Hana Financial Group Chairman Ham Young-joo emphasized that “productive finance” must extend beyond supporting advanced industries to encompass traditional manufacturing and smaller businesses. He advocated for closer collaboration between industrial and financial policies, highlighting their essential role in navigating economic shifts driven by rapid technological change.
Chairman Ham delivered these remarks at a joint seminar focusing on productive finance – investments prioritizing infrastructure and core industries over speculative returns. The event was hosted Thursday by the Hana Institute of Finance, Korea Institute of Finance, and Korea Institute for Industrial Economics & Trade.
The seminar explored strategies to bolster productive finance amidst rising geopolitical uncertainty and global supply chain realignments. Key discussions centered on the pivotal role of finance in industrial transformation, fostering greater cooperation between policy and private sector finance, and establishing robust support frameworks for strategic industries.
Ham specifically underscored the critical need for enhanced coordination between industrial and financial policies to solidify Korea’s competitive edge in advanced industries.
“Industrial ecosystems both domestically and internationally are rapidly evolving towards technology-driven sectors like artificial intelligence, data, and energy,” Ham stated. “Financial and industrial policies must be tightly integrated, serving as complementary pillars of the nation’s overarching growth strategy.”
He further articulated that private sector financial institutions should move beyond mere capital provision, actively identifying and nurturing companies with strong long-term growth prospects.
“The fundamental role of finance is to empower companies throughout their entire lifecycle – from initial founding and growth phases to subsequent innovation and revitalization,” he asserted.
Ham also stressed the importance of pairing productive finance with inclusive finance initiatives.
“Productive finance achieves its full potential only when it not only cultivates future advanced industries but also provides robust support for traditional manufacturing sectors and the smaller businesses that form the bedrock of our broader industrial ecosystem,” he concluded.
Hana Financial announced an increase in its productive finance target for this year to 17.8 trillion won ($11.7 billion), a 1.6 trillion won rise from its initial projection.
The group detailed plans to allocate 2.5 trillion won to the National Growth Fund and other key investment initiatives. An additional 2.5 trillion won is earmarked for direct investments, including those in advanced industries and venture capital. Furthermore, 12.8 trillion won will be directed toward lending programs designed to support strategic industries.
