South Korea to improve foreign investors' access to capital markets

SEOUL - South Korea's financial regulator vice chief said on Friday that the government will improve foreign investors' access to domestic capital markets through deregulation.

Kim So-young, vice chairman of the Financial Services Commission (FSC), told a press conference with foreign media that the pre-registration system for foreign investors was abolished about 30 years after its launch for their easier access to local capital markets.

Starting next year, the listed companies with assets of 10 trillion won (7.7 billion U.S. dollars) or more will be required to submit regulatory filings in English, Kim noted.

To meet global standards, the regulator will enhance the dividend payment process so that it can be applied at the end of this year at the earliest, he added.

In 2022, the FSC unveiled the introduction of stock purchase claims in the case of split-off, the pre-disclosure system for insider trading, and the mandatory tender offer in the case of mergers and acquisitions (M&A) to raise interests and rights of general shareholders.

Foreign funds worth about 6.1 trillion won (4.7 billion U.S. dollars) flowed into the South Korean stock market in January despite growing uncertainties over the global financial market.

It showed high expectations among foreign investors for the growth potential of domestic companies, the vice chief said.

Kim vowed to thoroughly manage and supervise unfair trading practices in the capital markets to enhance investors' confidence, which is the basis of the capital markets. - XINHUA