Park Sang-jin, chairman of Korea Development Bank (KDB), emphasized that 2026, the Year of the Horse, is the time for the bank to present a strategy to drive growth amid the Korean economy’s structural transformation.
Chairman Park stated that KDB has faithfully played its role as a policy finance institution despite challenging domestic and international environments. This year, Park stressed, the bank must not rest on its laurels, but take a leap forward.
Looking back on 2025, Park praised KDB’s successful launch of the National Growth Fund, which will drive the future of the Korean economy, and its provision of policy funds totaling 96 trillion won, thereby revitalizing the overall Korean economy.
He explained that the bank has also strengthened its global competitiveness, achieving $40 billion in total assets from overseas branches and $400 million in pre-tax profit.
Park also cited supporting the business restructuring of petrochemical companies as a key achievement, serving as a safety net for the Korean economy.
Chairman Park emphasized, “This achievement was possible thanks to the dedicated efforts of our employees both domestically and internationally.”
However, Park said that despite past achievements, KDB employees must face reality.
With competing financial institutions gaining ground, employees must reflect on whether or not they are satisfied with reaching easy goals only.
Park emphasized that it was time for KDB to critically assess its current status and future challenges in the face of the Korean economic environment, which requires a fundamental structural transformation.
Park noted that countries around the world have entered into fierce investment competition, designating the growth of cutting-edge industries as a national priority.
He also diagnosed that global competition surrounding traditional manufacturing is intensifying.
He assessed that a combination of low birth rates and an aging population necessitates a search for a new growth engine, creating a desperate situation.
“Now is the golden time to present a strategy for the real growth of the Korean economy and KDB,” Park said.
Park proposed KDB’s original role of fostering industry and businesses as a starting point for growth.
He said collaboration with the National Growth Fund should maximize the effectiveness of supporting cutting-edge strategic industries while closely addressing blind spots in policy financing, thereby fulfilling a mutually complementary role.
Park also emphasized the need to actively respond to the financial needs of promising local industries and foster specialized industries in each region to contribute to the revitalization of local economies.
He also emphasized the need to expand investment in SMEs and venture startups to foster next-generation national leaders and to become a partner supporting the soft landing of Korea’s traditional core industries such as petrochemicals.
Park emphasized that stable profit generation holds the key to sustaining KDB’s role as a policy financing institution.
Only by establishing a solid revenue base through fierce market competition, KDB can create a virtuous cycle that allows for more aggressive funding for companies, he explained.
To achieve this, KDB should secure a firm position in the market through the expansion of investment assets, boosting its profitability through asset-liability rebalancing, identifying high-quality clients and supporting business restructurings, according to Park.
He also suggested opportunities in overseas markets and strengthening investment finance capabilities as key tasks.
Park emphasized a need for a vision for the coming 20 years, rather than short-term performances, to achieve the goal of a great takeoff for the Korean economy.
He emphasized the importance of continuously moving forward, embracing the principle of “Mabujeongje,” which means that a galloping horse never stops moving as a moment of complacency can lead to a fall amidst the headwinds of uncertainties.
“KDB’s unwavering progress will be the most reliable driving force to overcome uncertainties and lead the Korean economy to a great jump,” Park said.
“In 2026, a year of hope and a leap forward, let’s trust one another and cooperate to rewrite the history of KDB.”
_산업은행 시무식.jpg)
