South Korea's five major financial holding companies—KB, Shinhan, Hana, Woori, and NH NongHyup Financial—supplied a total of 11.3 trillion won in inclusive finance during the first half of this year, according to the Financial Services Commission (FSC). The supply represents implementation of an inclusive finance expansion plan announced by the five holdings in January. The FSC held a review meeting on July 10 with executives responsible for inclusive finance at the five holdings to examine first-half performance and future implementation plans, establishing a regular monitoring system to ensure inclusive finance becomes an ongoing institutional responsibility rather than one-time support.
Financial Holdings Adjust 2.3 Trillion Won in Delinquent Debt
The five financial holdings conducted internal debt adjustment on approximately 2.3 trillion won (135,000 cases) in delinquent debt during the first half of this year to support the economic recovery of vulnerable debtors. The companies wrote off or completed statute of limitations procedures on approximately 1.5 trillion won (119,000 cases) in long-term delinquent debt. The holdings are strengthening inclusive finance by expanding policy-based financial products for low- and mid-credit borrowers and small business owners while simultaneously implementing debt adjustment and long-term delinquent debt write-offs. The five holdings plan to supply a total of 70 trillion won in inclusive finance from 2026 to 2030.
KB Financial Supplies 2.49 Trillion Won, Shinhan 2.42 Trillion Won
By individual company, KB Financial supplied 2.4883 trillion won in inclusive finance during the first half, Shinhan Financial 2.42 trillion won, Hana Financial 2.1398 trillion won, Woori Financial 2.1 trillion won, and NH NongHyup Financial 2.1431 trillion won. The FSC requested at the meeting that financial institutions play a more active role in improving financial accessibility for financially vulnerable groups and alleviating their financial burdens. The five financial holdings agreed to recognize inclusive finance as an ongoing institutional responsibility embedded in the financial system rather than one-time support.
FSC Plans Continuous Monitoring Through Inclusive Finance Strategy Task Force
The FSC plans to continuously monitor and provide feedback on the implementation status of the five major financial holdings' inclusive finance expansion plans. The commission will redesign the private financial system to be more inclusive by introducing a comprehensive inclusive finance evaluation system, designating dedicated chief officers, rationalizing soundness regulations, and improving credit evaluation systems through the currently operating Inclusive Finance Strategy Task Force.
FAQ
How much inclusive finance did South Korea's 5 major financial holdings supply in the first half of this year?
The five major financial holdings—KB, Shinhan, Hana, Woori, and NH NongHyup Financial—supplied a total of 11.3 trillion won in inclusive finance during the first half of this year, according to the Financial Services Commission.
What debt relief measures did the financial holdings implement during the first half?
The five holdings conducted internal debt adjustment on approximately 2.3 trillion won (135,000 cases) in delinquent debt and wrote off or completed statute of limitations procedures on approximately 1.5 trillion won (119,000 cases) in long-term delinquent debt to support vulnerable debtors' economic recovery.
What is the FSC's plan for monitoring inclusive finance implementation?
The FSC plans to continuously monitor the implementation status of the five holdings' inclusive finance expansion plans through the Inclusive Finance Strategy Task Force, introducing a comprehensive evaluation system, designating dedicated chief officers, rationalizing soundness regulations, and improving credit evaluation systems.
