The National Credit Union Federation of Korea said on the 7th that Ko Young-cheol, chair of Gwangju Munhwa Credit Union, was elected president in the election for the 34th president held at the federation's training institute in Yuseong District, Daejeon.
The National Election Commission oversaw the election in accordance with relevant laws and regulations, and the electoral college consisted of 863 people (862 credit union chairs nationwide and the current federation president). A total of 784 votes were cast, and president-elect Ko secured victory with 301 votes (38.4%). The new president will lead the federation starting Mar. 1, following current president Kim Yun-sik, whose term is set to expire at the end of February.
President-elect Ko graduated from the department of accounting at Chosun University and served in key posts at Gwangju Munhwa Credit Union, including operations chief, standing director, and chair. In particular, the credit union led by Ko has been assessed as ranking near the top nationwide in asset size (No. 2). Since 2022, Ko has served as a director of the federation, taking part in its management and policy decisions.
During the campaign, Ko advanced the theme that "the answer to the credit union's crisis lies in the field, not at the desk," stressing that the federation must be reborn not as an organization that "manages and controls" unions but as one that underpins recovery and growth. Ko named restoring soundness, strengthening internal controls, and identifying future growth engines as top priorities.
Specifically, to normalize unions with weak finances, Ko proposed easing eligibility for management normalization support funds; supporting capital expansion by investing a portion of surplus from repayment reserves into unions; and expanding linked loans and loan-type performance products for unions with capital impairment. Ko also unveiled a concept for a "(tentative) matching provision fund" to ease the burden of new loan loss provisions.
Regarding the nonperforming loan (NPL) management system, Ko said the NPL subsidiary would be shifted to function as an asset management company (AMC) to strengthen long-term management, and a structure would be reviewed to return any excess profits generated through ex-post settlements to unions. Ko also noted the need to expand the role of the Depositor Protection Fund beyond after-the-fact protection, so that it contributes to strengthening unions and boosting capital.
For stronger internal controls, Ko proposed revitalizing the rotating supervision system, managing groups of 10 credit unions each, and establishing continuous inspection through a dedicated officer system. Ko also emphasized enhancing loan screening capabilities by training lending specialists through cooperation between the federation's training institute and related agencies, and by introducing a regional headquarters credit examiner system.
In remarks after the victory, Ko said, "The credit union will regain trust by returning to the field and focusing on members, and I will do my best to build both soundness and a growth foundation," adding, "The federation should serve as a solid pillar that supports local credit unions so they can fulfill their roles."