Banks on alert over spread of coronavirus

The file photo shows a KB Kookmin Bank branch in Seoul. The lender shut down several branches in the southeastern city of Daegu after it was confirmed they were affected by the spreading novel coronavirus. Korea Times file

By Kim Bo-eun

Banks are on alert over the rapid spread of the novel coronavirus, taking precautionary measures such as shutting down affected branches and carrying out disinfection work.

According to major banks, Monday, multiple banks have shut down branches nationwide, following cases of infections there.

KB Kookmin Bank's private banking center and bank outlet in the KB Insurance building in the southeastern city of Daegu was shut down, as the insurer closed the entire building after it confirmed an employee of another company in the same building was infected with the virus.

NH NongHyup, Suhyup, KB Kookmin and DGB Daegu banks closed branches and outlets in Daegu where bank employees were confirmed to have been infected with the virus. The outlets that have been shut down may reopen as early as Wednesday.

KB Kookmin Bank said it would cancel fees for transactions made online as well as through ATMs for customers based in Daegu in North Gyeongsang Province.

Daegu is currently the city with the largest number of confirmed cases, due to infections that occurred at assemblies of a cult known as Shincheonji Church in the region.

Woori Bank closed branches in Daejeon and Incheon, after it confirmed customers with the virus visited the branches. Shinan Bank closed its branch in Seongnam, Gyeonggi Province, after a bank employee was confirmed to have contracted the virus.

Hana Bank shut down its outlet at Kyung Hee University's campus in Yongin, Gyeonggi Province, where the dormitory for international students is located. The lender also closed a branch in the city of Pohang.

The banks are conducting disinfection measures at the branches, and on ATMs.

“The number of visitors to bank branches has decreased,” a bank official said. “The effects are reduced as customers can access mobile banking services. However, in the long-term, banks can be affected in the case the epidemic lasts and has an impact on the economy,” he said.

Over 700 people have been infected with the virus and seven have died here, as of Monday noon. The sudden spike in the number of confirmed cases here have alarmed authorities. The government pledged to unveil measures to stimulate the economy Tuesday, as businesses are hit by falling consumption and faltering exports.

The government earlier forecast that the economy would grow by 2.3 percent this year, but the rapid spread of the coronavirus has had global agencies warning that Korea's GDP growth may fall below 2 percent.