After a year of disappointing results in the Top 1000 in 2020, South Korea’s banks have returned to strength, posting an impressive set of improvements in their Tier 1 capital positions.
While the banks are doing well, the country’s regulator has cautioned them to take a conservative approach to their capital management while the pandemic continues. The country saw its gross domestic product decline by 1% in 2020, as exports of its electronic goods declined. While the banks have performed strongly, there is concern about the quality of loans given out during the pandemic.
