Authorities to Introduce Additional Indemnity Measures for Productive Finance... Annual Report to Be Released in May Next Year

Financial Sector to Release Factbook on Progress Starting Q4
272.3 Trillion Won Supplied by End of July
KPI Standards Strengthened at Major Financial Groups such as Shinhan

The financial sector will publish a white paper and an annual report detailing the achievements of productive finance initiatives this year and next year, respectively. Financial authorities also plan to introduce additional indemnity measures to further support the implementation of productive finance.

Kwon Daeyoung, Vice Chairman of the Financial Services Commission, is speaking at the 5th Productive Finance Council for Financial Sectors held on the afternoon of the 14th at the Government Seoul Office in Jongno-gu, Seoul. Financial Services Commission

The Financial Services Commission announced on September 15 that it had held the 5th Productive Finance Council for Financial Sectors the previous day, presided over by Vice Chairman Kwon Daeyoung.

In his opening remarks, Vice Chairman Kwon Daeyoung stated, "The virtuous cycle in which financial sector capital flows into the industrial field, thereby contributing to industrial growth while allowing the financial sector to earn profits, is also beneficial for economic growth." He expressed gratitude for the sector's swift progress, highlighting that 272.3 trillion won had been supplied through productive finance initiatives by the end of July this year.

Vice Chairman Kwon specifically emphasized that preparations for the factbook on productive finance performance—scheduled for publication starting in the fourth quarter of this year—must proceed without issue. Financial companies are set to publish the "White Paper on Productive Finance" by the end of this year and to release the "Productive Finance Annual Report," which will include annual results, around May next year. In addition, he announced plans to prepare further indemnity measures to promote and activate productive finance.

The financial sector representatives attending the meeting introduced their organizations and performance management systems for expanding productive finance. Shinhan Financial Group reported that, as of the end of July, it had supplied 4.7 trillion won of its 5.9 trillion won in increased corporate lending to productive finance-related loans, accounting for 79% of the total. The group has also established a collaborative system centered on the "Productive Finance Task Force," involving major group affiliates in banking, securities, capital, and asset management, and has rolled out an on-site support model linking the nationwide SOL cluster with industrial professionals.

Woori Financial Group has increased its five-year supply target for productive finance from 80 trillion won to 90 trillion won and achieved its 2024 goal of 21.8 trillion won ahead of schedule by supplying 22.9 trillion won by July. iM Financial has established and reorganized a dedicated division for productive finance and incorporated relevant results into its KPI system. At the same time, iM Bank is expanding support for innovative local SMEs through collaboration with the Korea Credit Guarantee Fund.

In the securities industry, the supply of venture capital is being expanded. Kiwoom Securities is partnering with university technology holdings and has built a fast-track system for mezzanine investment in listed companies. Samsung Securities is expanding its workforce dedicated to venture capital management and evaluation, seeking to shift from merely brokering funds to becoming a direct provider of financial resources.

Hanwha Life Insurance is increasing investments in AI and digital transformation infrastructure such as data centers. Meritz Fire & Marine Insurance has designated a dedicated department for productive finance and newly established productive finance items in its KPIs to systematically manage performance in this area.

Policy finance institutions are supporting productive finance by supplying large-scale funds. Korea Development Bank manages lending products totaling 90 trillion won and is strengthening collaboration between the National Growth Fund and policy finance institutions. Industrial Bank of Korea is promoting the "IBK 30-300 Project" to supply more than 300 trillion won by 2030 and has newly established a Productive and Inclusive Finance Department to enhance execution.

The Export-Import Bank of Korea plans to provide 78.5 trillion won in lending this year, centered on AI, advanced industries, overseas contracts, and regional balance. It will also fully launch the "KEXIM Productive and Inclusive Finance Program," which supports all stages of the corporate lifecycle from startup to business recovery.

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