Gov't plan to relocate state-run financial institutions to regional areas faces backlash
Major state-run financial institutions, including the Korea Development Bank (KDB), are intensifying their opposition to a possible government plan to relocate their headquarters out of Seoul, industry officials said Tuesday. Unions at three major policy lenders, the KDB, the Export-Import Bank of Korea and the Industrial Bank of Korea, have planned a joint rally against the relocation, while…
The Korea Development Bank, Export-Import Bank of Korea, and Industrial Bank of Korea are leading the pushback against a proposed government plan to move their headquarters away from Seoul, according to industry officials. Union representatives from these three major policy lenders, along with the Korea Deposit Insurance Corp. and Korea Trade Insurance Corp., have announced a coordinated protest against the relocation.
Similarly, the unions at the Korea Deposit Insurance Corp. and Korea Trade Insurance Corp. have also expressed their concerns through policy forums and statements. Although the government has not yet determined which institutions will be relocated, local governments like Busan are actively seeking to lure them to their areas. The unions of the three state-run banks, however, argue that relocating these financial institutions out of Seoul overlooks the dynamics of financial markets and could weaken their policy financing capabilities and overall national competitiveness by fragmenting essential financial entities.
They emphasize that "even concentrating all financial capabilities in one city is not enough to compete with global financial hubs."
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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