The American Chamber of Commerce in Korea (AMCHAM) said on the 25th that it published a special report, "Strategy to promote Korea as a financial hub," containing policy recommendations to strengthen the regulatory competitiveness of Korea's financial market and to leap into a global financial hub.
AMCHAM has in recent years continued policy recommendations and activities to establish Korea as a leading business hub in the Asia-Pacific (APAC) region. Considering the growth trend of the capital market, including the recent rapid rise of Korea's KOSPI index, it published the report on the view that Korea's financial regulatory environment needs to further strengthen its global competitiveness.
Focusing on the banking and securities sectors, the report analyzed regulatory issues with room for improvement compared with global standards. Based on the views of major U.S. banks and global securities firms operating in Korea, it derived a total of 39 regulatory tasks, of which 10 were presented as key reforms requiring priority review. The tasks consist of 15 in common areas, 13 in banking, and 11 in securities.
As key policy directions to strengthen the competitiveness of Korea's financial market, the report presented: ▲ expanding regulatory flexibility that reflects the business models of global financial institutions ▲ modernizing IT regulations to support AI-based financial innovation ▲ enhancing interoperability between domestic financial infrastructure and global financial systems ▲ improving market access and authorization regimes ▲ enhancing regulatory transparency and policy predictability.
James Kim, chairman and CEO of AMCHAM, said, "This report is AMCHAM's first report in the financial services sector, prepared to support the government's policy direction to enhance the competitiveness of Korea's capital market and to pursue inclusion in the MSCI Developed Markets Index."
He added, "Recently, as the KOSPI surpassed the 6,000 mark, Korea's financial market is showing meaningful growth momentum, and Korea's potential to rise as a key regional financial hub is gradually increasing," and "to carry this trend into sustainable competitiveness, it is necessary to build a regulatory environment that aligns with global standards and to strengthen connectivity with international financial markets."
AMCHAM said it will continue to work closely with the Korean government, financial authorities, and industry to enhance the competitiveness of Korea's financial market, and to help Korea establish itself as an attractive regional financial hub and a base for regional headquarters for global financial institutions. The full report is available on AMCHAM's website.