• Title/Summary/Keyword: Public Banks

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How to Reflect Sustainable Development, exemplified by the Equator Principles, in Overseas Investment (해외투자(海外投資)와 지속가능발전 원칙 - 프로젝트 파이낸스의 적도원칙(赤道原則)을 중심으로 -)

  • Park, Whon-Il
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.31
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    • pp.27-56
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    • 2006
  • Today's financial institutions usually take environmental issues seriously into consideration as they could not evade lender liability in an increasing number of cases. On the international scene, a brand-new concept of the "Equator Principles" in the New Millenium has driven more and more international banks to adopt these Principles in project financing. Sustainable development has been a key word in understanding new trends of the governments, financial institutions, corporations and civic groups in the 21st century. The Equator Principles are a set of voluntary environmental and social guidelines for sustainable finance. These Principles commit bank officers to avoid financial support to projects that fail to meet these guidelines. The Principles were conceived in 2002 on an initiative of the International Finance Corporation(IFC), and launched in June 2003. Since then, dozens of major banks, accounting for up to 80 percent of project loan market, have adopted the Principles. Accordingly, the Principles have become the de facto standard for all banks and investors on how to deal with potential social and environmental issues of projects to be financed. Compliance with the Equator Principles facilitates for endorsing banks to participate in the syndicated loan and help them to manage the risks associated with large-scale projects. The Equator Principles call for financial institutions to provide loans to projects under the following circumstances: - The risk of the project is categorized in accordance with internal guidelines based upon the environmental and social screening criteria of the IFC. - For Category A and B projects, borrowers or sponsors are required to conduct a Social and Environmental Assessment, the preparation of which must meet certain requirements and satisfactorily address key social and environmental issues. - The Social and Environmental Assessment report should address baseline social and environmental conditions, requirements under host country laws and regulations, sustainable development, and, as appropriate, IFC's Environmental, Health and Safety Guidelines, etc. - Based on the Social and Environmental Assessment, Equator banks then make agreements with borrowers on how they mitigate, monitor and manage the risks through a Social and Environmental Management System. Compliance with the plan is included in the covenant clause of loan agreements. If the borrower doesn't comply with the agreed terms, the bank will take corrective actions. The Equator Principles are not a mere declaration of cautious banks but a full commitment of lenders. A violation of the Principles in the process of project financing, which led to an unexpected damage to the affected community, would not give rise to any specific legal remedies other than ordinary lawsuits. So it is more effective for banks to ensure consistent implementation of the Principles and to have them take responsible measures to solve social and environmental issues. Public interests have recently mounted up with respect to environmental issues on the occasion of the Supreme Court's decision (2006Du330) on the fiercely debated reclamation project at Saemangeum. The majority Justices said that the expected environmental damages like probable pollution of water and soil were not believed so serious and that the Administration should continue to implement the project seeking ways to make it more environment friendly. In this case, though the Category A Saemangeum Project was carried out by a government agency, the Supreme Court behaved itself as a signal giver to approve or stop the environment-related project like an Equator bank in project financing. At present, there is no Equator bank in Korea in contrast to three big banks in Japan. Also Korean contractors, which are aggressively bidding for Category A-type projects in South East Asia and Mideast, might find themselves in a disadvantageous position because they are generally ignorant of the environmental assessment associated with project financing. In this regard, Korean banks and overseas project contractors should care for the revised Equator Principles and the latest developments in project financing more seriously. It's because its scope has expanded to the capital cost of US$10 million or more across all industry sectors regardless of developing countries or not. It should be noted that, for a Korean bank, being an Equator bank is more or less burdensome in a short-term period, but it must be conducive to minimizing risks and building up good reputation in the long run.

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Electronic Cash for Central Bank′s Monetary Policy

  • Lim, Kwang-Sun;Park, Jung-Su;Hyun, Tchang-Hee
    • Journal of Korea Technology Innovation Society
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    • v.1 no.1
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    • pp.96-105
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    • 1998
  • Electronic cash affects central bank in many areas, in particular regarding the issuance of money, supervision of cashless payments, supervision of the banking system and monetary policy. The effects of electronic cash on central bank policies, the security and integrity of the payment system, and naturally also on single sector such as company engaged in the transport of money and valuables, depend mainly on the extent to which the new payment methods can replace cash. The possible development of electronic cash merits special attention from central banks for at least three reasons. First, central banks are concerned that the introduction of the new payment instrument should have no adverse effect on public confidence in the payment system and payment media. Second, although the substitution of electronic cash for other forms of money should not theoretically hamper central bank's ability to control the money supply, it might, however, have practial implications, at least in the long run, which need to be carefully examined. Third, because electronic cash may be used for payments of very small value, they have the potential, more than any other cashless instrument, to take over the role of notes and coins in the economy and, therefore, have implications for central bank's activities and revenues.

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A Study on Activation of uTradeHub System (uTradeHub 시스템 활성화 방안에 관한 연구)

  • Lee, Sang-Ok;Lim, Cheon-Hyeok
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.51
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    • pp.441-464
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    • 2011
  • It is childhood yet in uTradeHub system practical use. According as company's necessity of cost-saving is increased according to trade terms aggravation such as uncertainty of international money market, commodities prices rise, necessity of e-trade practical use in company is increased. Use is inevitable by state that link with e-Nego and e-B/L service with related presentation e-L/C banks is not made. At the present users are doing specification only service this main point, and practical use activation through public information and marketing about service is needed situation because most of, companies which is not using service, do not know about existence availability of uTradeHub system, usage, availability. This study presented five such as early materialization of user center's link and integration, medium and small enterprises e-trade participation extension, utilization ratio raising through government's public information, e-trade cooperation business activation between the country, electronic documents standardization etc. by prompting competition about practical use of uTradeHub system.

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Analysis of the Cause of the 2008 Financial Crisis using the Supervisory Control Theory (관리제어이론을 이용한 2008년 금융위기의 원인 해석)

  • Park, Seong-Jin
    • Journal of Institute of Control, Robotics and Systems
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    • v.20 no.10
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    • pp.995-1001
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    • 2014
  • In the aftermath of the financial crisis of 2008, while numerous members of the general public lost their homes and jobs, many of the largest banks held responsible for the crisis have been successfully rescued by bailouts. In this paper, through the analysis of income inequality, unemployment, tax cuts, and bailouts, we show that the interests of the general public are different from the interests of politicians and bankers. While the small elite group of politicians and bankers could set the deregulation policies with inordinate power based on full information, most people were ignorant and unconcerned about the policies, and hence did not oppose them. Specifically, we model the credit change in the financial markets of the United States by a finite state machine, and design three local supervisors representing three groups with different interests. It is then shown that the deregulation policies were adopted according to the difference of the supervisors' powers.

A Basic Study for Finding Methods to solve the Crisis of Construction Industry caused by Deterioration of Liquidity (유동성 악화에 따른 건설산업 위기극복 방안 모색을 위한 기초연구)

  • Kim, Eun-Sung;Lee, Sang-Hyo;Kim, Jae-Jun
    • Proceedings of the Korean Institute of Building Construction Conference
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    • 2009.05b
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    • pp.131-135
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    • 2009
  • Domestic construction industry is facing big difficulties by a worldwide financial crisis. Especially the deterioration of liquidity by the reject of banks for project financing and unsold housing project made a big problem on financing for the ongoing and new projects. To solve this, it is critical for construction companies. banking facilities and public organizations to cooperate and support each other. In this study, the methods which each part can do are investigated. Construction companies can do a price reduction, finance condition improvement for deposit and down payment, asset sale and cost reduction. And Public organizations can buy the assets of construction companies with proper price and ease the regulation to activate transactions of real estate. In the case of Banking facilities, they can support arrangement and liquidation of insolvent projects and so on.

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Capital Markets for Small- and Medium-sized Enterprises and Startups in Korea

  • BINH, Ki Beom;JHANG, Hogyu;PARK, Daehyeon;RYU, Doojin
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.12
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    • pp.195-210
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    • 2020
  • This study describes the structure of the capital markets for small- and medium-sized enterprises (SMEs) and startup companies in Korea, which is an emerging market that has experienced drastic changes. The overall capital market can be divided into private and public capital markets. In the private capital market, most of the demand for capital comes from non-listed private firms, including startups and SMEs. In the case of SMEs and startups, the KOSDAQ, the Korea New Exchange (KONEX), and primary collateralized bond obligations (P-CBOs) are part of the public capital market. SMEs and startups are generally incapable of raising sufficient capital owing to their low credit ratings, and they largely have limited access to primary markets to issue shares and borrow money. The Korean government has developed a systematic financial aid program to provide funds to these companies. The fund for SMEs has significantly contributed to the development of the venture capital market. Many Korean banks provide substantial lending to SMEs, but this lending is available only because of the Korean government's loan recovery guarantee. Furthermore, SMEs can issue corporate debt in the form of primary collateralized bond obligations through government guarantees, but such debt issuances have placed increasing pressure on public guarantee institutions.

Strategy Considerations in Genome Cohort Construction in Korea (한국 유전체 코호트 구축의 전략적 고려사항)

  • Sung, Joo-Hon;Cho, Sung-Il
    • Journal of Preventive Medicine and Public Health
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    • v.40 no.2
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    • pp.95-101
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    • 2007
  • Focusing on complex diseases of public health significance, strategic issues regarding the on-going Korean Genome Cohort were reviewed: target size and diseases, measurements, study design issues, and follow-up strategy of the cohort. Considering the epidemiologic characteristics of Korean population as well as strengths and drawbacks of current research environment, we tried to tailor the experience of other existing cohorts into proposals for this Korean study. Currently 100,000 individuals have been participating the new Genome Cohort in Korea. Target size of de novo collection is recommended to be set as between 300,000 to 500,000. This target size would allow acceptable power to detect genetic and environmental factors of moderate effect size and possible interactions between them. Family units and/or special subgroups are recommended to parallel main body of adult individuals to increase the overall efficiency of the study. Given that response rate to the conventional re-contact method may not be satisfactory, successful follow-up is the main key to the achievement of the Korean Genome Cohort. Access to the central database such as National Health Insurance data can provide enormous potential for near-complete case detection. Efforts to build consensus amongst scientists from broad fields and stakeholders are crucial to unleash the centralized database as well as to refine the commitment of this national project.

A Study on Access and Convenience to Local Food Farmers Market (로컬푸드 직매장의 접근성 및 편의성)

  • Nam, Yun-Cheol
    • Journal of the Korean Institute of Rural Architecture
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    • v.19 no.1
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    • pp.43-50
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    • 2017
  • This paper presents improvement of consumer's access and convenience to Farmers Market(Local Food Shop). We analyzed case studies and proposed plans of Local Food Shop and related facilities. The results are described below. Thorough pre-education and public relations with extensive support for agricultural products in the area and external support are necessary. Most importantly, the consuming population was close. These factors were the factors of success. Tourists' visit is effective. Consumer distance should be within 10km. Long distance tourists need a way to attract tourists on weekends. It is an advantage that there are many consumers. And it would be nice to have a market in the vicinity. And it is necessary to develop various activities such as experience activities and programs. Also, a place convenient for cooperation with the government office, public health center, etc. is good. Accessibility is enhanced when ICs of frequent highway and highway are close to cars. As a suggestion of placing a direct sales place, we will set up a place for consumers to collaborate and relax and also consider the convenience of providers. For the convenience of consumers' shopping, including sales outlets, we set up booths for daily necessities and industrial products, and place other agricultural cooperatives (NACF banks), local cafes and farmer restaurants in front. Consider multifunction combined service center for consumers and farmers.

An efficient SCNT technology for the establishment of personalized and public human pluripotent stem cell banks

  • Lee, Jeoung Eun;Chung, Young Gie;Eum, Jin Hee;Lee, Yumie;Lee, Dong Ryul
    • BMB Reports
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    • v.49 no.4
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    • pp.197-198
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    • 2016
  • Although three different research groups have reported successful derivations of human somatic cell nuclear transfer-derived embryonic stem cell (SCNT-ESC) lines using fetal, neonatal and adult fibroblasts, the extremely poor development of cloned embryos has hindered its potential applications in regenerative medicine. Recently, however, our group discovered that the severe methylation of lysine 9 in Histone H3 in a human somatic cell genome was a major SCNT reprogramming barrier, and the overexpression of KDM4A, a H3K9me3 demethylase, significantly improved the blastocyst formation of SCNT embryos. In particular, by applying this new approach, we were able to produce multiple SCNT-ES cell lines using oocytes obtained from donors whose eggs previously failed to develop to the blastocyst stage. Moreover, the success rate was closer to 25%, which is comparable to that of IVF embryos, so that our new human SCNT method seems to be a practical approach to establishing a pluripotent stem cell bank for the general public as well as for individual patients.

Theoretical Background of Division of Role in Technology Financing Based on Uncertainty Implied in Industrial Technology Development (산업기술개발의 불확실성에 따른 금융지원의 역할분담에 관한 이론적 고찰)

  • 김선근
    • Journal of Technology Innovation
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    • v.5 no.1
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    • pp.206-222
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    • 1997
  • The conventional analysis with which justifies government intervention of the private sector's innovation activities is the market failure approach. According to such analysis, fund allocation through autonomous market mechanisms is not optimal in technology financing because of the disparity between the desirable level of investment for society as a whole and that for private firms. To optimize the fund allocation, public policies such as subsidy, preferencial loan and venture capital investment programs are designed for technology development projects performed by private firms. They, however, have not been effective in increasing private investment for such projects. In most cases, it was found that little considerations given to the relationship between uncertainty embodied in technology development projects and each types of financing. With respect to optimizing fund allocation, technology development projects should be financed by different means according to their probability of success and the expected value of technology. Employing various theoretical models on financing decision-making we verify here that technology development projects to be supported by commercial banks or venture capital institutions is limited contingent upon levels of uncertainty adn expected value. Under the assumption that financial institutions are risk averse, loan or investment can be available only if the probability of success of the project is higher than the probability premium and the current market rate of interest. Therefore, the projects that have lower probability of success and/or small expected return are excluded from commercial loan or investment programs. However, the remaining projects, whose probability of success is low but with high expected return, may be applied under government subsidy programs. To achieve optimality of fund allocation and to activate technology financing, we conclude that there should be a systematic division of role among financial institutions including government commercial banks, and venture capital institutions.

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