[THE INVESTOR] South Korea’s central bank head said on July 21 that local banks should maintain their financial health to tackle any external uncertainties.

“It is important for banks to maintain a clean bill of health in terms of assets and a proper level of debt-to-equity ratio to cope with financial volatility,” Bank of Korea Gov. Lee Ju-yeol said in a meeting with chiefs of major local banks.

South Korean banks have suffered from declining margins due to record low interest rates and tough competition in the nearly saturated domestic market.

Lee’s comments come amid increased uncertainty following Britain’s decision last month to leave the European Union. 


(theinvestor@heraldcorp.com)