Kakao Bank Shares Digital Financial Innovation with Mongolia: "Building a Collaborative Growth Ecosystem"

Yoon Hoyoung Attends Korea-Mongolia Business Forum
Signs Strategic Equity Investment Agreement with Mongolia's M Bank

Kakao Bank is expanding global financial cooperation by sharing South Korea's digital financial innovation experience with Mongolia.

According to Kakao Bank on July 10, CEO Yoon Ho-young attended the Korea-Mongolia Business Forum held the previous day in Ulaanbaatar, Mongolia, where he gave a presentation titled "Beyond Banking, Into Every Life." Yoon was the only banking sector executive to join President Lee Jaemyung's economic delegation during his visit to Mongolia.

In his presentation, Yoon introduced Kakao Bank's innovative practices that have lowered the barriers of time, cost, and credit in finance through technology. He shared the company's experience in inclusive finance utilizing alternative credit assessment models and artificial intelligence (AI) technology. He also presented a vision of promoting digital financial innovation and expanding financial accessibility in cooperation with the Mongolian financial market.

On the occasion of the business forum, Kakao Bank signed a term sheet for a strategic equity investment with MCS Group, Mongolia's largest conglomerate, and its digital banking subsidiary, M Bank. Kakao Bank plans to complete the necessary procedures, such as signing a final agreement, and aims to invest in M Bank within this year. The company also intends to pursue strategic collaboration in various areas, including product and service development, advancement of credit assessment, and the establishment of a global digital bank network.

Yoon stated, "Ten years ago, following the government's introduction of internet-only banks, South Korea established a digital financial environment where anyone can access financial services easily and conveniently. Based on government innovation policies, Kakao Bank has also practiced inclusive finance through technology, supplying a cumulative 16 trillion won in loans to mid- to low-credit borrowers using its self-developed alternative credit assessment model."

He added, "Mongolia, with its young demographic and excellent digital infrastructure, has tremendous growth potential in the AI finance industry. Through strategic cooperation with MCS Group, we aim to enhance M Bank's credit assessment system and jointly develop alternative credit assessment models utilizing non-financial data, creating an AI-driven financial ecosystem where both countries grow together."

Yoon Ho-young, CEO of KakaoBank (photo), is giving a presentation at the Korea-Mongolia Business Forum held on the 9th in Ulaanbaatar, Mongolia. KakaoBank

This content was produced with the assistance of AI translation services.