[Asking the Four Major Financial Groups about Their New Strategies] Woori Financial Chairman Lim Jongryong: "Lim Jongryong's Second Term to Drive Full-Fledged Growth as a Comprehensive Financial Group"

New Year Interview
Three Major Strategies: Productive Finance, AX Leadership, and Synergy Creation
Expanding Synergy Across Banking, Securities, and Insurance
Focusing on Core Competencies While Keeping M&A Opportunities Open

Lim Jongryong, Chairman of Woori Financial Group. Woori Financial Group Holdings

"We have established three major strategic directions for this year: advancing productive finance, leading the AI transformation (AX), and creating synergy. Through these, we will achieve balanced growth between our banking and non-banking sectors."

Lim Jongryong, Chairman of Woori Financial Group, shared this vision in a written interview with The Asia Business Daily on January 8, as he enters his second term. Chairman Lim was the sole candidate recommended by the Executive Candidate Recommendation Committee at the end of last year and is set to begin his second term following the general shareholders’ meeting in March. While his first term was marked by completing the group’s portfolio as a comprehensive financial group through acquisitions such as insurance companies, his plan for the second term is to focus on strengthening the competitiveness of the securities and insurance divisions, thereby driving balanced growth and synergy between the banking and non-banking sectors.

"Positive Outlook for the Financial Industry Despite Growing Uncertainty... Transforming the Structure through 'Productive Finance'"

Chairman Lim stated, "According to projections from major institutions such as the International Monetary Fund (IMF), the global economy is expected to slow only slightly from 3.2% last year to 3.1% this year, despite concerns over shrinking global trade due to tariff increases by the Trump administration. This outlook is supported by accommodative financial conditions and increased fiscal spending in major economies, as well as continued investment in artificial intelligence (AI)."

He continued, "Despite a slowdown in exports due to U.S. tariff hikes, the domestic economy is expected to improve, driven by robust performance in the semiconductor sector, an expansionary macroeconomic policy stance, increased supply of productive finance, and a recovery in construction investment. As a result, the growth rate is projected to rise from 1.0% last year to 1.8% this year."

However, he made it clear that uncertainty in the business environment remains, and it is difficult to predict the direction of major indicators such as exchange rates and interest rates. Nevertheless, Chairman Lim emphasized, "Improvements in the domestic economy and government measures to vitalize the capital market will have a positive impact on the overall business environment of the financial industry this year, including banking, securities, and insurance. In particular, expanding productive finance will raise the potential growth rate of our economy and ultimately contribute to the sound growth of the financial sector."

Regarding the foreign exchange market, he predicted that exchange rate volatility would remain high due to both domestic and external uncertainties. Chairman Lim explained, "This year, the won-dollar exchange rate is expected to be in the range of 1,350 to 1,400 won. Factors such as the domestic economic recovery, narrowing interest rate differentials between Korea and other countries, continued current account surpluses, and improved foreign exchange supply and demand conditions resulting from Korea’s inclusion in the World Government Bond Index (WGBI) will all affect the exchange rate."

"Driving Future Co-Growth through Productive Finance, AX Leadership, and Synergy Creation"

Chairman Lim presented three major strategic priorities for this year: productive finance, leading AX, and creating synergy. He regarded productive finance not merely as a policy task but as a core strategy to secure future growth engines. Chairman Lim stressed, "Productive finance is the area where Woori Financial Group, renowned for its corporate finance, is most confident and excels. It is also a domain where we must regain our competitiveness." He also expressed his commitment to promoting practical inclusive finance for financially vulnerable groups and small business owners, and to making consumer protection the top management priority, thereby faithfully fulfilling the social role of finance.

He also identified leading AX as a key group initiative. Chairman Lim said, "AI innovation is reshaping our society and industries, and the institutionalization of digital assets such as stablecoins is rapidly forming a new financial ecosystem. We must deepen our execution so that the results of AX in core areas such as screening, consulting, and internal control are felt as tangible changes. We also need to proactively respond to regulatory changes surrounding digital assets."

Finally, Chairman Lim outlined his vision for creating synergy as a comprehensive financial group. He stated, "This year marks a new starting point for Woori Financial Group as a comprehensive financial group encompassing banking, insurance, and securities. We must enhance the competitiveness of core businesses in each sector and expand group-level synergy to lay the foundation for sustainable growth." Unlike in the past, when the focus was on expanding scale, this year’s strategy is to concentrate on strengthening core competencies.

However, he left open the possibility of additional mergers and acquisitions (M&A). Chairman Lim added, "Having completed our comprehensive financial group portfolio last year by entering the securities and insurance businesses, the focus of my second term will be on achieving balanced growth and synergy between the banking and non-banking sectors. Nevertheless, we will continue to monitor strategic opportunities."