Press Releases - Financial Services Commission

Press Releases

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Jul 29, 2026

2026 Korea Fintech Week to be Held on November 25-27

The Financial Services Commission announced that the 2026 Korea Fintech Week is scheduled to be held for three days from November 25 to 27 at aT Center (Yangjae-dong) in Seoul. Korea Fintech Week is the largest fintech exhibition and festivalorganized by Korea, providing a venue for sharing the latest fintech trends on artificial intelligence (AI) and other innovative technologies with vast opportunities to attract investment and seek collaboration for fintech businesses. The eighth annual global fintech expo this year will be held under the theme of Beyond Finance, Into the Future, focusing on the future of financial innovation and technologies. Alongside the existing partnership organizations, there will be six more partnership organizations newly taking part in this years fintech expo, offering the largest number of programs thus far (35 programs) to meet demands from diverse groups of participants. Exhibition halls for this years festival will be organized into Fintech Pavilion, Financial Pavilion, Partner Pavilion, and Global Pavilion. The number of participating businesses will be expanded by about 20 percent from the previous year. This will help to showcase more innovative financial services using AI, blockchain, smart contract, and deepfake detection technologies. There will be national fintech pavilions set up in Global Pavilion to demonstrate unique financial technologies and innovative services coming from different countries and to facilitate international fintech exchanges and collaboration. Meanwhile, the 2026 Korea Fintech Week will invite renowned experts and speakers on fintech and financial policy and global technology trend and offer seminars on the issues concerning future financial technologies, such as agentic AI, quantum computing, digital assets, cybersecurity technologies, etc. In addition, there will be various programs designed to promote fintech investment and business collaboration. The tech-finder showcase program will help to identify
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Jul 28, 2026

FSC and KRX Introduce Draft Standards for Publishing List of Companies with Low Price-to-Book Ratios

The Financial Services Commission and the Korea Exchange introduced a draft of detailed standards for the listing up (naming and shaming) of companies that have low price-to-book ratios on July 28. This is part of a broader set of measures introduced earlier in March this year that are intended to bring about fundamental improvements to the Korean capital markets. Under the naming and shaming policy, low PBR companies that are making no particular effort to improve shareholder value and are instead leaving their stock prices depressed and pinned at low levels will be listed up for publication. Key Details Listing up low PBR companies Based on the Global Industry Classification Standard (GICS), which is widely adopted for stock indexes around the world, companies in 11 key economic sectors and sub-industry groups will be ranked in the order of high to low PBRs. The listing up of stock companies in the order of high to low PBRs will take place twice yearly (on the first trading day of May and November every year). In the KOSPI market, companies that fall in the bottom 25 percent for three straight years (six consecutive times) will be listed up for publication. In the KOSDAQ market, companies that fall in the bottom 10 percent for three straight years (six consecutive times) will be listed up for publication. An exemption will be granted to companies that disclose their corporate value enhancement plans (including specific plans to improve their PBRs) to allow them to stay away from the list of low PBR companies for one year (two consecutive times). This exemption will not be provided to companies that fall under the bottom 25 percent (bottom 10 percent for KOSDAQ companies) for six straight years (12 consecutive times) even if they disclose corporate value enhancement plans. According to a brief simulation conducted by the KRX, the number of companies that are expected to go on the list of low PBR companies (as of May 2026) will range between 120 (80 KOSPI and 40 KOS
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Jul 24, 2026

FSC Announces Early Implementation of Strengthened Deposit Requirement for Single-Stock Leveraged Products

The Financial Services Commission announced a plan to move up the implementation of the strengthened minimum deposit requirement for investing in single-stock leveraged products (exchange-traded funds and exchange-traded notes) on July 24. The earlier planned implementation schedule from August this year will move up to July 31 to quickly help to stabilize demand. On July 16, the FSC and related authorities introduced a set of measures intended to strengthen the management of single-stock leveraged products to help to stabilize demand and protect investors. After the announcement of the measures, the measures to prohibit new listings of single-stock leveraged products and ban financial investment businesses from engaging in advertising and marketing activities went into effect immediately from July 16. Since then, the financial authorities have worked closely with financial investment businesses to quickly implement the measures and have prepared a plan to move up the implementation schedule. Early Implementation of Strengthened Deposit Requirements (1) Moving up implementation schedule to July 31 The earlier planned implementation schedule for the strengthening of the minimum deposit requirement from August this year will move up to July 31 to quickly help to stabilize demand. Currently, retail investors are required to deposit at least KRW10 million to make new investment in single-stock leveraged products (for both domestically listed and overseas listed). However, when calculating the minimum deposit amount, 70 percent of market values of substitute securities, such as stocks, ETFs (excluding leveraged ETFs), and bonds on the investors account was counted toward the deposit amount along with cash. Moreover, after three months of trading, securities firms would ordinarily have more leeway in lowering or strengthening the minimum deposit requirement for investors after taking into account the trading experience of investors. To improve upon this and to make sure t
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Jul 16, 2026

Financial Authorities Prepare and Announce Measures on Single-Stock Leveraged Products (ETFs and ETNs)

The Financial Services Commission announced that the government and related authorities have prepared and unveiled a set of measures intended to improve the management of single-stock leveraged products (exchange-traded funds and exchange-traded notes) at the joint market situation review meeting held on July 16. Background With various types of leveraged products available for trading in overseas markets, such as 3x leveraged products and single-stock leveraged products, from 2025, single-stock leveraged products having domestically listed stocks as underlying assets began to list in Hong Kong. Meanwhile, since there were no such products available in the domestic market, it was pointed out that domestic investors had no other option but to directly invest in these overseas listed products that provided relatively weaker levels of investor protection mechanisms. The rapid growth in the size of the overseas market presented concerns about the possibility of a continuously growing number of domestic investors making investments in these overseas listed products having domestically listed stocks as underlying assets. Therefore, the FSC sought to introduce single-stock leveraged products (ETFs and ETNs) in the domestic market by removing the regulatory inconsistency that existed between the domestic and overseas markets to make Korean capital markets more attractable and provide more diverse investment options for investors and to ensure the provision of strengthened investor protection mechanisms under the domestic regulatory framework for investing in single-stock leveraged products at home. In this regard, the launch of single-stock leveraged products on May 27 this year had the effect of absorbing investment demand for similar products that are listed in the overseas market. However, as there appeared significant market expectation for share price increases in global memory chip companies, both the market capitalization and transactions value of single-stock levera
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Jul 15, 2026

Rules Change Proposed to Enable Loss Refund from Voice Phishing Scams Involving Virtual Assets

The Financial Services Commission introduced a revision proposal regarding the Enforcement Decree of the Special Act on the Prevention of Loss Caused by Telecommunications-based Financial Fraud and Refund for Loss (the Act hereinafter) on July 15. The use of virtual assets in telecommunications-based financial frauds, such as voice phishing (vishing) scams, has been on the rise recently. However, under the current legal framework, virtual assets are not included as a type of assets qualified for receiving vishing-related damage and loss relief. In this regard, a revision to the Act was approved in March this year to include virtual assets as a type of assets qualified for receiving vishing-related damage and loss relief, and this revision proposal for the Enforcement Decree provides further details as a follow-up to the amended Act. Key Revision Details First, the revised Enforcement Decree will provide specific criteria on the method of loss refund and how the amount of loss refund is calculated. Unlike money, virtual assets carry different values attached to them, which makes it necessary to establish specific standards on the method of refund for stolen assets. In this regard, if the type of asset that was stolen is money, the refund being made will be in monetary unit. If the type of stolen asset is a virtual asset, the refund being made will be in the same type of virtual asset in the same quantity. If there is a discrepancy between the type of asset that was stolen in the first place and the type of asset that is shown on the account that was used in the fraudulent activity, the refund being made will be in the form of asset that is shown on the account that was used in the fraudulent activity at the time of the freeze of account taking effect. In the case that there is a mixture of assets qualified for loss refund, the portion of money that was stolen will be paid out in monetary value and the portion of stolen virtual assets will be paid out in market value
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Jul 15, 2026

FSC Approves Recovery and Resolution Plans for D-SIFIs

The Financial Services Commission announced on July 15 that it has approved the recovery plans prepared by ten domestic systematically important financial institutions (D-SIFIs) selected for 2026 and their resolution plans drawn up by the Korea Deposit Insurance Corporation (KDIC) as recommended by the Financial Stability Board (FSB). The recovery and resolution mechanisms were adopted through a revision to the Act on the Structural Improvement of the Financial Industry (the Act hereinafter) in December 2020 and have been in place since 2022 requiring FSCs approval every year. The FSC found that the recovery and resolution plans for ten D-SIFIs selected for 2026Shinhan, KB, KEB Hana, Woori, and NongHyup financial holding companies and their banksmostly meet international standards and those prescribed under the Act. Certain factors that came across as requiring improvement in the resolution process, especially in the areas of cybersecurity and digital bank run, have been notified to D-SIFIs and the KDIC. Compared to the previous year, the recovery and resolution plans approved by the FSC this year carry tools and mechanisms enabling large financial companies to more actively prepare and respond to risk situations in advance, while allowing the resolution authority to more swiftly carry out resolution proceedings, thereby helping to ensure stability and resilience in the financial system in a more effective manner. The recovery and resolution plans are operated on a yearly basis, and the authorities plan to review and approve the recovery and resolution plans for D-SIFIs selected for 2027 in the future. In the second half of this year, relevant authorities and D-SIFIs plan to hold a joint exercise to examine and bolster their risk response capabilities. * Please refer to the attached PDF for details.
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Jul 15, 2026

FSC Announces Designation of Eight Non-holding Financial Groups for 2026

The Financial Services Commission held the 13th regular meeting on July 15 and designated eight non-holding financial groups for 2026 pursuant to the Act on the Supervision of Financial Conglomerates (the Act hereinafter). The designated entities are Samsung, Hanwha, Mirae Asset, Kyobo, Hyundai Motor, DB, Daou Kiwoom, and Toss groups. Toss is newly added to the list of non-holding financial groups this year as the first among big tech companies. The designation and supervisory mechanism on non-holding financial groups aims to effectively oversee and manage risk contagion or concentration in financial groups. With the implementation of the Act from June 2021, the FSC has been designating non-holding financial groups every year. The eight selected entities for this year satisfied all designation criteria under the Act. The selected entities will be subject to the following rules. a) Select a financial business entity representing the entire group after considering the investment relationship, total size of asset, capital, and so on, and report their selection to the Financial Supervisory Service. b) Periodically inspect and evaluate group-wide risks and prepare and follow their own internal control and risk management policy, and transparently disclose material information needed to ensure consumer protection and report to the authorities. c) Draw up capital adequacy ratio reflecting risk-weighted capital based on the risk assessment conducted by the financial authorities. d) The financial authorities will carry out a periodic assessment (every three years) on the risk and risk management status of non-holding financial groups. It is expected that the designation of non-holding financial groups for this year will help these companies to more effectively monitor and manage group-wide risks on their own and help strengthen supervision over big tech financial groups. * Please refer to the attached PDF for details.
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Jul 15, 2026

FSC Plans to Accelerate Structural Reforms in Finance to Facilitate National Goal of Making Korea Irreplaceable

The Financial Services Commission presented its work progress and policy agendas going forward on July 15 in a government work report session jointly held with the Ministry of Finance and Economy, the Ministry of Data and Statistics, and the Ministry of Planning and Budget under the theme of a great economic takeoff to usher in an irreplaceable Republic of Korea. At the work report session, Chairman Lee Eog-weon of the Financial Services Commission presented key policy progress and achievements in the first half of 2026 and outlined plans and tasks going forward. With the pursuit of a sweeping overhaul in the financial industry and the acceleration of structural reforms, Chairman Lee pledged to facilitate the national goal of making the Republic of Korea irreplaceable. Achievements in H1 2026 In the first half of 2026, the FSC has worked to produce tangible outcomes in our efforts to push for productive finance and transform the financial industry to make it more inclusive and compassionate. In the capital markets, the FSC established foundations to make a transition toward a Korea premium. Based on the four major principles of trust, shareholder value, innovation, and market access, the FSC has constantly worked to upgrade and seek improvements in our capital markets. As a result, the Korean stock markets have been able to escape from the chronic trap of boxed-in movements and start to gain momentum for growth. In this regard, corporate practices have also been showing signs of improvements, placing a higher priority on shareholder value, as more companies are making moves to increase cash dividends and expand the cancellation of treasury shares. The flow of funds in the financial sector has also begun to shift toward more productive sectors and away from the real estate market. After six months of launching the National Growth Fund (NGF), there are already 21 investment projects approved under the program for a value of about KRW14.6 trillion to help strengthen th
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Jul 09, 2026

Household Loans, June 2026

In June 2026, the outstanding balance of household loans across all financial sectors increased KRW8.3 trillion (preliminary), growing at a slower pace compared with the previous month (up KRW9.3 trillion). (By Type) Home-backed mortgage loans grew KRW4.5 trillion, rising at a slightly faster pace compared with the previous month (up KRW4.0 trillion). Mortgage loans rose more rapidly in the banking sector (up KRW3.2 trillion up KRW4.3 trillion), while growing at a slower pace in the nonbanking sector (up KRW0.8 trillion up KRW0.3 trillion). Other types of loans grew KRW3.7 trillion, rising at a slower pace compared with the previous month (up KRW5.3 trillion), with credit loans (up KRW3.6 trillion up KRW2.6 trillion) edging up more slowly. (By Sector) In June 2026, household loans in the banking sector rose KRW7.6 trillion, growing more rapidly from the previous month (up KRW6.9 trillion). Banks own mortgage loans (up KRW2.1 trillion up KRW2.9 trillion) and policy-based mortgage loans (up KRW1.0 trillion up KRW1.4 trillion) edged up more rapidly, while other types of loans (up KRW3.7 trillion up KRW3.3 trillion) expanded at a slower pace. In the nonbanking sector, household loans went up KRW0.7 trillion, growing at a slower pace compared with the previous month (up KRW2.4 trillion). Mutual finance businesses (up KRW0.8 trillion up KRW0.1 trillion) saw household loans rising at a slower pace, while insurance companies (up KRW0.9 trillion up KRW1.0 trillion) saw a slight increase the pace of growth. Specialized credit finance businesses (up KRW0.6 trillion down KRW0.2 trillion) and savings banks (up KRW0.2 trillion down KRW0.3 trillion) saw household loans shifting back lower from the growth seen in the previous month. (Assessment) In June 2026, home-backed mortgage loans (up KRW4.0 trillion up KRW4.5 trillion) went up at a faster pace due to recent increases in housing transactions and group lending for apartment subscription. However, other types of loans (up KRW5.3
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Jul 08, 2026

ESG Disclosure to be Required from 2028 for KOSPI-listed Companies with KRW10 Trillion or More in Total Consolidated Assets

The Financial Services Commission announced that the government and the ruling Democratic Party of Korea held a consultative meeting and announced the final version of the roadmap for sustainability (ESG) disclosure on July 8. Background The FSC has been continuously working to establish rules on sustainability disclosure as a key policy agenda of this administration and has sought opinions from various stakeholders. Over the months, opinions and suggestions have been collected from institutional investors, non-governmental organizations, professional groups, industry groups, and businesses. In this regard, institutional investors asked for an expansion in the scope of disclosure entities considering the usefulness of sustainability disclosure data for investment purposes. In the meantime, there have been various proposals for revising the Financial Investment Services and Capital Markets Act (FSCMA) introduced at the National Assembly, which intend to require sustainability disclosure as part of the statutory disclosure of corporate business reports. In addition, uncertainty surrounding energy prices has risen recently amid the war in the Middle East. In this regard, effectively managing climate and energy risks has become an essential policy strategy to ensure sustainable growth for both the country and individual businesses. Against this backdrop, the government and the ruling party have agreed to upgrade the previously announced roadmap for sustainability disclosure to make the schedule more progressive and to operate a comprehensive support system to ensure the provision of adequate and effective assistance for businesses. Roadmap for Sustainability Disclosure a) Disclosure timetable and scope of entities The scope of disclosure entities will be expanded in stages to move up the previously announced timetable and make major KOSPI-listed companies subject to the sustainability disclosure duty. From 2028 (FY2027), KOSPI-listed companies with total consolidated as
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Jul 06, 2026

FSC and KRX Propose Details of Rules and Guidelines on Prohibition of Split Listing and Granting Exemptions

The Financial Services Commission and the Korea Exchange proposed details of the rules and guidelines on split listing (also known as duplicate listing involving a parent company and its subsidiary) on July 6. The proposed guidelines have been prepared after having numerous seminars and taking into account opinions and suggestions from various stakeholders. The practice of split listing has been more or less prevalent in Korea more so than in other countries abroad despite concerns over harm to shareholder interests. In this regard, the parent companys board of directors and controlling shareholder had made no particular efforts in the past to ensure the protection of parent companys shareholders as the decision to list a subsidiary company had been treated as a matter for the subsidiary companys board of directors to decide on. Relevant rules on split listing had also remained inadequate to ensure effective protection of shareholder interests. Against this backdrop, the FSC and the KRX have established new requirements for the parent companys board of directors and drawn up new listing review criteria to prohibit split listings that are asymmetrical in nature and that fail to ensure adequate consideration of the interests of the parent companys shareholders. The proposed rules and criteria are for the screening of split listing on top of the general listing rules and criteria. These rules and criteria have been prepared based on the fiduciary duties for all shareholders specified under the Commercial Act and after taking into account relevant rules on split listing in overseas countries (Hong Kong and Taiwan) and a judicial precedent regarding the fiduciary duty of board of directors in the state of Delaware in the U.S. Under the newly proposes rules and criteria, the parent companys board of directors or shareholders will determine the appropriateness of split listing and whether there is any harm to the interests of the parent companys shareholders first before h
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Jun 23, 2026

Capital Market Rules Change on Disclosure of Treasury Share Holding Status Expected to Boost Corporate Value

The Financial Services Commission announced that the government approved a revision bill for the Enforcement Decree of the Financial Investment Services and Capital Markets Act (FSCMA) at the cabinet meeting held on June 23. The revised rules will strengthen requirements on the disclosure of listed companies treasury stock holding status and update relevant rules on the disposal of treasury stocks in line with the revised Commercial Act. Background The FSC had previously proposed capital market rules change on March 31 intended to promote the use of treasury shares by listed companies as a means to boost shareholder value in line with the mandatory cancellation of treasury shares promulgated under the revised Commercial Act. As a follow-up to the proposed rules change, the revision to the Enforcement Decree approved today expands the application of the duty to disclose the treasury share holding status and disposal plan to all listed companies that hold treasury shares. Previously, this disclosure requirement was in place only for the listed companies that hold one percent or more in treasury shares relative to the total volume of their stocks issued. In line with the updated rules under the Enforcement Decree, subordinate regulations and relevant corporate disclosure reporting standards will also be updated in time for implementation. Key Revision Details First, the scope of listed companies subject to the duty to disclose the treasury share holding status and disposal plan will be expanded. According to the revised Commercial Act, all companies should draw up their treasury share retention and disposal plans and have them approved at a shareholder meeting. As such, the revised Enforcement Decree expands the scope of listed companies subject to the duty to disclose the treasury share holding status and disposal plan to all listed companies that hold treasury shares from those that hold one percent or more in treasury shares in relation to the total volume of stocks
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Jun 23, 2026

FSC Launches Taskforce and Holds Kickoff Meeting to Seek Innovation in Capital Market Infrastructure

The Financial Services Commission launched a taskforce and held a kickoff meeting on seeking innovation in the capital market infrastructure on June 23. The taskforce aims to bring about improvements to the securities transactions and settlements infrastructure and facilitate a seamless digital transition and adoption of AI and blockchain technologies in the financial investment sector to boost the global competitiveness of Koreas capital markets. At the kickoff meeting, FSC Vice Chairman Kwon Dae-young delivered opening remarks underscoring the need to upgrade the capital market infrastructure and outlining key measures to achieve that goal. A Summary of Remarks by FSC Vice Chairman The taskforce will seek innovation in the capital market infrastructure with four basic principles centered on trust, shareholder protection, innovation, and market access. Today, market infrastructure has become more important than ever as it offers new experience for investors and provides a new impetus for market growth. In this regard, artificial intelligence (AI) and blockchain technologies are rapidly making these changes. Therefore, this taskforce will make use of the collective capacity and efforts of the government, private sector, and academia to thoroughly examine the risks and opportunities of seeking innovation in the capital market infrastructure. First, the taskforce will seek to design a globally leading capital market infrastructure and investment environment. Authorities will aim to draw up a roadmap for the shortening of the settlement period as early as October this year to ensure predictability in policy implementation. The shortening of the settlement period will free up tied-up liquidity, which will help to boost market efficiency. Additionally, the Korea Exchange (KRX) plans to gradually extend the trading hours with the opening of an after-market from September 14 and a pre-market potentially from the end of 2027. Along this line, the Korea Securities Depository
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Jun 18, 2026

FSC Holds Meeting on AX with Financial Companies and Introduces Updates to AI Guidelines in Financial Sector

The Financial Services Commission held a meeting on AI transformation (AX) in the financial industry with officials from financial holding companies, card companies, electronic financial service providers, related organizations, and research institutions on June 18. At the meeting, officials shared the latest AI trends in the financial sector and discussed ways forward and future directions for the government and the financial sector. At todays meeting, the FSC also introduced an updated version of the AI guidelines in the financial sector. A Summary of Remarks by FSC Vice Chairman FSC Vice Chairman Kwon Dae-young presided over the meeting and delivered opening remarks on the significance of AI transformation in the financial industry. Vice Chairman Kwon spoke about the potential of embracing AI agentic services in making financial services more productive, more inclusive, and more trustworthy, and suggested the following three key factors in designing a new framework for an era of AI transformation. First, there needs to be a regulatory and supervisory framework that can ensure a level playing field, without any special advantage or disadvantage attached to the use of AI. Second, there needs to be clear standards established to make sure that innovation is sought responsibly. With AI having a greater impact on consumer decision-making, there needs to be clear responsibility and authority established for financial companies, and the issue of global regulatory consistency also needs to be considered to ensure fair competition abroad. Third, there needs to be preemptive risk management to effectively cope with AI-related cyber risks that can be unpredictable in terms of their speed and scale. In addition, Vice Chairman Kwon also spoke about specific measures planned for establishing a new regulatory framework amid AI transformation. First, authorities will speed up the easing of the network separation requirement for financial companies AI cybersecurity purposes and s
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Jun 11, 2026

Household Loans, May 2026

In May 2026, the outstanding balance of household loans across all financial sectors increased KRW9.3 trillion (preliminary), growing at a faster pace compared with the previous month (up KRW3.5 trillion). (By Type) Home-backed mortgage loans edged up KRW4.0 trillion, rising at a slower pace compared with the previous month (up KRW5.5 trillion). Mortgage loans rose more rapidly in the banking sector (up KRW2.7 trillion up KRW3.2 trillion), while growing at a slower pace in the nonbanking sector (up KRW2.8 trillion up KRW0.8 trillion). Other types of loans went up KRW5.3 trillion, edging back up rapidly from a decline of KRW2.0 trillion a month ago, with credit loans (down KRW0.9 trillion up KRW3.4 trillion) bouncing back up at rapidly. (By Sector) In May 2026, household loans in the banking sector rose KRW6.9 trillion, growing more rapidly from the previous month (up KRW2.1 trillion). Banks own mortgage loans (up KRW1.4 trillion up KRW2.1 trillion) increased at a faster pace, while policy-based mortgage loans (up KRW1.4 trillion up KRW1.1 trillion) grew at a slower pace. Other types of loans (up KRW3.7 trillion) turned back up from a drop of KRW0.6 trillion in the previous month. In the nonbanking sector, household loans went up KRW2.3 trillion, growing at a faster pace compared with the previous month (up KRW1.4 trillion). Mutual finance businesses (up KRW2.1 trillion up KRW0.7 trillion) saw household loans rising at a slower pace, while insurance companies (down KRW0.4 trillion up KRW0.9 trillion), specialized credit finance businesses (down KRW0.2 trillion up KRW0.6 trillion), and savings banks (down KRW0.02 trillion up KRW0.2 trillion) all saw household loans edging back higher from the previous month. (Assessment) In May 2026, home-backed mortgage loans (up KRW5.5 trillion up KRW4.0 trillion) went up at a slower pace despite recent increases in housing transactions and group lending for apartment subscription. However, other types of loans (down KRW2.0 trillion
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Jun 10, 2026

FSC Chairman Holds Meeting with Financial Holding Companies to Discuss Ways to Bolster Cyber Defense Capacity in AX

Chairman Lee Eog-weon of the Financial Services Commission held a meeting with the CEOs of five major financial holding companieson June 10 and discussed ways to effectively respond to cybersecurity threats and voice phishing (vishing) attacks in an era of AI transformation (AX). At the meeting, Chairman Lee and the heads of financial holding companies discussed the risk of cybersecurity threats posed by frontier AI and deepfake vishing scams and ways to effectively respond to these newly emerging digital threats to help propel AI transformation in the financial industry. In his opening remarks, Chairman Lee talked about both challenges and opportunities presented by AI transformation and pointed out major threats posed by frontier AI models, such as Claude Mythos, as well as deepfake vishing scams that take advantage of AI technology. In this regard, Chairman Lee said that the government has put in place diverse measures and policies intended to bolster the AI-driven defense capabilities against AI attacks. For instance, the network separation rule will be eased for financial companies for their AI cyber defense purposes, and the utility of the AI-based anti-phishing sharing analysis platform (ASAP) has been ramped up to more effectively detect and prevent newly emerging types of phishing attacks. Moreover, Chairman Lee said that the government is planning to quickly introduce the strict liability rule in the financial sector to make financial companies more responsible and remedies more effective for victims. To strengthen the financial industrys response capacity against newly emerging digital threats in an era of AI transformation, Chairman Lee asked the financial holding companies to take the following steps. First, in response to cyber threats posed by frontier AI, financial holding companies are urged to actively participate in AI cybersecurity tests prepared by the government and take follow-up steps as deemed necessary. In preparation for the complete lifti
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May 25, 2026

Network Separation Rules to be Eased in Financial Sector to Boost Innovation and Cybersecurity in AI Transformation

The Financial Services Commission held a meeting on cybersecurity risks related to advanced AI models and response measures in the financial sector with chief information security officers (CISOs) from major financial companies and AI and cybersecurity experts on May 22. At the meeting, officials reviewed cybersecurity threats related to Mythos AI and discussed a set of measures intended to promote the use of AI by financial companies to enable them to more effectively respond to newly emerging cybersecurity threats from advanced AI models and develop more productive and innovative financial services in their attempt to make AI transformation. Speaking about the importance of building an AI-driven cyber defense system capable of shielding autonomous attacks originating from advanced AI models, Vice Chairman Kwon Dae-young of the Financial Services Commission said that cybersecurity risks presented by advanced AI models require financial companies to regularly conduct cyber hygiene practices, since it is not possible to make financial companies entirely immune to these newly emerging types of threats. In this regard, Vice Chairman Kwon further added that the AI transformation in the financial industry is much more than simply introducing a new technologyit involves a fundamental shift in how financial services are delivered. Key Measures I. Preemptively Identifying Cybersecurity Threats from Advanced AI Models In close cooperation with related government ministries, the FSC has been closely monitoring international discussions on a variety of issues concerning advanced AI models, including their potential and capacity to be utilized as a cybersecurity defense mechanism. In this process, the FSC will continue to maintain active communication with financial companies to provide and share any new factual findings and inform them about the need to strengthen cybersecurity measures if considered to be necessary. II. Promptly Establishing AI-driven Cyber Threat Defense Sys
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May 22, 2026

NICE Credit Information (NICE CI) Obtains Certificate to Operate in Vietnam from the State Bank of Vietnam

The Financial Services Commission announced on May 22 that the State Bank of Vietnam (SBV) granted a Certificate of Eligibility for Providing Credit Information Services to NICE Credit Information (NICE CI), which is NICE Information Services local subsidiary in Vietnam, on May 20. NICE CI will become fourth credit information service provider in Vietnam along with PCB (Jul 2013), FCBV (Dec 2024), and KCI (Dec 2024), in order of the time of authorization granted. For Vietnam, Korea is the largest FDI originating country, the second largest tourist sending country, and the third largest bilateral trade partner. In terms of overseas presence, Korean financial companies have the second largest number of overseas establishments in Vietnam (54 as of May 2026), second only to the United States (68). Shown by the recent license obtainment of Korea Development Banks Hanoi branch (Jan 2026) and Industrial Bank of Korea Vietnam (Apr 2026), and NICE CI (May 2026), Korean financial companies have been expanding their presence in the Vietnamese market across diverse sectors. The SBVs granting of certificate to NICE CI this time took only 10 months from the time of application in July 2025. The speedy result can be seen as a successful outcome of the Korea-Vietnam summit meeting (Apr 22), the high-level financial meeting between FSC Chairman Lee Eog-weon and SBV Governor Pham Duc An (Apr 24), and constant efforts to strengthen communication and build local relationship by the private sector and overseas diplomatic channels. NICE CIs operation scheduled for H1 2027 in Vietnam will help to improve local financial companies risk management systems. Through this, NICE CI will also support Vietnam to strengthen its non-performing loan (NPL) management capacity. Equipped with advanced service tools and reliable credit information infrastructure, NICE CI will help to boost the credibility of Vietnams financial markets. Moreover, NICE CI plans to seek ways to help to improve financial ac
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May 21, 2026

FSC Chairman Holds Media Briefing and Outlines Progress and Achievements of Financial Policy Implementation

Chairman Lee Eog-weon of the Financial Services Commission held a media briefing on May 21 and announced ten key achievements and progress in the implementation of financial policies in the first year of the Lee Jae Myung administration. Over the past year, the FSC has sought to push for a major overhaul in the financial industry to make financial services more productive, more inclusive, and more trustworthy, and has been able to produce notable achievements in the following areas. Progress and Achievements I. Decouple Finance-Real Estate Ties Redirect Finance to Productive Sectors a) Building foundation for Korea premium in capital markets Capital market reform has been a high priority for this administration. Various reform measures, such as introducing the one-strike-out principle for market manipulation, making corporate directors subject to the fiduciary duty to all shareholders, and requiring listed companies to permanently retire treasury shares, have been carried out in a swift manner. In this process, the rigidly boxed-in KOSPI index surged past 8,000 points for the first time in a single year, showing signs of shedding the disgrace of Korea discount and moving closer to Korea premium. b) Launching KRW150 trillion National Growth Fund to propel growth for next 20 years In December 2025, National Growth Fund was launched in the size of KRW150 trillion to propel economic growth for next 20 years and ensure an adequate supply of funds to strategic high-tech sectors. The fund has moved quickly to select 13 important megaprojects that can have significant ripple effects across different regions and industries and has already decided to inject KRW8.4 trillion in 11 megaprojects. From this amount, KRW4.6 trillion is being directed at regional economies and KRW1.2 trillion in direct investment for the development of future high-tech industries (e.g. AI computing). c) Promoting regionally well-balanced growth through targeted supply of finance In October 2025, the
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May 20, 2026

Revised Rules on Whistleblower Reward and Strengthened Sanctions on Accounting Fraud to Take Effect from May 26

The Financial Services Commission announced that revision proposals for the Enforcement Decree of the Financial Investment Services and Capital Markets Act (FSCMA) and the Act on External Audit of Stock Companies have been approved by the government at the cabinet meeting held on May 20. Key Revision Details a) Improving rules on whistleblower reward On February 25 this year, the FSC introduced a plan to overhaul the whistleblower reward program to strengthen incentives for insiders to report unfair trading and accounting fraud. The approved rules change today is a follow-up measure to this plan, abolishing all caps (KRW3 billion for unfair trading and KRW1 billion for accounting fraud) on whistleblower rewards. In this regard, authorities will also seek to update rules on subordinate regulations in line with the changes in relevant legislation. First, with the reward payout caps abolished, the method for calculating the amount of whistleblower reward will be linked to the amount of illicit gains or penalties (up to 30 percent), calibrated to the level of contribution made by whistleblowers for uncovering rule-breaking activities. This method will significantly increase the amount of rewards payable if the scale of unfair trading or accounting fraud is extensive, which will help to provide more incentives for insiders to report wrongdoings. Second, a whistleblowers reporting submitted to an authority other than the FSC or the Financial Supervisory Service (FSS)such as the National Police Agency or the Anti-Corruption and Civil Rights Commissionwill also qualify for rewards as the establishment of an inter-agency consultative mechanism will ensure seamless referrals and information sharing between related authorities. Third, if the whistleblower is also an accomplice in unfair trading activities, reward payouts were not possible previously. However, under the revised rules, reward payouts will be made possible in part if the whistleblower did not coerce others to tak
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