S. Korea Assembly Passes Key Reform Bills

ByBridgeNews South Korea's legislative body, The National Assembly, Oct. 9 put aside political differences and ratified key bills to introduce financial holding companies and corporate restructuring vehicles to facilitate the country's financial and corporate reform agenda. The ratification of the bill on financial holding companies paves the way for Korean authorities to establish a holding company and integrate unstable financial institutions under a single roof, allowing them to expand their operations and improve efficiency, the Ministry of Finance and Economy explains. The corporate restructuring vehicle bill will enable financial institutions participating in debt restructuring of their corporate clients to speed up the normalization of a company by siphoning off bad assets. The National Assembly also approved bills to extend the period requiring hedge funds and non-residents to secure permission before applying for domestic currency loans as well as allowing investment trust companies to market tax-exempt financial products.