New FSS chief calls for tighter risk management, independence
[THE INVESTOR] Korea’s top financial regulator on May 8 stressed independence as a key virtue of his institution so it can fully serve its role of managing financial risks.
Yoon Suk-heun, 70, made the remarks upon taking office as the chief of the Financial Supervisory Services.
He was picked last week to replace Kim Ki-sik, who resigned in April over alleged ethical lapses during his service as a lawmaker.
“The essence of financial supervision is to take pre-emptive actions against potential threats, while sternly dealing with risks facing our time,” Yoon said. “Based upon checks and balances, the FSS should play a pivotal role in that risk management.”
Pointing to snowballing household debt as an example of the FSS‘ failure to properly put the breaks on the government’s policy measures, he emphasized maintaining independence as one of his key principles in running the institution.
“The function of supervision should not become a means of conducting administrative affairs,” Yoon said, hinting that the FSS could abandon its long-held role of supporting the Financial Services Commission. “Thorough and fair supervision will guarantee benefits to customers.”
By Song Seung-hyun and newswires (email@example.com)