South Korea’s bank soundness rules are needed for financial stability, but speakers at a Korea Institute of Finance seminar warned Basel 3’s risk-weighted framework could strengthen banks’ preference for low-risk assets and curb productive finance such as corporate lending. They called for a more refined capital regulation system that keeps global consistency while addressing weak points in the final Basel 3 package. Discussions also flagged the growing impact of the output floor and potential double regulation within financial holding groups.

South Korea’s Personal Information Protection Commission held the second plenary meeting of the 2026 Personal Information Future Forum on May 20 and discussed “redesigning the definition of personal information in the AI era.” Speakers addressed the direction humanity should take in the AI era and practical and legal issues around accountability and transparency for lawful handling of personal information. Forum members said the current protection system should be reviewed and continued in-depth talks on policies suited to the AI era.