Visits to Switzerland, Germany and UK run Sunday through Saturday
Meetings with London financial institutions to broaden cooperation
Korean financial firms' local challenges to be heard
FSC Chairman Lee Eok-won will pursue a memorandum of understanding with the European Central Bank covering cooperation in banking supervision. The move is intended to wrap up roughly two years of negotiations between the two sides and formalize supervisory cooperation between South Korea and the EU.
The Financial Services Commission said Lee will travel to Switzerland, Germany and the United Kingdom from Sunday through Saturday. The trip will include participation in international financial stability discussions, as well as efforts to deepen cooperation with European financial authorities and identify ways to support South Korean financial firms operating in the region.
Lee is scheduled to meet Frank Elderson, vice chair of the ECB's Supervisory Board, to discuss avenues for banking supervision cooperation. The two institutions have been in talks on an MOU since 2024, and the visit is expected to serve as the occasion for finalizing the agreement.
Lee will also attend the plenary meeting of the Financial Stability Board, which brings together financial regulators and central bank officials from major economies. The gathering will focus on assessing vulnerabilities in global financial markets and discussing responses to emerging issues such as AI and stablecoins. Member countries are expected to share their policy experiences and consult on the FSB's key work agenda for next year.
In London, Lee will meet with financial regulators and industry representatives to broaden the scope of cooperation. Lee plans to discuss ways to expand mutual market access and investment between the two countries with John Slinger, a member of the UK Parliament who serves as the country's trade envoy to South Korea. Lee will also meet Bronek Masojada, the newly appointed Lord Mayor of the City of London, to exchange views on strengthening London as a global financial hub.
Meetings with senior industry executives are also on the agenda to gauge trends in the local financial sector. Lee is set to meet Bill Winters, CEO of Standard Chartered Group; Grégoire Pesquié, global head of fixed income at Amundi; and Charles Roxburgh, CEO of Lloyd's of London, to discuss key issues facing the banking, asset management and insurance industries.
In addition, Lee will hold roundtable sessions in Frankfurt and London with representatives of South Korean financial firms operating locally. The meetings are aimed at hearing about regulatory and business difficulties they face, with plans to relay any pressing concerns to European financial authorities and work toward solutions.
The FSC said it intends to use the trip to broaden its cooperative foundation with major European financial regulators and support the overseas expansion of South Korean financial firms and fintech companies.
Meanwhile, Lee expressed caution Friday over a proposal to activate a stock market stabilization fund at a capital markets policy meeting convened by President Lee Jae-myung. Rather than intervening on the basis of market volatility alone, Lee said authorities should comprehensively weigh factors including the level of systemic risk and the actual stabilizing effect such a fund would have on markets.
rim@heraldcorp.com
