Chairman Kim Byoung Hwan of the Financial Services Commission met with Governor Lee Bok-hyun of the Financial Supervisory Service on August 1 for the first time in his capacity as the Chairman of the FSC and exchanged views on the importance of effectively managing risks emanating from high levels of household debt, real estate project finance, debt burden on small businesses, and the prudential management in the nonbanking sector. Chairman Kim and Governor Lee also exchanged opinions on the significance of megatrends in the global economy, such as shift in global supply chains, changing demographic structure, climate risk, technological advance, and so on, and their impact on the financial industry and market. In this regard, the two leaders agreed to seek bold reform in regulations to promote external growth of our financial industry, while continuing to work on making further improvements to our capital market system and ensuring protection for financial consumers. While stressing the importance of trust as a key principle in financial sectors, the two leaders pledged to closely communicate and cooperate going forward.