TLDR: Woori Financial Group announced a comprehensive plan to invest 80 trillion won (approximately $57 billion) over the next five years. The initiative, dubbed the ‘Future Co-growth Initiative,’ will focus on bolstering advanced industries such as artificial intelligence, biotechnology, and defense, while also significantly expanding support for small businesses and underserved communities through inclusive finance programs.
Seoul, South Korea – Woori Financial Group has committed to a substantial investment of 80 trillion won, equivalent to approximately $57 billion, over the next five years. This ambitious plan aims to redirect the group’s financial focus towards fostering growth in advanced industries and strengthening support for vulnerable segments of society, moving away from a traditional reliance on household lending.
Unveiled by CEO and Chairman Yim Jong-yong at a press conference in central Seoul, the ‘Woori Financial Group: Future Co-growth Initiative’ outlines a strategic shift towards inclusive and productive finance. A significant portion of the investment will target cutting-edge sectors, including artificial intelligence (AI), biotechnology, and defense, recognizing their potential as future growth engines for the Korean economy.
Under the initiative, Woori Financial Group plans to allocate 7 trillion won in direct group investments. An additional 56 trillion won will be channeled through tailored loans and financial products designed specifically for small businesses and vulnerable groups, addressing their unique financial needs. Furthermore, 1 trillion won is earmarked for a group-level co-investment fund that will strategically invest in 10 key industries, prominently featuring AI, biotech, and defense.
To enhance financial inclusivity, the group is introducing measures such as a 0.3 percentage point interest rate reduction for new clients with credit scores below level seven. Existing customers demonstrating strong repayment records and scores below level eight may qualify for an even larger discount, up to 1.5 percentage points.
Chairman Yim Jong-yong acknowledged past criticisms, stating, “We humbly accept criticism that we’ve relied too heavily on interest income.” He emphasized the group’s commitment to adapting to current economic realities: “As we face a period of low growth, we will launch a group-wide initiative to support industrial and corporate development.”
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Looking further ahead, Woori Financial Group intends to allocate 73 trillion won to productive finance and 7 trillion won to inclusive finance by 2030. The group will also be the first private financial institution to invest 10 trillion won into the proposed National Growth Fund, underscoring its commitment to national economic development.
