History of the Development of South Korea's Financial System

Abstract

Intervention of the Modern Banking System The involvement of the modern banking system in South Korea coincided with the beginning of Japan's occupation of this area. In 1878, the First National Bank of Japan opened a branch in Pusan, a seaport city in South Korea next to Japan. The First National Bank of Japan, Busan Branch, operates modern banking business including the issuance of bank notes. Since then, other Japanese banks have established branch networks in South Korea. At this stage, some North Koreans also opened their own banks, but most of them were closed for a relatively short period due to insufficient capital and lack of operating experience.