Journalist

Kim Yoon-seop
  • IBK Industrial Bank Expands AI Use, Automates Guaranteed-Loan Reviews
    IBK Industrial Bank Expands AI Use, Automates Guaranteed-Loan Reviews IBK Industrial Bank of Korea is expanding its use of artificial intelligence by rolling out an in-house system across frontline operations. The bank said it built an AI model called ‘IBK GenAI’ to boost efficiency and productivity across the organization and is applying it broadly to day-to-day work. IBK GenAI is an internal large language model trained on the bank’s own data. It provides tailored AI environments by department and can instantly search and answer from 120,000 items of key business knowledge. It also offers 17 specialized services, including a letter-of-credit assistant. Head office and branch employees have used IBK GenAI to develop and deploy 249 customized services, the bank said, supporting more personalized workflow improvements. The bank is also applying AI to core lending operations, including guaranteed loans. In the guaranteed-loan process, it has automated AI reviews and approval work that had been handled manually, reducing repetitive tasks for staff. When issuing AI-based guarantees, the system automatically recommends internal products that match special contract terms, improving branch efficiency. An IBK official said the bank plans to pursue internal and external innovation so that, through a broad AI transformation, AI becomes embedded across operations — including work processes, decision-making systems and risk management — beyond being used as a simple tool.* This article has been translated by AI. 2026-03-18 18:04:16
  • NH NongHyup Bank Launches AI Service to Automatically Request Loan Rate Cuts
    NH NongHyup Bank Launches AI Service to Automatically Request Loan Rate Cuts NH NongHyup Bank said it has launched and is operating an artificial intelligence-based service that automatically applies for loan rate reductions on behalf of customers, allowing financial consumers to exercise their right to request a lower rate without a separate application process. The bank said its "AI Loan Rate Care" service uses AI to submit requests to cut interest rates for customers who hold loans. The right to request a rate cut allows borrowers to ask for a lower loan rate when their credit conditions improve, such as through higher income or better creditworthiness. The system has been criticized for low usage because many consumers are unaware of it and the application process can be cumbersome. In December last year, the Financial Services Commission designated a MyData-based proxy service for rate-cut requests as an "innovative financial service" as part of efforts to expand inclusive finance. MyData is a system that lets individuals transmit their personal data to a destination of their choice and manage and use it based on their own decisions. NongHyup Bank said the core of its service is that AI analyzes customers' asset and debt information using MyData and, when conditions for a rate cut are met, exercises the right on the customer's behalf. NH MyData users can access the service after giving one-time consent for proxy applications through NH All One Bank or NH Smart Banking. After that, if the AI determines there is a possibility of a rate cut, it automatically submits rate-cut requests for loan accounts at each financial institution without any additional application, the bank said. * This article has been translated by AI. 2026-03-18 18:03:47
  • Shinhan Bank Joins Bank of Korea’s ‘Project Hangang’ Phase 2 Digital Currency Pilot
    Shinhan Bank Joins Bank of Korea’s ‘Project Hangang’ Phase 2 Digital Currency Pilot Shinhan Bank said Tuesday it will participate in Phase 2 of the Bank of Korea’s digital currency pilot, known as “Project Hangang.” Project Hangang is a digital currency initiative led by the central bank with the Financial Services Commission, the Financial Supervisory Service and commercial banks. Under the model, the Bank of Korea issues a wholesale central bank digital currency, and commercial banks issue deposit tokens based on it. Consumers make payments using the deposit tokens issued by their banks. Phase 2 is designed to test whether a digital-currency-based payments infrastructure can be commercialized, with a focus on building conditions that allow customers to use deposit tokens in everyday life. Shinhan said it will broaden participation and usage settings compared with Phase 1 and further test functions including person-to-person transfers, interest payments and automatic conversion. Customers will be able to convert deposits into deposit tokens in the Shinhan SOL Bank app and use them for everyday purchases, including the delivery app Ttaenggyeoyo, convenience stores and Shinhan EZ Insurance travel insurance. The bank also plans to introduce a merchant payment method linked to Shinhan Card. The project will also examine whether the system can be expanded to public finance disbursements, such as paying local government subsidies, vouchers and policy funds in deposit tokens that can be used only at designated outlets. In real-transaction tests that began in April last year, Shinhan accounted for 25% of all e-wallet openings among participating banks, 58% of usage and 73% of transaction value, it said. In Phase 2, the bank plans to strengthen links with group platforms and accelerate efforts to build a digital payments ecosystem spanning private and public sectors. “Deposit tokens are evolving beyond a technology test into a digital means of payment that can be used for real transactions and public finance disbursements,” a Shinhan official said. “We will expand payment experiences customers can feel in daily life and lead the buildout of a digital-currency-based payments infrastructure.”* This article has been translated by AI. 2026-03-18 15:27:21
  • KB Kookmin Bank to Hire About 110 Entry-Level Employees in First Half of 2026
    KB Kookmin Bank to Hire About 110 Entry-Level Employees in First Half of 2026 KB Kookmin Bank said March 18 it will recruit about 110 entry-level employees for the first half of 2026. Hiring will be conducted in five categories: UB (corporate client finance and wealth management), UB (regional talent), discharged officers, ESG shared growth, and veterans. Applications will be accepted through March 25 on the bank’s official recruitment website. The process includes document screening, a written test, a first interview and a second interview. Final successful candidates are expected to be announced in June. The UB (Universal Banker) track will select candidates to develop into private bankers and corporate relationship managers. The UB (regional talent) track aims to train regional finance specialists. The bank will also hire discharged officers to recruit candidates with organizational management experience and leadership. The ESG shared growth category targets people with disabilities, recipients of basic livelihood support, North Korean defectors, and children of multicultural families. The veterans category is for eligible national veterans or their family members. A KB Kookmin Bank official said the bank hopes for strong interest and applications from young people who understand the value of challenge and innovation and can help shape the future of finance. The official said the bank will continue inclusive hiring efforts to fulfill its social responsibilities.* This article has been translated by AI. 2026-03-18 10:06:00
  • Hana Bank Rolls Out Generative AI for Corporate Credit Reviews, Cutting Draft Time to 10 Seconds
    Hana Bank Rolls Out Generative AI for Corporate Credit Reviews, Cutting Draft Time to 10 Seconds Hana Bank said on March 18 it has developed an in-house generative AI-based “corporate credit review opinion generation system” and deployed it across all branches. The system analyzes a range of data — including financial statements, company information and industry trends — and automatically produces a draft review opinion needed in the credit rating process for audited and non-audited companies. Hana Bank said staff previously spent an average of more than 30 minutes analyzing indicators and writing narrative opinions, but the new system can generate a draft in about 10 seconds. The bank expects the rollout to save more than 27,000 working hours a year across roughly 70,000 annual credit rating cases for audited and non-audited companies. Hana Bank said the tool is an in-house model, with algorithms designed and implemented independently. Through collaboration among internal departments, it incorporated evaluation guidelines used by loan specialists to standardize review opinions more precisely and improve effectiveness. The bank described an in-house model as one planned, developed and operated directly using a company’s own staff and technology. Hana Bank said it plans to expand automation across household and corporate loan reviews to accelerate the AI transformation of its lending operations. A Hana Bank official said the project is intended to maximize efficiency through AI, raise productivity and help employees better understand customers and companies. The official said the bank will continue to reflect feedback from the field, apply AI to more work areas and develop the system in ways that provide practical help to branches and customers.* This article has been translated by AI. 2026-03-18 09:18:49
  • Korean Banks Tighten Dollar Liquidity Controls as Won Nears 1,500 per Dollar
    Korean Banks Tighten Dollar Liquidity Controls as Won Nears 1,500 per Dollar Geopolitical risks tied to the Middle East have pushed the won-dollar exchange rate to hover around 1,500 won per dollar, prompting South Korean banks to tighten management of foreign-currency funding. Foreign-currency liquidity indicators are not yet at dangerous levels, but banks are raising their guard because further moves in the exchange rate could quickly affect capital adequacy. According to the financial sector on Monday, the foreign-currency liquidity coverage ratio, or LCR, at the five major banks — KB Kookmin, Shinhan, Hana, Woori and NH NongHyup — stood at 142.73% to 203.55% as of the end of February. All five were well above the regulatory minimum of 80%. The foreign-currency LCR measures how much high-quality liquid foreign-currency assets a bank holds to meet expected net outflows over the next 30 days. A higher ratio indicates more stable foreign-currency liquidity. Even with ample room to manage foreign-currency assets, banks are reacting quickly as the won has seen unusually large swings, including a break above the psychologically important 1,500 level. In Seoul trading Monday, the won ended daytime trading at 1,493.6 per dollar, down 3.9 won from the previous session. The day before, it rose above 1,500 intraday for the first time in 17 years. Market participants broadly expect volatility to increase further depending on whether the war drags on and where international oil prices head. Sustained upward pressure on the exchange rate could weaken banks’ capital positions. A weaker won raises the won value of foreign-currency assets, increasing risk-weighted assets and putting downward pressure on the common equity Tier 1 ratio, or CET1. The industry generally estimates that a 10-won rise in the exchange rate lowers the CET1 ratio by about 0.02 percentage points. Financial groups are strengthening internal checks as volatility increases the burden on balance-sheet management. KB Financial Group said it is using hedges to minimize foreign-exchange translation gains and losses excluding investment profit and loss, and is managing exposure at the group level by considering each affiliate’s FX position. KB Kookmin Bank introduced a return on risk-weighted assets, or RoRWA, metric to help manage capital adequacy indicators such as CET1 and the BIS capital ratio. Shinhan Financial Group said it treats a rise of 2.5% from the previous day, or more than 5% within 10 days, as a crisis and has prepared response measures by threshold level. Hana Financial Group and Woori Financial Group are also operating emergency response systems to monitor foreign-currency liquidity and money-market conditions. “After the won-dollar rate moved above 1,500 and volatility increased, it will be hard to predict the market for some time,” a financial industry official said. “Groups will likely continue stepping up risk checks and preparing for the possibility of rising corporate funding demand.” 2026-03-17 16:06:00
  • KB Kookmin, Shinhan to Launch Online Refinancing for Sole Proprietor Credit Loans
    KB Kookmin, Shinhan to Launch Online Refinancing for Sole Proprietor Credit Loans Online refinancing for sole proprietors’ credit loans is now allowed, and competition among banks is picking up.  According to the financial industry on the 17th, KB Kookmin Bank and Shinhan Bank will begin offering refinancing services for sole proprietors’ credit loans starting on the 18th.  At KB Kookmin Bank, the maximum loan amount eligible for refinancing is 300 million won through branches and 200 million won through non-face-to-face channels. All customers who refinance into KB Kookmin through non-face-to-face channels will receive a refinancing-only preferential rate discount of up to 0.3 percentage points. The service will be available at all KB Kookmin branches and via KB Star Banking, KB Business Star Banking and the mobile web. It will also be offered through major loan comparison platforms including Kakao Pay, Toss and Naver Pay. To mark the launch, KB Kookmin will run an event through May 15. Customers who move their loans to KB Kookmin via the non-face-to-face loan transfer service can receive cash support of up to 100,000 won from the interest paid in the first month. Shinhan Bank will also offer refinancing for sole proprietors’ credit loans starting on the 18th through its Shinhan SOL Bank app and loan comparison platforms.  Eligible applicants are sole proprietors age 19 or older with a business registration certificate, and the program covers working-capital credit loans of up to 100 million won. Some products, including loans tied to real estate rental businesses, are excluded. Shinhan said it plans to allow “increased refinancing,” letting borrowers raise their loan limit when they need additional funds while paying off an existing loan. Banks expect the expanded service to intensify competition in the sole proprietor finance market. The Financial Services Commission, based on past data, expects more than 1 trillion won in loans to move to more favorable terms through this refinancing program. A financial industry official said, “As loan comparison services expand, rate competition is bound to become more intense,” adding that companies are likely to step up customer promotions, including related events. * This article has been translated by AI. 2026-03-17 15:21:00
  • Hana Bank to Provide $1.56 Billion in Liquidity to Foster Gwangju-Jeolla Hub Firms
    Hana Bank to Provide $1.56 Billion in Liquidity to Foster Gwangju-Jeolla Hub Firms Hana Bank is launching financial support to help foster hub companies in the Gwangju-Jeolla region, in line with the government’s “5 hubs, 3 special zones” strategy. The bank said it signed a business agreement on March 16 with the city of Gwangju, the Gwangju Chamber of Commerce and Industry, the Korea Credit Guarantee Fund and the Korea Technology Finance Corp. to support the development of hub companies in the region. The agreement is aimed at strengthening the growth base for small and medium-sized companies pursuing future strategic industries in Gwangju and the wider Honam region, while supporting regional economic activity under the government’s balanced-growth policy. Hana Bank plans to contribute a total of 4 billion won — 3 billion won to the Korea Credit Guarantee Fund and 1 billion won to the Korea Technology Finance Corp. — to provide 155.6 billion won in liquidity. Eligible firms include those in six advanced strategic industries — AI, biotech, content, defense, energy and smart factories — as well as exporters and companies expanding overseas, job-creating firms and businesses rooted in the local economy. The bank also plans to cover 0.6% of guarantee fees for two years to ease financing burdens for smaller companies. The guarantee institutions will also expand support. The Korea Credit Guarantee Fund and the Korea Technology Finance Corp. will raise their guarantee coverage ratio to 100% from 85% and cut guarantee fees by 0.3 percentage points. Gwangju will provide 2.0% interest subsidies on 30 billion won in working-capital loans to reduce financing costs for local small businesses. The chamber said it will work to broaden participation by regional companies. “This agreement will improve access to financing for promising small and medium-sized companies in the Gwangju-Jeolla region and support stable business operations,” Hana Bank CEO Lee Ho-seong said. “We will continue to accelerate productive financial support for balanced national development and the growth of future strategic industries.”* This article has been translated by AI. 2026-03-17 10:12:00
  • COFIX for New Loans Rises to 2.82% in February, Lifting Variable-Rate Mortgages
    COFIX for New Loans Rises to 2.82% in February, Lifting Variable-Rate Mortgages The COFIX, a key benchmark for banks’ variable-rate mortgage loans, turned higher again after a one-month decline. The Korea Federation of Banks said Sunday that the new-loan COFIX for February came to 2.82%, up 0.05 percentage points from the previous month. The index had climbed for four straight months, from 2.52% in September last year to 2.89% in December, then fell in January by 0.12 percentage points — its first drop in five months — before rising again. Over the same period, the COFIX based on outstanding balances held steady at 2.85%, while the new outstanding-balance COFIX slipped 0.01 percentage points to 2.47%. COFIX is the weighted average interest rate on funds raised by eight South Korean banks. It moves up or down as rates on major funding products such as deposits and bank bonds change. The federation said borrowers considering COFIX-linked loans should fully understand how market rates move and choose loan products carefully. Commercial banks are expected to begin reflecting the newly released COFIX in variable-rate mortgages for new loans as early as March 17. At KB Kookmin Bank, the six-month variable mortgage rate tied to the new-loan COFIX will rise 0.05 percentage points, to 4.15% to 5.55% from 4.1% to 5.5%. Under the same benchmark, the rate on jeonse loans backed by a Korea Housing Finance Corp. guarantee will also increase to 3.85% to 5.25% from 3.8% to 5.2%. Woori Bank’s six-month variable mortgage rate tied to the new-loan COFIX will rise to 4.37% to 5.57% from 4.32% to 5.52%.* This article has been translated by AI. 2026-03-16 15:45:00
  • Hana Financial to Launch 500 Billion Won Infrastructure Fund Focused on AI, Renewables
    Hana Financial to Launch 500 Billion Won Infrastructure Fund Focused on AI, Renewables Hana Financial Group will commit 500 billion won to support future-focused strategic sectors, including renewable energy and artificial intelligence infrastructure. Hana Financial said Monday it will form the Hana Modu Growth Infrastructure Fund to expand the flow of private capital into what it called “productive finance.” The fund will be financed entirely by Hana Financial Group affiliates. Hana Bank will contribute 400 billion won, joined by Hana Securities with 50 billion won, Hana Life Insurance with 20 billion won, Hana Capital with 17 billion won, Hana Insurance with 10 billion won, and Hana Alternative Investment Management with 3 billion won. Key targets are renewable energy projects and AI and digital infrastructure, which the group described as national priorities. In renewables, the fund will invest in the Wando Geumil offshore wind power project, described as the country’s largest. Electricity generated there is to be used for national AI data centers and power infrastructure for advanced industries in the Honam region. In AI and digital infrastructure, it will invest in large-scale data center development projects including the Bucheon Samjeong-dong AI Hub Center and the Incheon Guwol-dong AI Hub Center. Hana Financial said it plans to take an active role in early-stage development. It aims to secure high-quality assets early and later provide financial advisory and arranging services when large-scale funding is needed, to improve returns. In January, Hana Financial said through its “group productive finance council” that it would expand productive finance supply to 17.8 trillion won by 2026. A Hana Financial Group official said the fund is intended to be a core example of productive finance by supplying capital to the real economy, adding that the group will continue to expand investment in innovation-driven growth areas.* This article has been translated by AI. 2026-03-16 09:39:00