Shinhan Bank Opens Representative Office in Hungary... Fourth Entry into Europe

Conducted Market Research Focused on Central and Eastern Europe... Supporting Korean Companies Entering Hungary

[Asia Economy Reporter Kwangho Lee] Shinhan Bank announced on the 21st that it obtained local approval from the Hungarian National Bank last September and opened a representative office in Budapest, Hungary, becoming the first commercial bank to do so.

The Hungarian office, which opened on the 19th, marks the first new overseas expansion into a country in three years since Shinhan Bank opened its branch in Mexico in 2018. It is also the first entry into Hungary by a commercial bank, excluding the local subsidiary of the Korea Development Bank.

Shinhan Bank has established a local network centered on its London branch (UK), Shinhan Bank Europe (Germany), and its Poland office. With the opening of the Hungarian representative office, it plans to strengthen its network in the Central and Eastern European region, where Korean companies are actively expanding.

Going forward, the Hungarian representative office will conduct market research in the Central and Eastern European region to actively support the expansion and financial operations of Korean companies, and plans to consider additional entry into the financial industry.

Hungary, located at the geographical center of Central and Eastern Europe, has recently recorded rapid economic growth centered on global industries such as secondary batteries, automobiles, and electronics. Foreign investment continues to increase based on relatively low labor costs, corporate tax rates, and preferential policies for foreign-invested companies.

In particular, Korean companies ranked first in investment among all foreign direct investments in Hungary in 2019, demonstrating active investment by Korean companies.

A Shinhan Bank official said, "We promoted the opening of the Hungarian representative office to grow together with our customers by expanding the overseas network necessary for them," adding, "We will continue to grow as a global financial partner that provides optimal solutions to connect customers with overseas networks in the most comfortable way."