FSC, FSS to merge; MOFE to lead reform

The Financial Supervisory Commission (FSC) will be combined with the Financial Supervisory Service (FSS) and reemerge as an organization under both the government and the private sector.

The Ministry of Planning and Budget announced the merger plan Wednesday in a public hearing on plans for the financial watchdog. The meeting was held at the Korean Federation of Banks building in central Seoul.

The government plans to finalize its reform plans by year-end and revise related laws during the first half of next year in hopes of quickly wrapping up the reshuffle at the FSS.

The FSC currently orchestrates the government's efforts to restructure the corporate and financial sectors by injecting public funds. Its structural reform team will be broken this month and most of its authority handed over to the Ministry of Finance and Economy.

Choi Young-Hae moneychoi@donga.com