South Korea plans to relax rules on banking and commerce to spur investment
Street vendors (L) wait for customers at Myeongdong shopping district in Seoul, South Korea, January 9, 2023. REUTERS/Kim Hong-Ji
SEOUL, Dec 11 : South Korea plans to relax rules on the separation of banking and commerce in a bid to spur investment, Finance Minister Koo Yun-cheol said on Thursday, even as civic groups raise concerns that the move could only benefit big family-run conglomerates.
"We won't interfere with the idea that currently bans industrial powers from controlling banking. But instead, the idea is to ease financial regulations to allow large-scale investments," Koo said, answering questions from President Lee Jae Myung during a televised policy meeting.
Under the revised rules, holding companies may be allowed to have some control over financial units to allow financing in leading-edge technology.
Koo also said the ministry planned to create a new sovereign wealth fund to better manage state revenue, but did not elaborate on the plan.
