South Korea’s Financial Services Commission will relocate from Seoul to Sejong in the second half of 2027, marking a major step in the government’s ongoing effort to decentralize public institutions away from the capital.
The commission, which oversees financial policy, banking, and consumer protection, plans to transfer its 340-member workforce to newly leased office space in the administrative city. Its affiliated Korea Financial Intelligence Unit, employing 80 staff members, will accompany the move.
By situating financial policymaking nearer to the major economic ministries that already operate out of Sejong, the relocation could improve coordination on fiscal and financial matters. Nevertheless, Seoul continues to host the bulk of Korea’s banking headquarters, raising concerns about regulatory efficiency.
Financial industry unions have warned that distancing regulators from the core of the financial sector could slow the response to crises and raise operating costs for agencies. A previous survey indicated that a large proportion of Financial Supervisory Service union members would contemplate changing jobs if their agency were moved, highlighting potential staffing challenges.
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The commission’s confirmed move may reignite discussions about shifting other financial bodies, such as the Financial Supervisory Service and the Korea Deposit Insurance Corporation, to regional hubs. Critics point to the National Pension Service’s fund-management division, which moved to Jeonju in 2017 and subsequently faced difficulties retaining employees, as a cautionary example.
The government argues that clustering related public institutions in regional hubs can generate new jobs and promote more balanced economic growth across the country. To ease the transition, authorities plan to provide relocation and settlement assistance for affected civil servants, while also considering temporary transportation support for those unable to move immediately.
Officials say the revised relocation plan will be finalized after a series of consultations and public hearings, with each agency moving in phases that depend on the readiness of office space and the completion of necessary preparations. The overall timetable still targets the second half of 2027 for the bulk of the transfer, ensuring that the commission and its intelligence unit will be fully operational in Sejong by that deadline.
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