Kwon Dae-young, Vice Chairman of South Korea's Financial Services Commission (FSC), met with Nguyen Duc Chi, Vietnamese Deputy Minister of Finance, on the 16th at the government complex to discuss strengthening cooperation in the capital market sector. The meeting focused on sharing Korea's capital market development experience and advancing bilateral financial collaboration. This engagement reflects the comprehensive strategic partnership between Korea and Vietnam, with Vietnam being the second-largest destination for Korean financial institutions after the United States.
Korea Announces Four-Pillar Capital Market Reform Strategy
Vice Chairman Kwon stated that Korea's domestic stock market is pursuing structural improvements centered on four policy directions: trust, shareholder protection, innovation, and enhanced market accessibility to achieve premium market status. "Based on our experience in developing domestic capital market systems and infrastructure, we will actively share necessary expertise with Vietnam," Kwon said during the meeting. The FSC official emphasized Korea's commitment to transferring institutional knowledge accumulated through its own market development process.
Vietnam Confirms FTSE Russell Market Upgrade and Sandbox Initiative
Deputy Minister Chi highlighted that Vietnam's stock market upgrade to FTSE Russell's secondary emerging market status was confirmed for April this year, built on the next-generation securities market system launched last year through collaboration with Korea Exchange. Chi evaluated this development as establishing a foundation for enhancing Vietnam's market competitiveness. The Vietnamese official announced that Vietnam is pursuing the introduction of a sandbox for the securities sector this year to support continuous innovation in its capital market. Chi proposed sustained cooperation for capital market development in both countries through mutual policy experience sharing.
Korea-Vietnam Financial Cooperation Expands with New Institutional Approvals
Both officials concluded the meeting by expressing their desire for comprehensive financial sector cooperation beyond capital markets, including insurance and fintech, to achieve mutual growth in the financial industry. This year, Korea Development Bank's Hanoi branch and Industrial Bank of Korea's Vietnam subsidiary received regulatory approval. Following the Korea-Vietnam summit and the FSC Chairman's state visit in April, financial diplomacy outcomes are materializing, including the approval for Nice Information Service's Vietnam subsidiary to provide credit information services in Vietnam. Vietnam remains a core partner country for Korea, with Korean financial institutions maintaining their second-largest overseas presence there after the United States.
FAQ
What did Korea's FSC Vice Chairman discuss with Vietnam's Deputy Finance Minister on the 16th?
Kwon Dae-young met with Nguyen Duc Chi to discuss strengthening capital market cooperation. Korea committed to sharing its market development experience, while both sides agreed to continue collaboration across capital markets, insurance, and fintech sectors.
What market upgrade did Vietnam achieve this year?
Vietnam's stock market upgrade to FTSE Russell's secondary emerging market status was confirmed for April this year. This upgrade was built on the next-generation securities market system launched through collaboration with Korea Exchange.
What new Korean financial institutions received approval in Vietnam this year?
Korea Development Bank's Hanoi branch and Industrial Bank of Korea's Vietnam subsidiary received regulatory approval this year. Additionally, Nice Information Service's Vietnam subsidiary obtained permission to provide credit information services following the April Korea-Vietnam summit.
