By Na Jeong-ju
Staff Reporter
Woori Financial Group Chairman Bahk Byong-won yesterday called on the National
Assembly to pass a bill on the consolidation of capital markets, presented by the
Ministry of Finance and Economy, as soon as possible.
The former vice minister of finance and economy said the passage of the bill was
vital to enhance the overall competitiveness of the country’s financial market and
to provide better financial products to consumers.
Bahk’s view on the bill, which aims to remove the boundary between security firms
and banks, among others, is in stark contrast to those of bank managers, who argue
the bill will be the bane for the whole banking industry.
If the bill is passed, brokerage houses will be able to provide basic banking
services, including remittance and currency exchange, and share banking systems with
lenders. Those who have accounts at security firms can also withdraw money through
public ATMs and cash machines at banks.
``There are various conflicting interests over the bill. The National Assembly should
make the right decision in consideration of the national interest,’’ Bahk said in
an interview with Yonhap News Agency.
Bahk, who quit his public service early this year to apply for the chairman of Woori,
played an important role when the ministry drew up the bill and presented it to the
Assembly late last year.
Bahk’s comments came after Bank of Korea (BOK) Governor Lee Seong-tae made it clear
last Thursday that he was opposed to granting banking services to securities firms,
citing their weaker financial status of and the unfavorable responses from bankers.
Lee noted the bill runs counter to the principle that financial firms should compete
on a level playing field, saying it discriminates against banks.
Some lawmakers of the governing Uri Party also called the bill ``incomplete,’’
saying it will remove the barrier for Samsung Group, which has Samsung Securities
under its wing, to provide banking services to the public.
``Every law has pros and cons. It can be boon for some parities and be bane for other
parties,’’ Bahk said. ``The bill is like the country’s free trade deal with the
United States, which divided many interest groups. Lawmakers can’t move on further
if they just listen to those who oppose it.’’