South Korean Savings Bank Suffers $380 Million Loss, Foresees Continued Losses in 2024

Kookmin Bank, a major South Korean savings bank, has reported a net loss of 380.4 billion won (approximately $380 million) in the second quarter of 2024. This follows a loss in the same period last year and signals further challenges ahead. The bank’s CEO, Oh Hwa-kyung, acknowledges that the bank is expected to remain in the red throughout the first half of 2025. Despite the bleak outlook, Kookmin Bank is actively seeking solutions by implementing measures to enhance its business portfolio and streamline operations. These efforts include asset sales, business restructuring, and heightened risk management practices to mitigate potential losses. Kookmin Bank also plans to reduce its loan portfolio and leverage external credit lines to ensure sufficient liquidity and maintain stability.