Former BOK exec to attract HK firms to Busan
A former Bank of Korea deputy governor started leading Busan’s efforts to become Asia’s next premier financial hub by attracting global financial firms leaving Hong Kong.
Kim Jong-hwa, who had also served as the president of the Korea Financial Telecommunications and Clearings Institute, was appointed the first president of the Busan International Financial Promotion Agency which began its operation Wednesday.
Refusing to hold an inaugural ceremony or an interview to concentrate on his tasks, the 60-year-old will be in charge of attracting global financial institutions and international organizations, and devising mid- to long-term strategies to boost the city’s financial industry for the next three years.
“Based on his experience and capability, he is expected to foster Busan’s financial industry,” Busan Vice Mayor for Economic Affairs Park Sunghoon said.
According to the Busan Metropolitan Government, the agency will serve as the control tower for the city’s financial hub vision in collaboration with the Korea Exchange, the Korea Securities Depository, the Korea Asset Management Corporation, the Korea Housing Finance Corporation, the Korea Ocean Business Corporation, BNK Busan Bank and the Korea Technology Finance Corporation.
For the establishment of the think tank costing 2.2 billion won ($1.8 million), Busan paid 700 million won, while the institutions collectively paid 1.5 billion won.
“With the opening of the agency, Busan’s efforts to attract foreign financial institutions will likely gain momentum,” Busan Acting Mayor Byeon Sung-wan said.
In June, the nation’s second-largest city declared it will seek to attract multinational banks, asset management companies and venture capital firms leaving Hong Kong, saying that its move comes as Asia’s leading financial hub has demonstrated instability amid the COVID-19 pandemic and Beijing tightening its grip over the “special administrative region.”
In this regard, Busan plans to hold a web conference this month to introduce itself to financial firms in Hong Kong. It will also conduct an on-site investor roadshow there and visit companies there in collaboration with the Financial Supervisory Service, when Hong Kong’s travel restrictions are lifted.