A long-standing expectation of CEO reappointment in South Korea’s financial sector is being tested after KB Financial Group chose Lee Jae-geun as its next chairman instead of reappointing Yang Jong-hee. Attention is turning to Sh Suhyup Bank’s selection of its next chief executive, with a final candidate due on Sept. 22. Major bank CEO terms also end on Dec. 31, while the Financial Supervisory Service plans tighter checks of succession processes.

South Korea\'s financial authorities expanded the scope of eased network separation rules for AI use to secondary financial institutions and electronic financial business operators. The number of firms to be selected rises to as many as 15, and eligibility thresholds are lowered. Selected institutions can use external AI and security SaaS after putting alternative controls in place. Industry expectations are mixed, with some firms cautious. Global fintech investment rose to $103.1 billion in the first half, with focus expected to shift to AI and financial infrastructure.