Former civic activist nominated to lead FSS

By Yoon Ja-young

Kim Ki-sik, a former lawmaker and veteran civic activist known as a “sniper” of financial companies, was nominated as the new chief of the Financial Supervisory Service (FSS).

The Financial Services Commission (FSC) announced Friday that Kim, who currently heads the Korea Institute for the Future (KIF), was nominated as FSS Governor. He is expected to be inaugurated as early as next Monday following approval by President Moon Jae-in.

FSS Governor nominee Kim Ki-sik

Born in Seoul in 1966, Kim majored in anthropology at Seoul National University. After engaging himself in the labor movement, he founded the country's leading NGO People's Solidarity for Participatory Democracy, where he served as chief policymaker until 2011. He led diverse campaigns aiming at chaebol reform, including minority shareholder activism.

He joined politics in 2011, working on the election team for Seoul Mayor Park Won-soon. He was elected the following year as a then opposition Democratic Party of Korea lawmaker by proportional representation. The KIF is a think tank of the governing Democratic Party of Korea. He has been on the candidate list for key posts in the Moon administration.

“Kim, who has long served as chief policymaker of the People's Solidarity for Participatory Democracy, has much experience in coordination of diverse conflicting interests and development of innovative economic policies,” the FSC noted in a media release.

“He also has much expertise in financial policies, systems and supervision, having served at the National Assembly's National Policy Committee which is in charge of overseeing the FSC and FSS.”

The financial regulator added that Kim is the right person to successfully lead innovation and change in the FSS, which is facing many challenges.

Former FSS Governor Choe Heung-sik recently resigned following allegations that he was involved in irregular hiring while serving at KEB Hana Bank. The FSS has been engaged in an inspection of the bank over the issue. The regulator also stirred controversy as it turned out that some of its officials were engaged in illicit stock investment.

This is the first time for a politician from an NGO to head the FSS. Most former FSS governors were former government officials, while Kim's predecessor Choe, who served as the 11th governor, was the first FSS chief from the private sector.

The administration's reform effort in the financial sector is expected to gain momentum when Kim is inaugurated as FSS chief. The financial companies, meanwhile, may be unnerved since Kim blocked passage of bills favorable for them while serving as lawmaker.

“It will be the first time that a former lawmaker will head the FSS. There is likely to be much change,” an official at the FSS said.