Shinhan Bank and NongHyup Bank Selected as Incheon City's 1st and 2nd Treasury Banks for 14 Trillion Won

Incheon City Hall

[Asia Economy Reporter Park Hyesook] Shinhan Bank and NH Nonghyup Bank have been respectively selected as the financial institutions to manage Incheon City's treasury, valued at 14 trillion won.

On the 10th, Incheon City held a treasury designation review committee and announced that Shinhan Bank was selected as the primary treasury bank and Nonghyup Bank as the secondary treasury bank to operate the city treasury from 2023 to 2026.

Shinhan Bank and Nonghyup Bank, which have operated Incheon City's primary and secondary treasuries respectively since 2007, will thus manage the city's treasury for 20 consecutive years until 2026.

Based on the 2022 main budget, the primary treasury handles a total of 12.3908 trillion won including the city's general accounts, public enterprise special accounts, and funds, while the secondary treasury manages other special accounts worth approximately 2.0063 trillion won.

Earlier, as the four-year treasury operation agreement period expires this December, the city issued a public competitive announcement to select the next financial institutions.

For the primary treasury, KB Kookmin Bank, Shinhan Bank, and KEB Hana Bank participated, while for the secondary treasury, KB Kookmin Bank, Nonghyup Bank, and KEB Hana Bank took part.

The selection of the city treasury was evaluated based on proposals submitted by financial institutions applying for treasury designation, in accordance with the Ministry of the Interior and Safety regulations and ordinances, focusing on ▲internal and external creditworthiness and financial stability of the institution ▲loan and deposit interest rates for the city ▲convenience for citizens ▲management capability of treasury operations ▲contributions to the local community and cooperative projects with the city.

Incheon City plans to announce the treasury designation on the city website within this month and sign treasury agreements with each financial institution next month.