1)

(Enhancing the transparency and public-interest role of supervision and administration) In response to criticism citing insufficient controls over the exercise of supervisory authority, the FSS will improve its inspection and sanctions process by limiting the disclosure of interim inspection results, providing opportunities for self-correction for minor violations, and expanding the composition of civilian members on the sanctions review committee. In addition, in response to public demand, the FSS plans to pursue internal management reforms, including enhancement of management disclosures.

2)

(Enhancing supervisory capabilities) The FSS will pursue digital business innovation. This includes integrating AI technology into its systems for handling complaints and disputes as well as for investigating unfair trade practices, thereby streamlining financial supervision. Additionally, it will expand and enhance external information disclosure —e.g., by making inspection and sanctions information easier to search — thereby improving accessibility for service users.
 

3)

(Establishing a supervision system that puts "financial consumer protection" first) The FSS will fundamentally reorient its consumer protection paradigm toward a proactive and prevention-focused framework, strengthen consumer protections across the full life cycle of financial products (design and manufacturing, review, sales, and post-sale management), and enhance consumer guidance to foster a more consumer-oriented financial transaction environment.

4)

(Strengthening ex post protection of consumer rights) The FSS will improve the handling of complaints and disputes by establishing criteria for referring cases to the dispute mediation committee, in preparation for the introduction of a unilateral binding mechanism, and by strengthening the dedicated consultative body on indemnity insurance. In addition, it will overhaul dispute mediation standards to center on financial consumers and establish standards for determining evidence of willful misconduct or gross negligence in connection with consumer harm caused by personal information leaks. Through these measures, the FSS aims to advance consumer rights and interests.

5)

(Cracking down on illegal and unsound practices) Where it anticipates consumer harm, the FSS will promptly issue a consumer alert. It will also expand thematic inspections and on-site branch inspections to rigorously examine sales procedures and internal controls, among other areas, with the aim to assess whether high-risk financial investment products are being sold appropriately. In addition, the FSS will promptly investigate and take stern enforcement against suspected unfair trading in connection with corporate finance transactions and politically themed stocks, shorten the accounting review and audit cycle for major listed companies, and take firm action against unsound business practices to protect financial consumers and investors.

6)

(Reviewing vulnerable areas and internal controls) The FSS will focus on reviewing high mis-selling risk products — such as highly complex financial investment products — as well as the internal controls and decision-making systems of financial companies, with the aim of eliminating a sales-first culture driven by short-term performance targets. The FSS will also review the independence of the board of directors at bank holding companies and other financial groups, as well as CEO appointment procedures, to strengthen oversight in vulnerable areas and thereby foster a sound management culture across financial institutions.
 

7)

(Managing risk factors thoroughly) The FSS will strengthen its monitoring of delinquency rates across mutual finance cooperatives to guard against potential asset-quality deterioration. The FSS will review risk factors in financial markets, including support for reforms to foreign exchange-related financial regulations to help curb foreign exchange market volatility and address supply-demand imbalances. Furthermore, it aims to enhance the soundness of real estate finance by continuing efforts to reduce distressed real estate project financing (PF).

8)

(Managing debt in a stable manner) The FSS will promote stable household debt management by encouraging compliance with aggregate household debt targets, expedite the restructuring of distressed companies through rigorous enforcement of the corporate restructuring framework, and ensure sound management of household and corporate debt to prevent undue strain on the national economy.

9)

(Improving the supervisory framework) In alignment with global standards, the FSS will prudently refine capital regulations to facilitate productive finance and will overhaul the supervisory framework by focusing on key risk factors specific to each segment of the financial industry, thereby advancing sensible institutional reforms based on such risks.
 

10)

(Innovating the capital market) The FSS will strengthen its productive financial base by reviewing the status of venture capital supply, identifying areas for improvement, and establishing a venture capital intermediation platform that connects financial institutions seeking investment opportunities with companies in need of funding. To create an attractive investment environment, the FSS will not only improve the capital market infrastructure (e.g., by supplementing the foreign investment system) and support innovation in the capital market, but also strengthen safeguards for innovative new products such as fractional investment and tokenized securities, including establishing robust investor protection measures.

11)

(Advancing inclusive finance) The FSS will promote the establishment of a management culture based on inclusive finance (e.g., by establishing a comprehensive evaluation system for inclusive finance in the banking sector), further ease the financial burden on vulnerable populations and strengthen related support (e.g., by preparing measures to promote mid-interest loans for mid- to low-income borrowers), and provide tailored financial literacy programs for each life stage to strengthen financial capabilities and support stable financial lives.

12)

(Eradicating predatory financial practices) The FSS will bolster its response to financial crimes affecting people’s livelihoods (e.g., by establishing an interagency consultative council involving the special judicial police for financial crimes affecting livelihoods). It will also expand and reorganize a center dedicated to providing redress for victims of illegal private lending, and strengthen early intervention against illegal debt collection to ensure effective relief for victims. In addition, the FSS will take decisive action against such financial crimes in close coordination with relevant authorities, including by supporting investigative agencies and expanding information sharing.
 

13)

(Establishing a safe digital environment) The FSS will strengthen its proactive responsiveness to security vulnerabilities in the financial sector and, by operating the integrated control system at full capacity, further enhance its ability to respond swiftly to cyber threats. In addition, by establishing the "Guidelines for Responding to Major Electronic Financial Incidents in the Financial Sector," the FSS will reinforce financial companies' response capabilities and prepare supervisory measures to enhance user protection with respect to IT and information security proportionate with the increasingly widespread use of electronic financial transactions.

14)

(Fostering digital innovation and improving reliability in the virtual asset market) The FSS will create a financial AI ecosystem that balances innovation and responsibility by issuing the "Financial AI Ethics Guidelines" and incorporating them into relevant AI guidelines and frameworks. In addition, the FSS will lay the groundwork for the growth of the data industry (e.g., by improving the quality of data integration conducted by data-specialized institutions), and will prepare for the effective implementation of the Phase 2 virtual asset bill while establishing an investigative framework to protect users in the virtual asset market. Collectively, these measures aim to create a reliable transaction environment.

15)

(Providing support for sustainable growth) The FSS aims to support the financial industry's sustainable development. To this end, it will refine sector-specific frameworks to promote innovation in related areas such as AI and digital assets, conduct an industry-wide climate stress test, and review measures to support financial institutions in managing climate risk.