Lee meets SC Group CFO, CRO at Government Complex Seoul

Both sides agree on need for 'safe, responsible' AI transformation

Talks also cover ways to boost Korea's financial hub competitiveness

FSC Chairman Lee Eok-won (center) meets with Manus Costello (left), chief financial officer of Standard Chartered Group, and Jason Forrester, chief risk officer, at Government Complex Seoul in Jongno-gu, Seoul, on Monday afternoon to discuss changes in the global financial environment driven by AI and other technological innovations, as well as emerging risk factors and response measures. [Financial Services Commission]
FSC Chairman Lee Eok-won (center) meets with Manus Costello (left), chief financial officer of Standard Chartered Group, and Jason Forrester, chief risk officer, at Government Complex Seoul in Jongno-gu, Seoul, on Monday afternoon to discuss changes in the global financial environment driven by AI and other technological innovations, as well as emerging risk factors and response measures. [Financial Services Commission]

Financial Services Commission Chairman Lee Eok-won met with senior executives of Standard Chartered Group on Monday to discuss how the spread of AI is reshaping the financial landscape and what risks it may bring.

The FSC said Lee held talks at Government Complex Seoul with Manus Costello, Standard Chartered Group's chief financial officer, and Jason Forrester, its chief risk officer.

The two sides reviewed the impact of AI and other technological innovations on the global financial industry and examined potential new risk factors arising from those changes. They agreed that as the financial sector accelerates its AI transformation, managing latent risks and deploying technology safely and responsibly is critical.

The meeting also covered ways to strengthen Korea's competitiveness as a global financial hub. Seoul ranked seventh and Busan 22nd in the Global Financial Centres Index released in September, with both cities posting their highest-ever rankings. The GFCI is published twice a year by Z/Yen, a British financial consultancy, and assesses the financial competitiveness of major cities worldwide.

Standard Chartered Group said Korea has a solid foundation to grow into a global financial hub, citing its large export and industrial base, a developing capital market, and advanced IT and digital capabilities. The group also said it intends to contribute to strengthening the international competitiveness of Korea's financial industry by leveraging its global network and on-the-ground experience.

Lee said the government would continue to improve the regulatory framework and environment needed for Korea to emerge as a global financial hub, building on the seventh Basic Plan for Financial Centers announced in August. He added that the FSC would broaden communication with global financial firms, including Standard Chartered Group, and incorporate their feedback into policy.

Meanwhile, at the National Assembly's national audit of the FSC on Thursday, Lee had also signaled his willingness to ease network-separation regulations to allow the use of AI for cybersecurity, in response to growing AI-based hacking threats targeting the financial sector. "To counter AI, we ultimately have no choice but to use AI," he said, adding that the FSC is reviewing a phased relaxation of network-separation rules on the condition that security is ensured.


rim@heraldcorp.com