Kim Byung-hwan, Chairman of the Financial Services Commission, Begins First Overseas Visit with 'Value-Up' Cooperation in Japan

Resumption of Korea-Japan Financial Authorities Shuttle Meeting
Meeting with Ito Hideki, Commissioner of Japan Financial Services Agency, on the 3rd
Visit to Japanese Value-Up Listed Companies
Roundtable with Korean Financial Firms

On the afternoon of the 3rd, Kim Byung-hwan, Chairman of the Financial Services Commission, met with Ito Hideki, Commissioner of the Japan Financial Services Agency, at the Japan Financial Services Agency building in Tokyo to exchange views on the recent financial market situation and current issues, and to discuss ways to strengthen mutual cooperation.

On the 3rd, Kim Byung-hwan, Chairman of the Financial Services Commission, met with Ito Hideki, Commissioner of the Japan Financial Services Agency, to discuss ways to strengthen Korea-Japan financial cooperation and capital market value-up collaboration. This meeting followed the decision to resume Korea-Japan financial authorities' shuttle talks last year.

The Financial Services Commission announced on the 4th that Chairman Kim visited Tokyo, Japan, completing a schedule that included △a meeting with the Commissioner of the Japan Financial Services Agency △a visit to value-up disclosure companies △and a roundtable with local Korean financial firms. The Yoon Suk-yeol administration resumed Korea-Japan 'shuttle diplomacy' last March after 12 years. As part of this, the heads of the financial authorities of both countries met to strengthen financial cooperation between the two nations.

Chairman Kim and Commissioner Ito Hideki agreed to enhance Korea-Japan cooperation to effectively respond to volatility in the global financial markets. This is because major countries such as the United States, the European Union (EU), and Japan are at turning points in their monetary policies and economic conditions, and variables such as the U.S. presidential election remain that could significantly impact the global economy. The financial heads of both countries assessed that there is a considerable risk of increased volatility in the global financial markets going forward.They shared the recognition that cooperation between the two countries can play a significant role in addressing such market volatility. Furthermore, they agreed to proceed with detailed discussions for closer cooperation.

Financial Services Commission Chairman Kim Byung-hwan visited Concordia Financial Group in Tokyo, Japan, on the morning of the 3rd and took a commemorative photo with Onodera Nobuo, CEO of Concordia Financial Group.

A notable aspect of this meeting was the exchange of views on capital market policies. The financial heads of both countries emphasized the virtuous cycle of effective growth and distribution through capital markets. The Financial Services Commission is promoting the strengthening of competitiveness of capital markets and listed companies through 'capital market advancement' and 'corporate value-up' for the dynamism and sustainable growth of the Korean economy.

Japan has also been pursuing policies under the banner of becoming an 'asset management nation,' including expanding investment demand and reforming the asset management industry. One of the systems implemented in this process is the 'value-up related disclosure recommendation.' Currently, the Financial Services Commission is considering ways to encourage domestic companies to participate in value-up disclosures. Chairman Kim visited Concordia Financial Group, energy company INPEX, and the global telecommunications company SoftBank to gain insights on value-up policies from the Japanese field.

At this occasion, Chairman Kim stated, "In Japan, it is evaluated that the early-stage implementation of the system contributed to spreading a participatory atmosphere for leading and exemplary disclosures by companies across various industries, including large corporations with top market capitalization." He added, "We expect Korean large corporations to faithfully perform such roles as well."

Meanwhile, the financial heads of both countries reviewed the implementation status of the 7th regular Korea-Japan financial authorities' meeting and plans for the 8th meeting. As announced at the 7th meeting, the Korea Development Bank will hold NextRound, an IR event for Korean startup companies targeting Japanese investors, in Tokyo this November. The 7th meeting was held in Seoul last December.

Chairman Kim Byung-hwan and Commissioner Ito Hideki agreed on the importance of continuously strengthening financial cooperation between Korea and Japan beyond next year, which marks the 60th anniversary of the normalization of diplomatic relations between the two countries.