Regulatory Alerts2026-07-15 | 87331Added · Updated
FSC Plans to Accelerate Structural Reforms in Finance to Facilitate National Goal of Making Korea Irreplaceable
The Financial Services Commission expands the National Growth Fund to KRW200 trillion, increases direct equity investments to KRW5 trillion annually, and establishes the Korea Strategic Technology Partners with up to KRW10 trillion in ultra-long-term funds. Regional finance supply from policy institutions is targeted to reach KRW164 trillion by 2028, supported by KRW1 trillion in special credit guarantees from KODIT and new safe harbor exemptions for financial companies supporting high-tech startups. Capital market reforms include shortening the securities settlement period to T+1, prohibiting split listing of parent-subsidiary companies, and requiring the public disclosure of low price-to-book ratio firms. Inclusive finance measures mandate the appointment of chief inclusive finance officers at financial companies and introduce a new 4.5% interest, 10-year microloan program, while debtor protection is strengthened through blanket write-offs of debts over 20 years and authorization requirements for debt collection agencies.