Jeju Bank said on April 14 it will take part in a Financial Services Commission pilot programme for an AI-based credit scoring model tailored to small merchants. It said it is the only regional bank among seven participating lenders. The commission plans to complete rule changes and system development by August and begin SCB-based loan screening with pilot operators, with plans to expand participation across the financial sector.

South Korea plans to let small business owners with limited credit histories seek bank loans using AI-based credit assessments built on non-financial data such as sales, business type and trade area conditions. The Financial Services Commission unveiled a small business-focused credit assessment system that grades growth prospects in 10 tiers and can lift existing credit ratings. Seven banks will pilot it from August in loan screening worth about 1.8 trillion won, with expansion planned later.