[THE INVESTOR] Korea‘s banking lobby group urged the government of President Moon Jae-in on May 29 to embrace deregulation of the banking industry and increase “flexibility” in the labor sector.

The Korea Federation of Banks delivered the proposals that contain 14 tasks to the State Affairs Planning Advisory Committee, a de facto transition team for Moon.

Ha Yung-ku, chairman of the federation, told reporters that deregulating is essential for banks to tackle slower growth and find new growth engines.

One of the proposals called for the government to soften rules for a bank to easily make inroads into insurance or brokerage businesses.

Another proposal is the easing of restrictions on ownership of a financial firm by a non-financial firm.

The federation also urged the government to allow banks to freely set commission fees or dividend payments while ensuring the governance structure for financial holding firms.

By Alex Lee and newswires (alexlee@heraldcorp.com)