This study investigates the financial regulatory and supervisory system of Korea's Merchant Banking Corporations before the 1997 currency crisis, which is regarded to have played a pivotal role in the deterioration of the country's financial system. (The rest is omitted.)

Executive Summary

I. Introduction

II. The Growth of MBCs and Their Business Scope

III. Financial Regulation and Supervision of MBCs
1. Financial Supervisory Framework of Korea
2. Financial Supervision and Examination System of MBCs
3. Entry Regulation of MBCs
4. Regulation and Supervision of MBCs' Capital Adequacy
5. Regulation and Supervision of Credit Concentration and Connected Lending
6. Regulation and Supervision of Foreign Currency Assets Liquidity
7. Regulation and Supervision on the Limit of Investing in Foreign Currency
Securities
8. Other Prudential Regulations

IV. Conclusion

References