President Moon's First Financial Sector Meeting Since Inauguration: "Speed Is Key in COVID-19 Funding Support"

President Moon Jae-in is presiding over an on-site meeting for emergency financial support for companies and small business owners in response to COVID-19, held on the 6th at the Korea Federation of Banks building in Jung-gu, Seoul. [Image source=Yonhap News]

[Asia Economy Reporter Son Sun-hee] On the 6th, President Moon Jae-in held an emergency on-site meeting with financial sector officials regarding the 100 trillion won-scale 'Livelihood and Financial Stability Package' prepared to overcome the novel coronavirus disease (COVID-19) crisis. He emphasized, "It is important that the implementation is timely and in the right place," and urged, "Small business owners and self-employed people, who were the first to be directly hit by COVID-19, still face many difficulties in obtaining loans. Please pay special attention to this." This was the first time since his inauguration that President Moon held a meeting with policy and private financial institution representatives in one place.

That afternoon, President Moon held the 'COVID-19 Response Emergency Financial Support On-site Meeting for Enterprises and Small Business Owners' at the Korea Federation of Banks conference room in Jung-gu, Seoul, stating, "Just as the dedication of medical staff saves patients, proactive financing can save companies, small business owners, and the self-employed," urging the swift execution of financial support measures.

President Moon said, "For small business owners, their business premises are their livelihood itself," adding, "Although the workload may be overwhelming, I believe you understand the importance of speed since this is emergency funding for those facing immediate threats to their livelihood." He continued, "Financial support for companies must also be supplied sufficiently and timely where needed," emphasizing, "Protecting companies from the shock of COVID-19 is essential to safeguarding jobs and the lives of the people. It is crucial that financial support is provided quickly and smoothly at the frontline and loan counters."

He also firmly expressed the intention to exempt from liability any unintentional mistakes made during the rapid provision of loans and guarantees. President Moon stated, "There may be unintended errors in the active supply of funds," and assured, "If there was no deliberate wrongdoing, neither institutions nor individuals will be held accountable by the government or financial authorities. I clearly promise this." He added, "Additional measures may be necessary depending on how the situation unfolds," and said, "Even if more difficult circumstances arise, if the government leads and the financial sector cooperates, we can overcome and strengthen our resilience."

Regarding the 100 trillion won-scale emergency financial measures announced through the first and second emergency economic meetings, President Moon said, "These measures could not have been prepared without the active cooperation of the financial sector," and expressed, "Now is the time when the role of finance is most important. I am very grateful that the financial sector understands this well and is doing its best." He also expressed gratitude to the National Financial Industry Labor Union for supporting and joining the joint declaration of labor, management, and government for overcoming COVID-19.

President Moon requested, "I hope finance becomes a source of hope for the people and companies in times of crisis," and asked, "Please be a reliable umbrella for companies facing storms." He added, "Since the Bank of Korea has decided to provide sufficient liquidity to support the efforts of the financial sector, it will be a great help if the financial sector continues to cooperate," and assured, "The government will listen and actively assist."

At the meeting, all five major domestic financial holding company chairpersons attended, including Kim Tae-young, Chairman of the Korea Federation of Banks; Yoon Jong-kyu, Chairman of KB Financial Group; Cho Yong-byeong, Chairman of Shinhan Financial Group; Kim Kwang-soo, Chairman of NongHyup Financial Group; Kim Jung-tae, Chairman of Hana Financial Group; and Sohn Tae-seung, Chairman of Woori Financial Group. Policy finance officials also attended, including Lee Dong-geol, President of KDB Industrial Bank; Bang Moon-kyu, President of Korea Eximbank; Yoon Jong-won, President of IBK Industrial Bank; Yoon Dae-hee, Chairman of the Korea Credit Guarantee Fund; Jung Yoon-mo, Chairman of the Korea Technology Finance Corporation; Cho Bong-hwan, Chairman of the Small Enterprise and Market Service; and Kim Byung-geun, Chairman of the Korea Credit Guarantee Foundation.

From the government, Deputy Prime Minister and Minister of Economy and Finance Hong Nam-ki; Minister of SMEs and Startups Park Young-sun; Financial Services Commission Chairman Eun Sung-soo; Financial Supervisory Service Governor Yoon Seok-hyun; and from the Blue House, Chief of Staff to the President Noh Young-min; Policy Chief Kim Sang-jo; Senior Secretary for Jobs Hwang Deok-soon; Senior Secretary for Economic Affairs Lee Ho-seung; and Economic Secretary Park Bok-young were present.