Financial Services Commission (FSC)

Basic Information

The Financial Services Commission (FSC) of South Korea is the primary government body responsible for financial regulation and policy-making. It oversees the stability and advancement of the financial industry, ensuring compliance with financial laws and fostering innovation in the sector. The FSC operates under the jurisdiction of the South Korean government and collaborates with the Financial Supervisory Service (FSS) for supervisory enforcement.

Background and Historical Evolution

Originally established in April 1998 as the Financial Supervisory Commission, the FSC was restructured on March 3, 2008, under the Lee Myung-bak administration. This reorganization transferred financial policy-making authority from the Ministry of Finance to the newly formed Financial Services Commission, enhancing its role in shaping financial regulations and market stability. The FSC has since played a pivotal role in responding to financial crises, including the global financial downturn and the COVID-19 pandemic, by implementing measures such as market stabilization funds and innovative financial policies.

Legal Authority and Regulatory Framework

The FSC derives its authority from South Korean financial laws, including the Financial Services Commission Act and sector-specific regulations such as the Banking Act, Capital Markets Act, and Insurance Business Act. It formulates financial policies, supervises financial institutions, and ensures compliance with anti-fraud, anti-money laundering (AML), and consumer protection laws. Additionally, the FSC directs the Financial Supervisory Service (FSS) in enforcement actions.

Key Responsibilities and Regulatory Scope

The FSC’s primary duties include:

• Developing financial policies to promote industry growth and market stability
• Regulating banks, securities firms, insurance companies, and other financial institutions
• Overseeing fintech innovation, including open banking and digital financial services
• Monitoring systemic risks and implementing crisis management measures
• Enforcing consumer protection laws and ensuring fair financial practices
• Supervising financial conglomerates to prevent excessive risk-taking

Comprehensive Contact Information

The FSC can be reached through the following channels:

• Address: Government Complex Seoul, Jongno District, Seoul, South Korea
• Phone: +82-2-2100-2114
• Email: [email protected] (for media inquiries)
• Website: https://fsc.go.kr/eng (English version available)

How to Verify a Firm’s Regulatory Status

To confirm whether a financial institution is regulated by the FSC:

• Visit the official FSC website and navigate to the Financial Institution Directory or Licensed Entities section
• Use the search function to look up the firm’s name or registration number
• Cross-check with the Financial Supervisory Service (FSS) database for enforcement actions or disciplinary records
• Contact the FSC directly via phone or email for verification if necessary