FSC Designates Korea’s First ‘Data Specialising Institutions’

Source: Regulation Asia Editors, Regulation Asia 2020-08-10

Korea Credit Information Services and the Financial Security Institute will be allowed to perform convergence of pseudonymised data originating from different financial businesses.

South Korea’s FSC (Financial Services Commission) has designated KCIS (Korea Credit Information Services) and the Financial Security Institute Korea’s first ‘data specialising institutions’.

The FSC opened preliminary applications for the designation in June. The designation means both organisations are allowed to perform data convergence under the revised Credit Information Use and Protection Act, which took effect on Wednesday (5 August).

Under the revisions of the Act, financial authorities introduced the concept of data anonymisation and pseudonymisation, allowing the government to designate so-called ‘data specialising institutions’ to perform convergence of pseudonymised data originating from different businesses.

Pseudonymised personal information of customers can be used for statistical and industry research and for public documentation purposes, where re-identification of the data is prohibited.

KCIS operates Korea’s public credit registry, and provides date to CreDB, a credit information system providing financial companies, enterprises, academia and research institutions access to financial and credit data. The FSC recently announced enhancements to CreDB to provide access to a wider variety of datasets including non-financial data.

The Financial Security Institute is an independent agency tasked with bolstering information management and data protection capabilities in the financial sector. It has recently been tasked with setting up and housing Korea’s new financial data exchange, a distribution platform for buyers and sellers of financial, telecommunication and corporate data.

The FSC will continue to work for the advancement of the financial data exchange ecosystem, the regulator said.

Financial Security Institute

FSC

FSC Korea

FSC Designates Korea’s First ‘Data Specialising Institutions’

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