Ruling and Opposition Parties Clash Over Dissolution of Financial Services Commission at National Assembly Committee

Ruling Party: "No Final Decision Yet on Dissolution of Financial Services Commission"

Lee Eokwon, nominee for the Financial Services Commission chairman, is talking with officials at the confirmation hearing held by the National Assembly's Committee on Economy and Finance on September 2, 2025. Photo by Kim Hyunmin

The ruling and opposition parties clashed over the proposed organizational restructuring of financial supervisory authorities, including the dissolution of the Financial Services Commission.

On the morning of September 2, during the National Assembly's Committee on Finance and Economy confirmation hearing for Lee Eokwon, nominee for chairman of the Financial Services Commission, the two parties engaged in a war of nerves over reports that the ruling party and government had agreed the previous day to dissolve the Financial Services Commission and process related amendments to the Government Organization Act at the National Assembly plenary session scheduled for September 25.

Kang Minguk, a lawmaker from the People Power Party, stated, "Yesterday, the Office of the President and Democratic Party members of the Committee on Finance and Economy reportedly held a party-government consultation on the financial supervisory system reform plan. The main points of the consultation included dissolving the Financial Services Commission and transferring policy functions to the Ministry of Economy and Finance. I urge the government and the Democratic Party to clearly state their official positions."

Lee Yangsu, also from the People Power Party, added, "There were reports that the Democratic Party intends to process the Government Organization Act revision, including the dissolution of the Financial Services Commission, at the plenary session on the 25th. If the confirmation hearing is held today, it will take about 10 to 15 days until the appointment. Are we holding this hearing just to have the nominee work for ten days?" He called for the hearing to be postponed.

The Democratic Party countered that the financial supervisory authority restructuring plan reported in the media was not finalized and insisted that the hearing proceed as scheduled.

Kang Junhyun, a lawmaker from the Democratic Party of Korea, acknowledged, "It is true that there was a party-government meeting yesterday," but argued, "It is not at the decision stage, and no one said the bill would be processed on the 25th." Park Beomgye, another lawmaker from the same party, emphasized, "The dissolution theory mentioned by some media outlets is baseless. It is not possible to reform the Financial Services Commission without the consent of opposition committee members."

Yoon Hanhong, chairman of the Committee on Finance and Economy and a member of the People Power Party, stated, "Rather than arguing amongst ourselves, it would be better to reconfirm the intentions of the Office of the President in Yongsan," and temporarily adjourned the hearing in the morning. After an agreement between the parties, the hearing resumed.