Business - The Korea Times

NongHyup Bank to build new information system

A model promotes NongHyup Bank's plan to complete its next-generation digital information system. Courtesy of NongHyup BankBy Lee Min-hyungNongHyup Bank said Tuesday it has launched a project to establish a “next-generation information system” that will enable the lender to offer data-driven, customer-oriented services. The system will be in operation by as early as May 2023, helping customers of the bank to receive customized services anywhere in real time, it said.“Starting with the successful launch of the project, we will be able to build up a core infrastructure for our digital transformation,” NongHyup Bank CEO Kwon Jun-hak said. “The bank will stand at the forefront of innovating businesses in a more customer-oriented manner.”Ever since the start of the COVID-19 pandemic, Korea's financial firms have been launching a series of similar digital projects amid the rapid growth of digital transactions. Earlier this year, leaders of the top banking groups also emphasized the importance of enhancing digital expertise by discarding conventional and

Mar 8, 2022By Lee Min-hyung

NongHyup Bank to build new information system

Banks at loss over regulator's demand to pile up bad debt reserves

Financial Supervisory Service Governor Jeong Eun-bo, left, shakes hands with Financial Services Commission Chairman Koh Seung-beom, at the former's headquarters in Seoul, Jan. 6. Joint Press Corps-YonhapBy Lee Min-hyungBanks are perplexed over Korea's financial regulators' instruction to set aside more bad debt reserves, as the request is feared to weaken investor sentiment, despite the outstanding earnings achieved by major lenders last year.They are stuck in a dilemma after the Financial Supervisory Service (FSS) recently urged banks to increase their loan loss reserves. The decision creates a higher chance that the banks will suffer from bad loans after the financial watchdogs allowed the self-employed and small business owners to delay their loan repayments for another six months until the end of September, due to the ongoing shock of the pandemicNonetheless, the demand in itself does little good for financial firms, in terms of winning more investor confidence, as they had to limit their dividend payouts last year under what is referred to as the “20-percent rule” of

Mar 8, 2022By Lee Min-hyung

Banks at loss over regulator's demand to pile up bad debt reserves

S. Korea to suspend transactions with Russia's central bank, sovereign funds

Korean government officials hold a task force meeting to respond to the Ukraine crisis, March 3. (Yonhap)South Korea said Monday it plans to suspend transactions with Russia's central bank, sovereign wealth funds and another Russian lender as it has joined the global move to impose more financial sanctions against Moscow over its invasion of Ukraine.The government said it will end transactions with the Central Bank of the Russian Federation and two sovereign funds ― the National Wealth Fund of the Russian Federation and the Russian Direct Investment Fund ― starting Tuesday.South Korea will also suspend transactions with Rossiya Bank, one of seven Russian banks that will be removed from the SWIFT global payment system under the EU sanctions.But as for Russia's central bank, South Korea will apply the same standards as the U.S. when it comes transactions that will be exceptionally allowed, those connected with energy supplies.The move came as Seoul has joined the multinational move to impose sanctions against Russia, including export control and the removal of Moscow from the SWIFT net

Mar 7, 2022

S. Korea to suspend transactions with Russia's central bank, sovereign funds

Lee Won-duk remains on Woori Financial Group board

Woori Bank CEO appointee Lee Won-duk / Courtesy of Woori Financial GroupBy Anna J. Park The board of Woori Financial Group said it has recommended Lee Won-duk, Woori Bank's CEO appointee, as a non-executive director. Prior to Lee's nomination as the group's flagship bank chief in early February, he had long served on the board as the group's senior deputy president and executive director. After being appointed in early February to lead the bank for a two-year term starting later this month, Lee had to step down from his board position. Yet, with the board's decision to recommend him as a non-executive director, Lee was able to remain on the board, strengthening his position as the group's second-most-powerful man. The board's recommendation is slated to be confirmed on March 25 during the group's shareholders meeting. Born in 1962, Lee graduated from Seoul National University, beginning his financial career at the now-defunct Hanil Bank in 1990. He continued to assume key positions at Woori Financial, ranging from the chief of strategic planning, global strategy and future strategy d

Mar 7, 2022By Anna J. Park

Lee Won-duk remains on Woori Financial Group board

Citibank Korea partners with Hyundai E&C on global ESG expansion

Citibank Korea CEO Yoo Myung-soon, right, poses with Hyundai E&C President Yoon Young-joon after signing a memorandum of understanding to expand their global businesses by fulfilling their joint vision for environmental, social and corporate governance, at the headquarters of the Hyundai affiliate in Seoul, Feb. 24. Courtesy of Citibank KoreaBy Lee Min-hyungCitibank Korea has signed a partnership with Hyundai Engineering & Construction (E&C) to expand their global businesses and commitment to fulfilling environmental, social and corporate governance (ESG) values, the lender said Sunday.Under the partnership, Citibank Korea will help the Hyundai affiliate expand its global presence by offering a variety of corporate financial products. Both companies also pledged to share their experience and information on how to ensure ESG practices for sustainable growth while pushing ahead with joint projects.The agreement was signed on the basis of Citibank's in-depth understanding of Hyundai E&C's strategy to win orders in the overseas construction market. Earlier, the lender had

Mar 6, 2022By Lee Min-hyung

Citibank Korea partners with Hyundai E&C on global ESG expansion

Shinhan and Woori Financial Groups appoint female outside directors

Professor Kim Jo-seol, left, and attorney Song Soo-young By Anna J. Park In a move to increase gender diversity in Korea's financial institutions, Shinhan and Woori Financial Groups, Korea's major financial giants, have each tapped female outside directors this week.Shinhan Financial Group appointed Kim Jo-seol, an economics professor at the Osaka University of Commerce, while Woori Financial Group appointed Song Soo-young, a partner at law firm Shin & Kim, whose main legal practice areas include environmental, social and corporate governance (ESG), as well as capital market law. Shinhan said earlier this week that it had recommended Kim as one of the financial group's independent directors. The group's recommendation committee said that Kim holds global recognition and expertise in the studies of economics, human rights and social welfare, especially in the Northeast Asian region. With her appointment, Shinhan's board will now have two female independent director

Mar 4, 2022By Anna J. Park

Shinhan and Woori Financial Groups appoint female outside directors

FSS orders K bank to improve liquidity management

The headquarters of K bank located in central Seoul / Courtesy of K bank By Anna J. Park The Financial Supervisory Service (FSS) has called on K bank to make improvements in the two main areas of risk assessment and liquidity management. The financial authority announced these instructions as an administrative guidance, with the aim of urging other financial companies to pursue similar measures voluntarily.The FSS asked the country's first internet-only bank to enhance its risk assessment capabilities due to the risks of liquidity shortage. It demanded that the bank strengthen its risk assessment models and risk management scenarios, and also urged the bank to conduct an independent verification of its risk assessment models at least once a year. The FSS also advised the bank to operate its own early warning indicator system to detect risk factors in liquidity management. The financial authority pointed out that the internet-only bank has increased the relative vola

Mar 4, 2022By Anna J. Park

FSS orders K bank to improve liquidity management

Shinhan develops own system to measure 'financed emissions'

By Yi Whan-wooShinhan Financial Group said Thursday it has developed a measurement system on its own to keep track of its “financed emissions” ― the first among Korea' s financial services providers to come up with such a system amid the accelerated global campaign to go carbon neutral.Shinhan Financial Group headquarters in central Seoul / Korea Times fileThe system observes the guidelines of the Partnership for Carbon Accounting Financials (PCAF), a group of more than 200 financial institutions worldwide committed to the facilitation, transparency and accountability of the 2015 Paris Climate Agreement. It correspondingly calculates the carbon footprint associated with loans, investments, underwriting and other business activities, collectively called financed emissions, involving the company and its affiliates as well as their corporate customers. “Being able to manage financed emissions and other relevant data is directly linked to a banking group's capacity concerning climate change,” Shinhan Financial Group Chairman Cho Yong-byoung said in a press release

Mar 3, 2022By Yi Whan-woo

Shinhan develops own system to measure 'financed emissions'

Renault Capital restarts KakaoTalk chatbot service

Seen above is an image to promote the restarting of Renault Capital's chatbot service for customers. Courtesy of Renault CapitalBy Lee Min-hyungRenault Capital has restarted its KakaoTalk chatbot service to improve customer convenience and satisfaction with contactless services, the installment financial firm of Renault Samsung Motors said Wednesday.The chatbot service was launched in 2018 to improve customers' convenience, allowing them to check agreements on their financial products, inquire about monthly bills and payment details, apply for the full and partial repayment of the principal and interest, as well as issue various documents.The company said it has introduced an immediate payment service which enables users to apply for payment first before the regular payment date of monthly installments for their contracts. Renault Capital's customers can immediately pay monthly installments through the direct debit account they registered, if they do so through the chatbot service.Renault Capital has also introduced an English version of the chatbot service for the first time in the

Mar 2, 2022By Lee Min-hyung

Renault Capital restarts KakaoTalk chatbot service

Dunamu bets big on US fandom market with NFT trading platform

Dunamu CEO Lee Sirgoo poses in front of an electronic board set up at the company's head office in Seoul, before an interview with The Korea Times, Feb. 15. Korea Times photo by Choi Won-sukFinding balance between security and efficiency key to blockchain growthBy Lee Min-hyungDunamu seeks to rise to global fame by making a big splash in the nascent digital fandom market with HYBE's star-studded roster of artists, CEO Lee Sirgoo said in an interview with The Korea Times.The operator of Korea's top cryptocurrency trading platform Upbit plans to establish a joint venture in the United States with HYBE, one of Korea's leading entertainment companies, sometime in the first half of 2022. Although a specific timeline has not been confirmed, both companies are in talks to launch a non-fungible token (NFT) marketplace there.“Our first and foremost goal is to produce decent digital products targeting the fandoms of HYBE's artists ― including BTS ― and we are going to focus on the entertainment sector while operating the NFT trading platform,” Lee said during the interview at the c