loan curbs squeeze growth

Banking & Finance

Mirae Asset Group crosses $1 tril. mark in client assets

Mirae Asset Group's client assets have surpassed the $1 trillion mark, a milestone that reflects the firm's transformation from a domestic financial company into a global investment player, according to company officials Thursday. As of the end of May, the group's domestic assets totaled 1,140 trillion won ($757.1 billion), while overseas balances reached 390 trillion won. Mirae Asset Securities accounted for roughly 800 trillion won of the total, followed by Mirae Asset Global Investments with 680 trillion won. Mirae Asset Life Insurance and other affiliates managed a combined 50 trillion won. The growth trajectory has accelerated markedly in recent years. Customer assets climbed from 666.5 trillion won in 2022 to 777.9 trillion won in 2023, 906 trillion won in 2024 and 1,158.7 trillion won in 2025. In the first five months of this year alone, the increase exceeded the gain recorded during all of last year. The group's capital base has expanded in tandem. Its equity capital stood at 26.3 trillion won at the end of March, up 2,630-fold from the 10 billion won with which the company was f

Jun 18, 2026By Park Han-sol

Mirae Asset Group crosses $1 tril. mark in client assets

Banking & Finance

AI-generated complaints create new headaches for insurers

A recent customer complaint filed with one of the top three life insurers in Korea appeared convincing at first glance. It cited what seemed to be relevant laws and argued that the company had misinterpreted them. There was one problem: The law did not exist. "Sometimes customers cite statutes that simply aren't real," a company official said. "Other times the law itself exists, but the interpretation is completely off. We're seeing more grievances that sound plausible on the surface but don't hold up under scrutiny." At another big-name non-life insurance firm, claims handlers encountered a different telltale sign of artificial intelligence (AI). One submission still contained the asterisks that ChatGPT typically uses for emphasis. "People can put a few details into ChatGPT and ask it to draft a complaint for them. We are definitely seeing cases like that," an official at the insurance firm said. These episodes illustrate a growing challenge for the country's insurance sector as more consumers turn to generative AI tools to draft complaints and appeals. While chatbots can help explain com

Jun 18, 2026By Park Han-sol

AI-generated complaints create new headaches for insurers

Economy

Weak won fuels demand for dollar-denominated insurance, but FX risks persist

When a life insurance agent recommended a dollar-denominated annuity earlier this month as a way to benefit from strong U.S. currency, a Seoul office worker immediately signed up, attracted by the prospect of tax-free returns and potential foreign exchange gains. Soon after, however, the worker found himself scouring online forums, questioning whether undisclosed fees and future currency swings could erode the promised benefits. “Since the first premium has not yet been collected, I’d like to cancel the policy if there are major drawbacks that weren’t fully explained to me," he wrote on Blind, an anonymous community app. His concerns highlight the double-edged nature of dollar-denominated insurance products: A stronger greenback can enhance returns, but currency fluctuations can also magnify costs and reduce eventual payouts. Demand for U.S. dollar-denominated insurance products has jumped this year as the Korean won continues to trade at historically weak levels against the dollar. Under these policies, both premiums and payouts are made in dollars. They typically offer higher retu

Jun 16, 2026By Park Han-sol

Weak won fuels demand for dollar-denominated insurance, but FX risks persist

Banking & Finance

Citi becomes 1st to launch tokenized depositary receipt service for private shares

Citi has become the first to launch a blockchain-based depositary receipt service for shares in private companies, aiming to make it easier for issuers to reach investors and for investors to access private market opportunities, the company said Tuesday. The launch comes as private companies remain unlisted for a longer period of time, prompting many to seek alternative ways to provide liquidity to shareholders without relying on often fragmented secondary markets. The new offering, called the Digital Depositary Receipts, applies Citi’s traditional depositary receipt framework to private company shares. Using blockchain infrastructure operated by SIX, a Swiss financial market operator and one of the world’s first fully regulated digital central securities depositories, the service tokenizes depositary receipts backed by private market equity. Under the model, Citi acts as both issuer and custodian of the digital receipts, handling issuance, settlement and safekeeping. The company said the structure is designed to simplify transfers of ownership and broaden investor access while allo

Jun 16, 2026By Park Han-sol

Citi becomes 1st to launch tokenized depositary receipt service for private shares

Economy

Seoul stocks surge as US-Iran breakthrough boosts risk appetite

Korean stocks surged Monday after the United States and Iran reached a preliminary agreement over the weekend that includes the reopening of the Strait of Hormuz, removing one of the biggest sources of uncertainty that had weighed on global markets for more than three months. The agreement effectively brings an end to the 106-day conflict that began on Feb. 28, with a formal signing ceremony scheduled for Friday in Switzerland. “The Deal with the Islamic Republic of Iran is now complete,” U.S. President Donald Trump wrote on Truth Social before Asian markets opened. “I hereby fully authorize the toll free opening of the Strait of Hormuz ... Ships of the World, start your engines. Let the oil flow!” On the news, international crude prices fell back toward the $80 range as fears of supply disruptions eased. Brent crude, the global benchmark, and U.S. West Texas Intermediate crude both dropped over 4 percent to $83.53 and $80.58 per barrel, respectively. While still well above pre-Iran war levels, prices have retreated sharply from the peaks above $110 reached during the height of t

Jun 15, 2026By Park Han-sol

Seoul stocks surge as US-Iran breakthrough boosts risk appetite

Banking & Finance

Citibank Korea marks community day with neighborhood clean-up

Citibank Korea employees, their families and staff from client companies took part in a volunteer program on Saturday as part of Citi’s annual Global Community Day initiative, the lender said Monday. Launched in 2006, Global Community Day is Citi’s flagship volunteer campaign, bringing together employees worldwide for community-based service projects. More than 1.2 million volunteers have participated since its inception. Citibank Korea CEO Yoo Myung-soon joined employees in a neighborhood clean-up around Jeong-dong in central Seoul, home to the bank’s headquarters. The group picked up litter near historic sites and took part in a guided walk exploring the district’s cultural and historical significance. “Citibank Korea is committed to supporting local communities through Citi’s global volunteer initiatives,” Yoo said. “It was especially meaningful to have not only employees and their families, but also staff from our client companies, join us this year.” This year’s campaign began with the outdoor Harmony Concert on May 27 and has since expanded into a monthlong seri

Jun 15, 2026By Park Han-sol

Citibank Korea marks community day with neighborhood clean-up

Economy

Mirae Asset Securities fails to secure SpaceX IPO shares, frustrating Korean investors

Korean investors were shut out of SpaceX's record-breaking initial public offering (IPO) after domestic underwriters, including Mirae Asset Securities, failed to receive any shares in the final allocation process, according to industry officials Sunday. Shares in the Elon Musk-led aerospace and satellite company surged more than 19 percent from their IPO price in their Nasdaq debut on Friday, closing at $161.11. The gain gave SpaceX a market value of $2.1 trillion and made Musk the world's first trillionaire on paper. For domestic investors, securing shares through the IPO would have provided a chance to buy the stock at its $135 offering price before its sharp first-day rally. Instead, they were left empty-handed. SpaceX had initially earmarked 2.31 million shares for Mirae Asset Securities out of the 555.6 million common shares sold in the offering. But Goldman Sachs, the lead underwriter, ultimately allocated no saleable shares to any Korean members of the underwriting syndicate. Market participants attributed the move to stronger-than-expected demand from institutional investors, pro

Jun 14, 2026By Park Han-sol

Mirae Asset Securities fails to secure SpaceX IPO shares, frustrating Korean investors

Banking & Finance

Hana Institute of Finance hosts seminar on productive finance

The Hana Institute of Finance held a joint seminar Thursday with the Korea Institute of Finance and the Korea Institute for Industrial Economics and Trade (KIET) to discuss the role of productive finance in supporting industrial growth, Hana Financial Group said Sunday. The event examined how industrial and financial policies can be better aligned to strengthen national competitiveness amid ongoing shifts in global supply chains. Participants also discussed ways to improve coordination between public and private financing and how support frameworks for future high-tech industries could evolve. In a congratulatory address, Hana Financial Group Chairman Ham Young-joo emphasized the role of private financial institutions in driving industrial transformation. “Industrial ecosystems at home and abroad are rapidly shifting toward tech-driven sectors such as artificial intelligence (AI), data and energy. To keep pace with these changes, financial and industrial policies must work in tandem as complementary pillars of the country’s growth strategy,” he said. The chairman noted how financia

Jun 14, 2026By Park Han-sol

Hana Institute of Finance hosts seminar on productive finance

Banking & Finance

Global insurers call for cross-border cooperation to tackle evolving risks, widening protection gaps

Artificial intelligence (AI) and autonomous technologies are rewriting the rules of risk, while more frequent climate-related disasters and geopolitical tensions are making that risk harder to predict and quantify. Those shifts have left insurers grappling with questions that extend well beyond traditional underwriting and claims management: how to price emerging risks, how to narrow widening protection gaps and how to remain relevant as the nature of risk itself evolves. Against this backdrop, more than 1,300 insurance executives, risk specialists and technology leaders representing 175 companies from around the world convened in Seoul this week for the Korea International Insurance Conference (KIIC). The two-day event, held at the Grand InterContinental Seoul Parnas with Samsung Fire & Marine Insurance as lead sponsor, was built around a theme that encapsulated those concerns: “Insuring the Future in a Changing Risk Landscape.” Opening KIIC’s main session on Thursday, Samsung Fire & Marine Insurance CEO Lee Mun-hwa remarked that the industry must move beyond its traditional role

Jun 11, 2026By Park Han-sol

Park Han-sol

Read more

Card issuers turn to small-business lending as consumer loan curbs squeeze growth

Mirae Asset Group crosses $1 tril. mark in client assets

AI-generated complaints create new headaches for insurers

Weak won fuels demand for dollar-denominated insurance, but FX risks persist

Citi becomes 1st to launch tokenized depositary receipt service for private shares

Seoul stocks surge as US-Iran breakthrough boosts risk appetite

Citibank Korea marks community day with neighborhood clean-up

Mirae Asset Securities fails to secure SpaceX IPO shares, frustrating Korean investors

Hana Institute of Finance hosts seminar on productive finance

Global insurers call for cross-border cooperation to tackle evolving risks, widening protection gaps

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