Who will lead FSC, KDB?
Korea Development Bank (KDB) Chairman Lee Dong-gull speaks during a press conference at KDB headquarters in Yeouido, Seoul, January. A loyalist of outgoing President Moon Jae-in, he tendered his resignation last week, in the lead-up to the incoming Yoon Suk-yeol administration on May 10. Yonhap
By Yi Whan-woo
Who will be the next chief of Financial Services Commission (FSC) is drawing keen attention, with the incoming Yoon Suk-yeol administration still undecided on a possible nominee in the lead-up to its inauguration next Tuesday.
Korea Development Bank (KDB) is also drawing attention over who will fill its top post, after Chairman Lee Dong-gull tendered his resignation last week. His term was to end in September 2023.
A loyalist of outgoing President Moon Jae-in, Lee was believed to be fingered by the presidential transition committee as a figure to be displaced right away over politically motivated disputes concerning the state-run bank, such as its relocation from Seoul to Busan and the CEO appointment at Daewoo Shipbuilding and Marine Engineering (DMSE) at which the bank stands as the main creditor.
Political and financial sources speculated Monday that transition committee chairman Ahn Cheol-soo may be given the right to pick the nominee to chair the FSC.
The sources noted that Ahn, although his merging of candidacies was critical for Yoon's presidential election victory, has rarely had a chance to pick the nominees for ministers and presidential secretaries for the incoming government.
In that regard, Shin Sung-hwan is being touted as a potential candidate for the FSC chairman.
A member of the transition committee's first economic subcommittee tasked with the macroeconomic and financial agendas, Shin is considered Ahn's aide.
Some sources said the top FSC post will be taken by Yoon's aide, considering that a FSC chairman is required to have a grip on the financial market and that close relations with the president help fulfill such a job.
Among the possible nominees is Rep. Yun Chang-hyun of the main opposition People Power Party (PPP), who was in charge of economic policy for Yoon's election campaign team.
Concerning KDB, Chairman Lee appeared to be under growing pressure after he explicitly opposed Yoon's pledge to move the Seoul-headquartered bank to Busan in the name of balanced regional development.
The dispute over the new DSME CEO was extended from rows between the outgoing and incoming administrations in nominating the chiefs of government-affiliated organizations.
Under the circumstances, Lee said he decided to quit because he believes a KDB chief should share an economic philosophy with the government they serve but he does not see eye to eye with the incoming Yoon administration.
“The reason for me tendering my resignation is therefore fairly simple, rather than being politically motivated and complicated,” he said during a press conference, Monday.
The chairman, however, expressed regrets over the controversy involving the KDB chairmanship that comes every five years during the transition of government.
“Such controversy is not constructive at all,” he said.