Ex-IBK CEOs join financial firms as board members

Kwon Seon-joo / Courtesy of KB Financial Group

An increasing number of former Industrial Bank of Korea CEOs are becoming board members of financial firms based on their decades of experience, expertise in the field of finances and deep understanding of government policymaking, according to market watchers, Tuesday.

KB Financial Group appointed Kwon Seon-joo as chairperson of the group’s board of directors, March 25.

Prior to joining the group’s top decision-making body, she rose to prominence for her stint as the first woman CEO of the state-run lender from December 2013 to December 2016. She was the first woman ever to lead a bank in Korea.

Kwon has extensive knowledge and understanding of the financial market, especially in the fields of risk management and consumer protection.

“The appointment fortifies KB Financial’s continued group-wide efforts toward diversity, with more women outside directors at the firm having a greater say in board meetings,” a KB official said.

Kwon’s successor, Kim Do-jin, recently joined Hana Bank as an outside director.

Kim served as CEO from 2016 to 2019. Hana Bank said his expertise is highly appreciated, demonstrated by his rising through the ranks since he joined the state-run lender in 1985.

He is among the few who made it to the top after beginning a career as an entry-level employee. His expertise includes sales and leading key departments of the lender.

Their predecessor, Yoon Yong-ro, joined as an outside director of DB Insurance, a local non-life insurer.

The career bureaucrat served as vice chairman of the country’s top financial regulator, now known as the Financial Services Commission.

His previous experience includes heading of the now-defunct Korea Exchange Bank.

“Unlike its state-run peers, IBK is in competition with commercial lenders in retail banking, so the top managerial figures need expertise in both financial policymaking and profit generation,” an industry official said. “The hands-on expertise of former IBK CEOs can bolster the professionalism of board members.”