Financial market jitters in South Korea are growing as the Middle East war drags on, pushing oil prices higher and strengthening the dollar. The won has risen above 1,500 per dollar, near the highest level in about 17 years, while foreign outflows add to volatility in the KOSPI. Separately, banks, internet-only lenders and fintech platforms are intensifying competition for sole proprietor refinancing loans as infrastructure opens up.

Shinhan Bank said on Thursday it will launch a loan product in the first half of this year to refinance savings bank credit loans, aiming to reduce financing costs for mid- to low-credit borrowers. The bank said the product expands its Bring Up and Value Up project across the savings bank sector. It will offer refinancing to customers with at least 1 year of employment and annual income of 20 million won or more, with a limit of 100 million won.