ABSTRACT
The financial sector of the Republic of Korea has continued strong growth over the past decades. The Republic of Korea’s financial sector contributed to the country’s rapid economic growth by successfully mobilizing domestic resources and channeling them to productive activities. Also, there has been continuous progress toward marketization and liberalization. Despite the significant improvements, when it was hit by two major financial crises in 1997–1998 and 2008, the Republic of Korea’s financial system showed significant weaknesses and susceptibility to external shocks.
