Lee Eog-weon, Chairperson of the Financial Services Commission, said on the 9th, "Finance must move toward a virtuous cycle of productive finance that expands and shifts the flow of funds to high-tech, venture, regional areas, and the capital market, leading to enhanced industrial competitiveness, increased public asset, and an expansion of venture capital."
At the plenary meeting of the Financial Development Review Committee held that day at the main auditorium of the Korea Deposit Insurance Corporation (KDIC) in Jung-gu, Seoul, the Chairperson said this, calling it "a core task that will determine Korea's future growth path," and stated accordingly.
The Financial Services Commission explained that it held the meeting jointly with the official advisory body, the Financial Development Review Committee (Geumbalsim), to seek reform directions for productive finance.
The Chairperson emphasized, "What matters is not just the scale of funds but their flow," adding, "The key is where funds are headed and, as a result, how much and in what ways finance changes industrial structure and growth paths." The Chairperson then said, "It is very important to reform the structure and systematize it so that productive finance can take root as a lasting outcome."
Five research institutes—Korea Development Institute (KDI), Korea Institute of Finance, Woori Financial Management Research Institute, Korea Capital Market Institute, and Korea Institute of Public Finance(KIPF)—gave presentations at the meeting. The keynote presentation and lead discussion of the day were broadcast live for the first time in a Geumbalsim meeting.
KDI suggested that as advanced technologies such as digital and artificial intelligence (AI) emerge as key pillars of national competitiveness and security, Korea should also take the lead in investing in new industries through productive finance. The Korea Institute of Finance said that rather than expanding the quantitative supply of funds, the selection function of finance should be strengthened so that funds are allocated to corporations with high productivity but limited growth due to financing constraints.
An official at the Financial Services Commission (FSC) said, "We plan to actively incorporate the innovative ideas discussed at today's Geumbalsim and reflect them in establishing future reform directions toward productive finance."