The Significance of the Surprise Meeting Between Chairman Eun Seong-su and Director Yoon Seok-heon in Yeouido

Emphasizing 'Communication and Harmony' Instead of 'Conflict'
Will Financial Authorities' Confusion Be Sealed?

Eun Sung-soo, Chairman of the Financial Services Commission (first from the right), is having a luncheon meeting on the 5th in Yeouido, Yeongdeungpo-gu, Seoul, with Yoon Seok-heon, Governor of the Financial Supervisory Service (second from the left), and other deputy governors of the Financial Supervisory Service.

[Asia Economy Reporter Jo Gang-wook] Eun Sung-soo, Chairman of the Financial Services Commission, and Yoon Seok-heon, Governor of the Financial Supervisory Service, held a surprise luncheon meeting. The market is paying attention to whether the ongoing conflict rumors can be resolved, given that the two financial authorities emphasized communication and cooperation during their meeting.

According to the financial sector on the 6th, Chairman Eun had lunch with Governor Yoon and the newly appointed deputy governors at a restaurant located in Yeouido, Seoul, the day before.

The Financial Services Commission explained that this meeting took place after the appointment of the Financial Supervisory Service’s deputy governors on the 4th, with Chairman Eun visiting Yeouido in person to emphasize 'communication' and 'collaboration.'

Present at the meeting were Chairman Eun, Governor Yoon, Secretary-General Kim Tae-hyun, newly appointed deputy governors Kim Geun-ik, Choi Sung-il, Kim Do-in, and Director of Consumer Protection Kim Eun-kyung. It is known that the luncheon was first proposed by Chairman Eun to Governor Yoon.

The luncheon was an occasion for exchanging well-wishes and building consensus. Chairman Eun said, "We must unite and strive to become a healthy organization," to which Governor Yoon responded, "With the new team in place, we will work together effectively."

Earlier, immediately after the deputy governor appointments, Chairman Eun urged Governor Yoon to "carry out the given tasks swiftly and without disruption, including financial support and field inspections in response to COVID-19, financial consumer protection, and management of financial company soundness."

In the financial sector, Chairman Eun’s surprise move is seen as an effort to cover up the conflict rumors that had arisen between the Financial Services Commission and the Financial Supervisory Service over the deputy governor appointments and to strengthen communication.

A Financial Services Commission official said, "It was a meeting for introductions," adding, "No specific issues were discussed; it was a time for encouragement and reminders."

Some speculate that the surprise meeting between the two leaders signals a resolution of the turmoil within the financial authorities, which had even sparked rumors of Governor Yoon’s replacement.

Governor Yoon, who had initially announced plans to abolish the senior deputy governor position, postponed the implementation, showing signs of moving away from a confrontational stance toward the Financial Services Commission, which supports this view.

Governor Yoon accepted the tradition of appointing a Financial Services Commission official as the senior deputy governor. Considering that a Financial Services Commission official had acted as the second-in-command at the Financial Supervisory Service, the abolition of the senior deputy governor position was interpreted as the Financial Supervisory Service’s intention to establish an independent yet horizontal relationship with the Financial Services Commission.

A financial sector official said, "The fact that Chairman Eun visited Yeouido in person to meet Governor Yoon, rather than calling him over, can be interpreted as extending the first hand of reconciliation," adding, "Governor Yoon also appears to have stepped back from his stance of rejecting Financial Services Commission interference and is showing willingness to establish a horizontal relationship with the Commission."