Annual Work Plan - Financial Services Commission

Annual Work Plan

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Dec 19, 2025

2026 Work Plan

Pursuing a Sweeping Overhaul of Finance to Propel a Great Takeoff of the Korean Economy Accelerating reforms to make the financial industry more productive, inclusive, and reliable. Striving to produce prompt and tangible outcomes to better serve the needs of the public. I. Productive finance Support high-tech industries Bolster policy finance - Start deploying National Growth Fund for investments and create funds for public participation - Make the supply of policy finance more efficient Foster sustainable economy for regions, climate and small biz - Expand the supply of policy finance to regions and boost climate finance - Strengthen incentives for regional finance and bolster small biz finance Boost the role of financial companies in productive finance - Set up a public-private joint consultation body to seek ways to bolster productive finance - Make financial regulations work better for productive finance - Expand the supply of venture capital Build upon the momentum of KOSPI 4,000 in capital markets - Revitalize the KOSDAQ market and strengthen investor protection - Strengthen tax and regulatory incentives to encourage investments in domestic stock markets II. Inclusive finance Lower interest burden for financially marginalized groups - Introduce low interest rate loans (4.5%) for young adults and socially marginalized groups - Reduce interest payment burden (5~6.3%) for financially marginalized groups Improve access to bank finance for mid-to-low credit holders - Pursue a credit buildup program to facilitate transition from policy-based microloans to bank loans - Encourage financial companies to bolster the provision of microloan products on their own Assist delinquent debtors to regain footing - Root out persistent and excessive debt collection practices - Bolster the debt workout support program provided by CCRS Strengthen financial literacy and capacity of the public - Provide financial products tailored to the needs of consumers for different life stages
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Jan 08, 2025

2025 Work Plan

2025 Financial Policy Agendas Vision With market stabilization at the top of policy priorities, the FSC will strengthen the function of financial services in support for peoples livelihoods and continue to push for innovation in the financial industry. 3 Key Objectives Ensuring market stability and support for the real economy. Facilitating recovery in peoples livelihoods. Adapting to changes and promotingfinancial innovation. 9 Policy Tasks Market Stability 1) (Market stability) Remove factors contributing to market anxiety and bolster risk management capacity. 2) (Risk management) Ensure stable management of household debt growth and the situation in the real estate project finance market. 3) (Support for the real economy) Support recovery in the real economy and revitalization of industries. Recovery in Peoples Livelihoods 4) (Stability in peoples livelihoods) Reduce financial burdens experienced by the public including self-employed business owners. 5) (Inclusive finance) Expand the supply of microfinance assistance and make financial services more accessible. 6) (Credible finance) Prevent illegal private lending practices and ensure protection of financial consumers. Financial Innovation 7) (Innovation in the financial industry) Promote innovation to broaden the horizon of the financial industry. 8) (Capital market advancement) Pursue capital market reform agendas to help individuals to accumulate wealth and businesses to grow. 9) (Digital transformation) Promote digital transformation of financial companies and support fintech businesses to scale up. The Financial Services Commission presented annual work plan for 2025 at the annual work report session jointly held for economic ministries under the theme of economic risk management and revitalization of the economy on January 8. With market stabilization at the top of policy priorities, the FSC plans to work on strengthening the function of financial services in support for peoples livelihoods while continuin
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Feb 07, 2024

2024 Work Plan

Vision A caring and reliable finance, standing by the people. 3 Key Objectives A credible finance, safeguarding peoples livelihood. A robust finance, capable of withstanding risks. A dynamic finance, propelling growth into the future. 9 Policy Tasks Credible finance 1) (Peoples livelihood) Reduce the burden of high financing costs for the public. 2) (Fairness in market) Build a fair ladder of opportunity in capital markets. 3) (Safety and protection) Prevent financial crimes and strengthen consumer protection. Robust finance 4) (Property market risk) Support an orderly normalization of the project finance market. 5) (Household debt) Ensure a stable management of household debt growth. 6) (Market stability) Eliminate risk factors and strengthen response capabilities. Dynamic finance 7) (Support for growth) Support businesses to growth and regions to develop. 8) (Financial innovation) Seek responsible innovation to boost competitiveness. 9) (Preparing for future) Cultivate future growth drivers and prepare for future changes. A credible finance, safeguarding peoples livelihood 1) (Peoples livelihood) Reduce the burden of high financing costs for the public. - Alleviate the burden of high interest payments for the self-employed and small merchants through (a) an interest refund program worth KRW2 trillion-plus offered by the banking sector, (b) the interest rate support for loans from the nonbanking sector that have interest rates between 5 to 7 percent, (c) an expansion of low interest rate refinancing support offered by Korea Credit Guarantee Fund, and (d) an expanded scope of eligibility for New Start Fund, a debt adjustment program for the self-employed and small merchants. - Work to ease interest rate burden in more systematic ways by expanding the operation of the online loan transfer service and making improvements to the interest rate disclosure system in the banking sector. - Ensure the provision of support for vulnerable borrowers by setting up an online tot
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Feb 01, 2023

2023 Work Plan

The FSC presented its annual work plan for 2023 on January 30. This years work plan includes twelve specific policy items under the initiatives of (a) ensuring strong financial market stability, (b) strengthening the role of finance to shore up the growth of the real economy and peoples livelihoods and (c) promoting the advancement of the financial industry into a high value-added strategic sector. Key Details of 2023 Work Plan Ensuring Financial Market Stability will preemptively respond to financial market risk factors Financial markets in Korea are, despite continuing uncertainties at home and abroad, on a stable recovery path backed by the KRW50 trillion-plus market stabilization measures and strong policy cooperation amog relevant authorities. In this regard, authorities will continue to work on the following: a) Ensure market stabilization utilizing over KRW40 trillion of the remaining capacity of the market stabilization programs. - Flexibly adjust the eligibility and size of the support in accordance with market situations. Authorities will widen the pool of eligible recipients and increase the maximum valueof bonds supported by the P-CBO (primary collateralized bond obligation) program (KRW5 trillion) in order to relieve businesses even with unfavorable credit ratings from difficulties in corporate bond issuance. b) Seek flexible and creative policy solutions, in responding to current crisis situation, that are not bound by the past crisis-handling experience and appropriate for current market situations. - Mobilize all available resources and capabilities in financial sectors to respond to the crisis by maintaining close cooperation with financial institutions, as well as relevant ministries. II. Authorities will thoroughly manage risks linked to real estate market a) Spare no effort to ensure a soft-landing of the real estate market as a countermeasure against a potential weakening of the real estate project finance (PF) which is considered as the biggest
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Dec 22, 2021

2022 Work Plan

The FSC announced its work plan for 2022 which will be focused on maintaining stability in the financial system, promoting advancement of the financial industry, supporting an overall growth of the economy and boosting financial inclusion. In order to achieve these goals, the FSC plans to (a) preemptively manage financial imbalances and work on an orderly exit and normalization from the pandemic-era policy, (b) seek innovation in the regulatory framework to promote digital transformation in the financial industry, (c) provide support for structural changes taking place in the economy and (d) ensure tailored support for vulnerable groups and enhance consumer protections. Key Achievements in 2017-2021 I. Stability in the Financial System The FSC has worked to maintain stability in the financial system by pursuing a consistent policy on household debt management and preemptively responding to the COVID-19 pandemic. In terms of household debt management, the pace of the household debt growth that has seen acceleration in 2020 has come down to a stable level in the second half of 2021 with improvements also seen in the quality of debt structure. The FSC has established groundwork for stably managing potential debt-related risks in the future. In response to the COVID-19 pandemic, the FSC has made available financial supports through the KRW175 trillion-plus support programs intended to help SMEs and small merchants as well as suppliers in the key industry sectors. II. Broadened Horizon of the Financial Industry The FSC has helped expand the horizon of the financial industry by promoting competition as well as convergence between different sectors. Through regulatory improvements, the FSC has lowered entry barriers for different types of financial companies and fintech firms and promoted innovation and digital transformation in the financial industry by introducing open banking and MyData services as well as an integrated public-sector financial open data platform. III. P
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Jan 19, 2021

2021 Work Plan

The FSC unveiled its work plan for 2021 on January 18, highlighting the four areas of policy tasks as follows(a) maintaining the COVID-19 financial support and managing potential risks, (b) supporting K-New Deal initiatives for a green and digital economy, (c) promoting financial innovation and digital finance and (d) strengthening financial consumer protection and support for vulnerable groups. KEY ACHIEVEMENTS IN 2017-2020 A. STEADY MAINTENANCE OF FINANCIAL STABILITY AMID COVID-19 PANDEMIC Over the past four years, the FSC has focused on maintaining stability in the financial system as its utmost policy priority. In the wake of the COVID-19 pandemic, the FSC responded by quickly drawing up and providing financial support packages worth KRW175 trillion-plus and worked to prevent the crisis from spreading further into the financial markets. B. SUCCESSFUL CHANNELING OF FUNDS TO PRODUCTIVE SECTORS The FSC has worked to expand the supply of capital into more productive sectors by introducing innovative ways to assess corporate credit and through revisions to the relevant capital markets rules. In addition, the public sector has provided equity-based funding sources via growth ladder fund and other government-backed financing channels. C. ACTIVE PROMOTION OF COMPETITION AND INNOVATION IN FINANCIAL INDUSTRY The FSC has granted new business licenses to internet-only banks, insurance firms and real estate trust companies based on an industry-level competition assessment. In order to promote and expand financial innovation, the FSC has also worked to establish the necessary infrastructures, including the regulatory sandbox, open banking and MyData in financial services. D. ENHANCED INCLUSIVENESS VIA MICROFINANCE SUPPORT AND CONSUMER PROTECTION The FSC has worked to reduce the interest payment burdens of lower income households by lowering the maximum interest rate that can be charged on loans from 24% to 20%. E. IMPROVED FAIRNESS BASED ON RULES AND PRINCIPLES The FSC has al
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Feb 17, 2020

2020 Work Plan

The Financial Services Commission along with other economic ministries presented the 2020 Work Plan on February 17, 2020. The FSC has outlined 10 key policy tasks for this year, which include a) redirecting capital flow toward SMEs and start-ups with innovative technologies and future growth potential, b) working on bold reforms in financial regulations while fostering convergence between new technologies and finance, and c) promoting inclusive finance and establishing a reliable financial safety net to support a comeback for those who have been discouraged by failed business attempts.The following are some of the key achievements so far in the areas of financial innovation.► Outstanding balance of movable asset lending by local banks doubled from KRW800 billion at the end of 2018 to KRW1.6 trillion by the end of 2019.► Outstanding balance of loans to SMEs by local banks increased from KRW610 trillion at the end of 2016 to KRW747 trillion by the end of 2019.► Number of newly listed companies on the KOSDAQ market rose from 82 to 108 between 2016 and 2019.2020 FINANCIAL POLICY TASKS1. REDIRECT CAPITAL FLOW TOWARD BUSINESSES FROM HOUSEHOLDS REAL ESTATES► Prevent capital concentration in the real estate market and introduce a new loan-to-deposit ratio which will encourage more corporate lending by financial companies.2. PROVIDE TARGETED SUPPORT TO 1,000 INNOVATIVE FIRMS► Select 1,000 innovative firms through a government-wide cooperation with other ministries and provide both financial and non-financial assistance in the amount of KRW40 trillion.3. ALLOW DIVERSE TYPES OF ASSETS TO BE USED AS COLLATERAL► Push for a revision of the Act on Security over Movable Property, Claims, etc. to introduce a lump-sum collateral system through which companies are able to collateralize a diverse set of assets including machinery, raw materials and inventory, and set up a movable collateral registry which will help collect collaterals and non-performing loans on behalf of f
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Mar 07, 2019

2019 Work Plan

The FSC laid out a financial policy roadmap for 2019 aimed at promoting financial innovation, ensuring trust in finance and securing financial stability.► Financial innovation will be accelerated as the newly-enacted laws on online-only banks and financial regulatory sandbox take effect this year. Finance will also play an active role in financing SMEs and start-ups to boost economic vitality.► The FSC will establish a consumer-oriented system in which consumers are better informed and protected. The FSC will ensure fairness and transparency to protect investors and shareholders.► The FSC will remain vigilant against potential risks with close monitoring on financial markets and active policy responses.Key policy tasks1. Financial support to boost economic vitality► The government will provide a total of KRW 4.6 trillion in government-backed loans and loan guarantees for small and medium-sized shipbuilders, equipment and auto parts manufacturers.► The government launched in January a financial support program of KRW 15 trillion over the next three years to support SME’s investment in equipment, environmental safety facilities and business reshuffling.► The FSC will overhaul financing mechanisms to enable start-ups and SMEs to borrow or raise funds based on their growth potential.2. Financial stability and pre-emptive responses► The government will continue its policy efforts to curb household debts. Last year, household debt growth slowed down to 5.8%, the lowest since 2013. The government aims to keep household debt growth this year at the similar level – above 5% to below 6%. The debt service ratio (DSR), first introduced in the banking sector in October 2018, will be adopted in the non-banking sector as well in the second quarter of this year.► The government will preemptively manage corporate debt risks with enhanced evaluation system for credit risks and market-driven corporate restructuring.► The FSC will establish a regulatory and superv
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Jan 15, 2018

2018 Work Plan

The FSC announced its financial policy roadmap for 2018 outlining financial policy plans to promote innovation in finance and support innovation-led, sustainable growth for the Korean economy. We put our focus on the following four key policy tasks:- trustworthy finance with financial reforms and fair market order- productive finance to support innovation-led growth for the Korean economy- inclusive finance to better serve those underserved or marginalized- innovative finance to promote competition and innovation in financial servicesPolicy FocusI. Trustworthy financeThe FSC will continue our reform efforts across the financial sector to regain the public’s trust in finance. Financial regulators will take the lead with more transparency and credibility in our regulatory practices. We will work together with financial institutions and other market participants to reform improper business practices and ensure fair market order.► Better governance in financial institutionsThe FSC will improve governance in financial institutions to ensure transparency in CEO succession procedure; expertise and independence of external directors; and active participation of minority shareholder. Details will be announced in February.► Consolidated supervision on ‘financial conglomerates’The FSC will introduce a consolidated supervisory system on the so-called financial conglomerates, corporate groups with financial affiliates of over KRW 5 trillion in more than two sectors – e.g. insurance and securities, etc. The new supervisory scheme is designed to manage soundness and risk of financial affiliates at the group level in a systematic and consolidated manner. Details will be announced in February.► Advancement in corporate governanceThe FSC will devise policy and regulatory incentives to encourage further adoption of stewardship code by institutional investors. Mandatory disclosure of corporate governance reports will be phased in for listed companies, starting with large
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Jan 05, 2017

2017 Work Plan

The FSC outlined its financial policy direction for 2017, focused on (i) prompt and thorough response to financial market risks; (ii) financial support for stabilization of household livelihood; and (iii) financial reforms and innovation to revitalize the economy.I. Prompt and thorough response to financial market risks Financial market stability- The FSC will closely monitor financial markets to keep risk factors under control through a 24-hour emergency response system.- Measures will be taken to stabilize corporate bond market to ensure stable funding conditions for companies in response to increased volatility in financial markets. Household debt management- Guidelines on stricter screening of loan applications will be expanded to all financial institutions to make sure borrowers take loans that they can afford and repay in installments.- The FSC will set out a roadmap in the first quarter of 2017 for improved standards for screening a borrower’s creditworthiness - e.g. gradual introduction of debt service ratio (DSR) as a tighter standard to assess a borrower’s debt repayment ability. Corporate restructuring- Corporate restructuring will be carried out under consistent principles that emphasize a troubled company’s self-rescue efforts and burden sharing.- A new framework for corporate restructuring (‘Pre-packaged Plan’), which combines advantages of creditor-led debt workout and court-led rehabilitation, will be promoted to expedite business normalization of a troubled company. Sound financial market practice- The FSC will promote more transparency in corporate management and financial transactions by improving the current accounting and audit system, encouraging the introduction of ‘stewardship code’ to a wider range of companies and establishing sound financial market practice.II. Financial support for stabilization of household livelihood Microfinance support for low-income borrowers- The government will increase its injection of
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