Exim Bank says aerospace competitiveness study not aimed at divestiture
Export-Import Bank of Korea Governor Hwang Ki-yeon drew a line Tuesday against speculation that the bank plans to sell its stake in Korea Aerospace Industries, dismissing privatization talk that has swirled since Hanwha Group recently expanded its shareholding in the company.
Speaking at the National Assembly's Finance and Economy Planning Committee national audit, Hwang responded to a question from Democratic Party of Korea lawmaker Yun Hu-deok, who asked whether a consulting project the bank commissioned on the space and aviation industry was intended to pave the way for a KAI stake sale or governance restructuring. "The study was not conducted on the premise of privatization or a sale," Hwang said. "There are currently no plans to sell our KAI stake."
He said the study was meant to gather a range of views on how the bank, as a policy financial institution, should play its role in the space and aviation sector by analyzing domestic and international conditions. However, he stopped short of ruling out future action on the stake, saying it was "difficult to speak definitively about plans going forward."
The bank commissioned the "strengthening competitiveness of the space and aviation industry" consulting project in August at a cost of 1.8 billion won ($1.35 million). The contract prompted market speculation that it was connected to a potential sale of the bank's KAI stake or changes to the company's ownership structure.
Hanwha Group raised its KAI shareholding to 15.89 percent in August, making it the second-largest shareholder. The Export-Import Bank of Korea remains the largest shareholder with a 26.41 percent stake.
Also at the national audit, Hwang said the bank would expand its policy finance role to strengthen export competitiveness. The bank has launched a five-year, 22 trillion won AI transformation special program to support companies' shift to AI, and is also stepping up support for the defense industry, supply chains and regional businesses.
rim@heraldcorp.com
