Journalist

Kwon Ga-lim
  • NH NongHyup Financial Expands Senior Products, Weighs Elder Care Infrastructure
    NH NongHyup Financial Expands Senior Products, Weighs Elder Care Infrastructure NH NongHyup Financial Group is moving to aggressively expand senior-focused products and offline service spaces this year, aiming to convert community hub branches into senior-oriented locations and win market share with higher-value offerings tied to health management. A key variable is whether it can ease internal friction over potential overlap with local cooperatives. According to the financial industry on Monday, NH NongHyup Financial will step up its push into the so-called silver market under its senior brand, “NH All Wonderful,” launched in November. The group has positioned this year as the starting point for expanding the brand and plans to introduce specialized products such as savings and loans linked to health management. The strategy is to turn its comparatively strong base of older customers — reinforced by aging in rural areas — into a profit model and a competitive edge. NH NongHyup Financial has about 12 million customers age 50 and older, accounting for 55% of its total. By affiliate, customers 50 and older make up 54.6% at NH NongHyup Bank, 71.3% at NH NongHyup Life Insurance and 66.2% at NH NongHyup Property & Casualty Insurance. NH NongHyup Financial plans to roll out a total of 22 senior-only products in stages this year, focusing on health care-linked finance. It is considering products that offer preferential interest rates when customers can document improvements in certain health indicators. The group also plans to strengthen both online and offline touchpoints by designating and operating “senior-specialized branches and lounges” in the first half of the year and improving a senior-only space in its app in the second half. Building elder care facilities and senior housing remains an unresolved task. The broader NongHyup network includes many local agricultural cooperatives, and some already operate nursing homes. A move by the holding company or its life insurance unit into elder care could trigger internal pushback over perceived encroachment on existing business rights. Local NongHyup cooperative branches total 4,894 — more than four times the 1,065 locations operated by NH NongHyup Bank — making friction with local cooperative leaders difficult to avoid, from site selection onward. Some observers warn that because NH All Wonderful launched later than rival programs, further delays in entering elder care could mean missing a critical window. KB Financial Group has KB Golden Life Care, a specialized elder care subsidiary, and operates care facilities including Wirye, Seocho and Eunpyeong Villages; Pyeongchang County; and day care centers in Gangdong, Wirye and Eunpyeong. Shinhan Financial Group is expanding senior care services centered on Shinhan Life, and Hana Financial Group has been opening senior-specialized branches. “NH NongHyup Financial’s senior customer assets are a powerful weapon, but housing and care infrastructure will ultimately be needed to support it,” a financial industry official said. “It is important to quickly develop a model of coexistence with local cooperatives.” 2026-03-31 15:45:28
  • K Bank Shrinks Board to Seven Members; CEO Choi Woo-hyung Reappointed
    K Bank Shrinks Board to Seven Members; CEO Choi Woo-hyung Reappointed K Bank has streamlined its board structure to speed decision-making and sharpen oversight. Shareholders also approved another term for CEO Choi Woo-hyung, citing performance that included a successful IPO.  K Bank said it held its 10th annual general meeting of shareholders on Monday and approved a package of agenda items, including Choi’s reappointment; the reappointment of two outside directors; the appointment of three outside directors who will serve on the audit committee; deletion of a clause excluding cumulative voting; and the creation of a Consumer Protection Committee. Shareholders approved a broad reshaping of the board. The board will be reduced to seven members from 11. Under the new structure, it will consist of one inside director, five outside directors and one other non-executive director, down from one inside director, eight outside directors and two other non-executive directors.  Lee Hyun-ae, who previously led NH Futures, was appointed as a new audit committee member. Digital specialists also joined, including Jung Jin-ho, who previously served as a deputy head of KB Kookmin Bank’s Digital Transformation (DT) division, and Kim Nam-jun, who previously served as a vice president at Shinhan Card. Existing directors Lee Kyung-sik, a Seoul National University professor, and Choi Jong-oh, a professional committee member with a background at the Financial Supervisory Service, were reappointed. K Bank also approved the establishment and operation of its Consumer Protection Committee. It said it is the first internet-only bank in South Korea to set up a consumer protection committee as an independent subcommittee within the board. The bank said it created the committee to elevate consumer protection from complaint handling or compliance checks to a core management issue directly overseen by the board.  The committee’s main review items include basic policies for building and operating internal controls for financial consumer protection; major changes to consumer protection systems; enactment and revision of consumer protection standards and internal control standards; and overall key policies and management frameworks related to consumer protection.  Shareholders also approved Choi’s reappointment. The bank said he was credited with stable management after posting net profit of 128.1 billion won in 2024 and 112.6 billion won in 2025.* This article has been translated by AI. 2026-03-31 14:27:00
  • Hana Bank, Knight Frank Korea to Expand Advisory Services for Ultra-High-Net-Worth Clients
    Hana Bank, Knight Frank Korea to Expand Advisory Services for Ultra-High-Net-Worth Clients Hana Bank said Tuesday it signed a business agreement with global real estate consultancy Knight Frank Korea to expand financial advisory services for family office clients. Knight Frank is a real estate consulting firm with more than 125 years of experience and publishes an annual “Wealth Report” analyzing investment trends among wealthy individuals. At a signing ceremony at Knight Frank Korea’s headquarters in Seoul’s Euljiro area, the two sides agreed to provide an integrated wealth management solution spanning real estate, finance, legal and tax services, and investment banking, as demand from ultra-high-net-worth clients becomes more complex. The partners said they will cooperate on financial care through Hana Bank’s specialized branches, including Club1; family office services such as inheritance and gifting, real estate investment advice and business succession; and nonfinancial offerings tied to culture, art and health. They also plan to develop differentiated wealth management services with other Hana Financial Group affiliates, including investment strategy lectures led by analysts at Hana Securities and issuance of premium membership cards linked with Hana Card. “Through cooperation with Knight Frank, an authoritative name in the global real estate market, we will be able to provide higher-level financial consulting, including real estate investment advice,” Kim Mi-sook, executive vice president of Hana Bank’s Central Sales Group, said. She added that the bank will continue expanding specialized financial and nonfinancial services to “maximize customer value.”* This article has been translated by AI. 2026-03-25 14:27:00
  • Woori Bank Launches AI System to Detect Suspicious Transactions
    Woori Bank Launches AI System to Detect Suspicious Transactions Woori Bank said on the 25th it has launched an artificial intelligence-based fraud detection system (FDS) inspection platform to help prevent financial incidents and automate work. The system is designed to let AI learn transaction patterns on its own and flag new types of financial wrongdoing. Using the bank’s full set of financial transaction data, it screens for unusual signs and uses AI to automatically generate inspection data and preliminary scenarios. After the scenarios are checked for accuracy, they are applied to actual inspections, which the bank said can strengthen prevention through daily monitoring. The platform also analyzes unstructured data such as scanned images and applies retrieval-augmented generation (RAG) to make large volumes of inspection materials easier to use, improving the efficiency of internal controls. RAG is an AI method that automatically finds and organizes needed information, reducing the time staff spend reviewing documents and enabling faster checks. A Woori Bank official said the upgraded AI-based FDS inspection system will expand the scope of daily monitoring and allow the bank to respond proactively to hard-to-predict financial incidents. The official said the bank will actively introduce AI into internal controls as part of its shift to an AI transformation-based management system to help prevent financial incidents.* This article has been translated by AI. 2026-03-25 14:15:00
  • Hana Financial to Move Headquarters to Incheon’s Cheongna in September; Hanwha Life Extends Outside Director Terms
    Hana Financial to Move Headquarters to Incheon’s Cheongna in September; Hanwha Life Extends Outside Director Terms Hana Financial Group said it will relocate its group headquarters to Cheongna, Incheon, in September and secured funding for tax-free dividends, a move expected to strengthen shareholder returns. Hanwha Life Insurance, meanwhile, extended the term of outside directors from two years to three to bolster board expertise. Hana Financial on Monday approved at its annual shareholders meeting a proposal to reduce its capital reserve by 7.4 trillion won to enable tax-free dividends. The decision allows the company to transfer 7.4 trillion won from the capital reserve to retained earnings and use it as dividend funding. If dividends are paid from this source, individual shareholders can receive payouts without paying dividend income tax. Hana Financial said it plans to begin tax-free dividends starting with its dividend for this year’s fourth-quarter results. Shareholders also approved an amendment to the articles of incorporation to move the group headquarters to the Cheongna International City area of Incheon. The plan advances the long-discussed “Hana Financial Town” concept, envisioned after Kim Seung-yu, a former chairman of Hana Financial, visited Banco Santander’s Santander City near Madrid in 2007. The Cheongna Hana Financial Town is planned to cover 128,474 square meters and is expected to serve as a future financial hub. Hana Financial said it plans to begin the headquarters relocation on Sept. 30. The board lineup was partly reshaped. Shareholders considered proposals to appoint Vice Chairmen Lee Seung-yeol and Kang Seong-muk as inside directors. Choi Hyun-ja, a consumer rights specialist and professor in Seoul National University’s Department of Consumer Science, joined as a new outside director. Hana Financial also approved a charter change to reorganize its board-level Consumer Risk Management Committee into a Consumer Protection Committee, underscoring a groupwide push for consumer-focused management. The meeting also established a basis to introduce electronic shareholders meetings in line with the Commercial Act revision set to take effect in January next year. Park Dong-moon, chairman of Hana Financial’s board, said in a letter to shareholders, “We will closely check the faithful implementation of the corporate value enhancement plan and strengthen overall governance, including internal controls and consumer protection.” He added, “Even in a rapidly changing financial environment, we will pursue long-term shareholder value through responsible decision-making and sustainable management.” Hanwha Life Insurance expanded the term of outside directors from two years to three years. Shareholders also approved the reappointment of outside directors Park Soon-cheol and Jung Soon-seop and the new appointment of Yoo Chang-min, head of the investment division, as an inside director. Hanwha Life CEO Kwon Hyuk-woong said, “We aim to secure the industry’s top AI competitiveness by fully applying artificial intelligence technology across our business.” He added, “Based on the results and foundation we have built, we will continue stable growth and responsible management and do our best to meet expectations.” 2026-03-24 15:20:38
  • KB Financial to Launch Consumer Protection Quality Index to Flag Investment, Fraud Risks
    KB Financial to Launch Consumer Protection Quality Index to Flag Investment, Fraud Risks KB Financial Group is launching a Consumer Protection Quality Index, or CPQI, to spot risks early, including mismatches between customers’ investment profiles and product risk, as well as financial fraud. The group said the move is aimed at strengthening trust in its financial services.  KB Financial said on 24 it is pushing the consumer-rights measures to mark the fifth anniversary of the Financial Consumer Protection Act.  Major affiliates, including KB Kookmin Bank and KB Life Insurance, will set up consumer protection committees within their boards. The group will also introduce CPQI to respond quickly to warning signs such as sales concentration in certain products or a sudden rise in customer complaints.  The CPQI consolidates consumer-protection check indicators that had been spread across departments involved in risk management, compliance and product operations, covering the full process from product planning and sales to post-sale management. If indicators fall outside the standard, an early-warning system will be triggered. CPQI is divided into four categories: before sales, during sales, after sales and other management indicators. Risk levels will be shown in a three-tier system — normal, watch and high-risk — to support early action and decision-making.  Before-sales indicators include the appropriateness of matching product risk to customers’ investment profiles, the suitability of product mix by risk grade, and monitoring concentration risk in specific funds. During- and after-sales indicators track investor profit-and-loss status and complaint intake.  A KB Financial official said the group aims to build a practical consumer-protection system that customers can feel, rather than a formal one, marking five years since the law took effect. The official said KB Financial will do its best to create a trustworthy financial environment through the new CPQI. * This article has been translated by AI. 2026-03-24 14:03:00
  • KB Financial to Launch 20 Trillion Won Productive Finance Plan, Create Corporate Investment Fund
    KB Financial to Launch 20 Trillion Won Productive Finance Plan, Create Corporate Investment Fund KB Financial Group will push a 20 trillion won "KB Kookmin Happiness Growth Project" in 2026 to foster advanced strategic industries and support small business owners. KB Financial said on the 24th it held its third group productive finance council meeting at KB Kookmin Bank's new building in Seoul's Yeouido district and finalized a detailed execution plan. The project will run on two pillars: "growth" to back companies and industries, and "hope" to expand inclusive finance. The 20 trillion won plan for this year consists of 2 trillion won for the Kookmin Growth Fund, 3 trillion won in group in-house investment, 12 trillion won in corporate loans and 3 trillion won in inclusive finance. To expand venture investment and support promising companies, the group plans to create a corporate investment master fund of 200 billion won a year and invest a total of 1 trillion won over five years in advanced industries and other areas. The fund is a mid- to long-term project financed solely with capital from affiliates including KB Kookmin Bank, KB Securities and KB Insurance. KB Financial said it will invest in a matching-fund structure linked to policy funds, aiming for a multiplier effect that could supply up to 10 trillion won in investment resources to the market over the next five years. It added that links to policy finance have been strengthened after KB Asset Management was selected as a manager for the government's "public participation fund." KB Financial also said it will reorganize and refine evaluation systems to improve execution. It created dedicated working groups for investment banking and corporate lending. KB Kookmin Bank introduced a separate productive finance indicator into its 2026 key performance indicators, and said it will reflect preferential standards across branch profitability and growth assessments to speed a shift toward corporate finance. To strengthen screening capabilities, the group set up an "advanced strategic industry screening unit" and hired outside specialists, including patent attorneys. Working with related institutions such as the Korea SMEs and Startups Agency, KB Financial said it plans to build a comprehensive financial support system spanning the discovery of promising small and venture firms through the development of unicorn companies. Kim Seong-hyeon, head of KB Financial's corporate and investment banking market division, said shifting to productive finance is "an essential task for the group's sustainable growth" beyond its social role, and said all affiliates must embed it into routine financial activities. * This article has been translated by AI. 2026-03-24 10:12:52
  • KDB Names Lee Bong-hee Senior Executive Vice President
    KDB Names Lee Bong-hee Senior Executive Vice President Korea Development Bank said Monday it has appointed Lee Bong-hee, head of its corporate finance division, as executive director and senior executive vice president. Lee joined the bank in 1993 and has handled key functions for about 30 years, including strategy and planning, organizational management, corporate finance, restructuring, international finance and dealing, the bank said. Since being named head of corporate finance in 2024, he has strengthened KDB’s role as a core policy lender by providing tailored support to semiconductors and other advanced strategic industries aimed at securing future growth engines. KDB said Lee also led major restructuring issues, including final approval of the Korean Air-Asiana Airlines business combination, efforts to boost HMM’s corporate value, and a preemptive workout for Taeyoung Construction. Separately, KDB appointed Vice President Yoon Tae-jung to lead its innovation growth division. Yoon has served in the human resources department since 2016 and later worked in the indirect investment finance office, as head of the Jongno branch and as head of the New York branch, the bank said. Vice President Kim Chun-ho was appointed to lead the corporate finance division. Born in 1971, he is regarded as an expert in corporate restructuring and corporate finance, KDB said. * This article has been translated by AI. 2026-03-23 18:27:00
  • South Korea to Expand Loan Curbs on Multi-Homeowners; Installment Mortgages Also in Scope
    South Korea to Expand Loan Curbs on Multi-Homeowners; Installment Mortgages Also in Scope The Financial Services Commission is expected to announce steps as early as the end of this month to tighten lending rules not only for rental business operators but also for individual multi-homeowners. Beyond denying extensions, regulators are weighing measures such as blocking refinancing and encouraging higher borrowing costs, signaling a broad push to rein in multi-homeowner lending.  According to data provided by the office of Rep. Kim Hyun-jung of the Democratic Party, a member of the National Assembly’s Political Affairs Committee, mortgages held by individual multi-homeowners at the four major banks — KB Kookmin, Shinhan, Hana and Woori — totaled 63.7 trillion won as of the end of January. The amount represents a meaningful share of household lending, making market impact likely if new restrictions take effect. By repayment type, installment loans accounted for 96% (61 trillion won), while interest-only, lump-sum repayment at maturity made up 4% (2.5 trillion won). Shinhan Bank and Hana Bank reported no such lump-sum loans. KB Kookmin Bank and Woori Bank had only a small share, about 5% to 10%. That breakdown is drawing attention to whether the FSC will also target installment mortgages held by individual multi-homeowners. Even if regulators stop short of the toughest measures for individuals immediately, they could broaden the scope to manage multi-homeowner lending more comprehensively. Analysts say expanding rules beyond rental business operators to individual multi-homeowners would raise the overall policy intensity. One option under discussion would curb a strategy used by some borrowers who keep 30-year loans but switch to lower-rate products after three years, when prepayment fees are waived, to reduce interest costs. Regulators could also consider steps that encourage banks to raise add-on rates, increasing borrowing costs for multi-homeowners more broadly. For lump-sum repayment loans, regulators are expected to consider denying maturity extensions. An FSC official said, “The main axis of this regulation is rental business operators, but it will also include rules for individual multi-homeowners.”  The FSC is also expected to announce additional measures for rental business operators. As of January, their outstanding bank loan balance totaled 258.5 trillion won. Unlike individual multi-homeowners, rental business operators had a much higher share of lump-sum repayment loans, at 88%, exceeding installment loans. The FSC is reviewing whether to apply a 0% loan-to-value rule — previously limited to new loans — at the time of maturity extensions as well. If the FSC rolls out multi-homeowner lending curbs alongside overall household lending caps by the end of the month, pressure on financial firms is expected to increase. Blocking maturity extensions could raise borrowers’ repayment burdens and fuel concerns about higher delinquency rates. At the same time, tighter household lending limits could reduce capacity for new loans. A financial industry official said, “With concerns growing about a domestic slowdown as Middle East risks drag on, strong regulations could quickly expand delinquency rates,” adding, “The president has also mentioned tax adjustments as a last-resort regulatory tool, making changes to lending strategy unavoidable.”  2026-03-23 15:51:00
  • Korean Banks Brace for Asset Quality Strain as Middle East Tensions Lift Rates, Oil
    Korean Banks Brace for Asset Quality Strain as Middle East Tensions Lift Rates, Oil Rising global oil prices and bond yields tied to turmoil in the Middle East are heightening concerns over asset quality at South Korea’s banks. Vulnerable borrowers such as the self-employed and small businesses have struggled with debt service since the COVID-19 pandemic, and higher costs from a spike in oil prices are seen further weakening companies’ ability to repay. As of the end of February, the overall delinquency rate on won-denominated loans at the five major banks — KB, Shinhan, Hana, Woori and NH NongHyup — stood at 0.46%, according to the financial sector on Saturday. That was up 0.1 percentage point from 0.36% at the end of December, rising over two months. By borrower type, delinquency rates were 0.35% for households, 0.11% for large companies, 0.67% for small and midsize enterprises, and 0.56% for all corporate borrowers. Compared with the end of last year, the rates rose 0.05 percentage point for households, 0.08 point for large companies, 0.17 point for SMEs and 0.15 point for all corporate borrowers. The ratio of nonperforming loans on won-denominated lending at the five banks also increased to 0.40% at the end of February from 0.34% at the end of last year. The rise was largest for SMEs, up 0.12 percentage point, compared with 0.08 point for large companies and 0.04 point for households. Analysts warn the indicators could deteriorate further if the oil surge and Middle East risks persist. A prolonged period of uncertainty could squeeze corporate profitability and hit financially fragile SMEs hardest. The four major banks held 29.0567 trillion won in outstanding loans to petrochemical, airline and shipping companies as of the end of the fourth quarter of last year, the financial sector said. Within nine days of the Iran situation, the price of naphtha — a key feedstock those industries largely source from the Middle East — rose 28%, raising expectations of significant damage. Even so, corporate lending has continued to grow since the end of last year, adding to banks’ risk exposure. As of the end of last month, corporate loans at the five major banks totaled 854.3288 trillion won, up 6.9759 trillion won from the previous month. Looking ahead, if oil prices keep rising and supply-chain instability persists, the policy rate could shift back toward increases to curb inflation. Yields on one-year and five-year bank bonds climbed from 2.900% and 3.572% on Feb. 27, just before the Iran situation, to 3.033% and 3.907% as of March 20 — jumps of 0.133 percentage point and 0.335 point in three weeks. Banks have responded by building reserves. Major lenders are keeping loan-loss reserve coverage ratios between 160% and as high as 220%, and are monitoring lending in real time, including by adopting a risk-adjusted return on risk-weighted assets (RoRWA) metric to manage capital adequacy. “After the Middle East war, the uptrend in market rates and lending rates has strengthened,” a financial industry official said. “As shocks to the real economy accumulate, bad loans could visibly swell in a few years.” * This article has been translated by AI. 2026-03-22 15:03:00