Bank of Korea

Fintech / Regtech

FSC Korea Announces Schedule for Internet-only Bank Applications

By Manesh Samtani | 26/12/2024

Six consortia are interested in applying for an internet-only bank licence. Applicants with links to established FIs are seen as leading candidates.

Securities / Derivatives

Korea Announces Measures to Restore FX Market Stability and Strengthen FIs

By Manesh Samtani | 21/12/2024

Banks allowed to borrow more USD overseas; regulations on stress buffer capital and foreign currency liquidity stress tests deferred; risk weighting changes

Sanctions

South Korea Imposes Sanctions Over Russia-DPRK Cooperation

By Editors | 18/12/2024

The targets include North Korean military officials, Russian businessmen and companies, and banks involved in Russia-DPRK transactions.

ESG / Sustainability

Korea Establishes New Guidelines on Green Finance

By Editors | 13/12/2024

The guidelines are not mandatory, but regulators will encourage FIs to apply them on a voluntary basis to facilitate a seamless supply of green finance.

Capital / Liquidity

Fallout from Martial Law Declaration Continues in Korea

By Manesh Samtani | 12/12/2024

BOK injects liquidity. FSC chairman meets with foreign FIs and domestic firms. FSS governor asks analysts to trust in Korea’s economic fundamentals.

Securities / Derivatives

Korea Unveils Plan for Promoting Wider Adoption of KOFR

By Manesh Samtani | 12/12/2024

10% of IRS transactions and FRN issuance by FIs in 2025 will be KOFR-based. Central clearing of KOFR-based swaps will also start in 2025.

Crypto / Digital Assets

Korean Securities Firms Asked to Prepare for Market Shocks

By Manesh Samtani | 08/12/2024

BOK promised “unlimited” liquidity. FSS met with 36 securities firms. FSC activated stabilisation funds. VASP operations impacted.

Capital / Liquidity

BCBS Assesses Korea’s Implementation of NSFR, LEX Standards

By Editors | 06/12/2024

NSFR implementation was assessed as “compliant”, while implementation of the large exposures framework was assessed as “largely compliant”.

Capital / Liquidity

Bank of Korea Pledges ‘Unlimited’ Liquidity to Keep Markets Stable

By Manesh Samtani | 04/12/2024

The central bank pledged to keep financial markets stable after the President unexpectedly declared and then rescinded martial law.