Article 1 (Purpose) The purpose of this Ordinance is to facilitate the development of the financial industry of Seoul and to contribute to developing the local economy, by promoting and supporting the financial industry of Seoul.

Article 2 (Definitions) The terms used in this Ordinance are defined as follows: <Amended on Mar. 28, 2019; Jul. 16, 2020>
1. The term "financial hub of Seoul" means the Yeouido district in Yeongdeungpo-gu, Seoul, designated as a financial hub of the Seoul Metropolitan Government (hereinafter referred to as the "Seoul Government") by the Financial Services Commission pursuant to Article 4 of the Enforcement Decree of the Act on the Creation and Development of Financial Hubs (hereinafter referred to as the "Decree");
2. The term "financial institution" means any Korean financial institution under subparagraph 2 of Article 2 of the Act on the Creation and Development of Financial Hubs (hereinafter referred to as the "Act") and any foreign financial institution under subparagraph 3 of Article 2 of the Act;
3. The term "innovative financial service" means any of the financial services acknowledged as differentiated from existing financial services in details, methods, forms of service delivery, etc. or services provided in the course of conducting business affairs related to such financial services, as defined in subparagraph 4 of Article 2 of the Special Act on Support for Financial Innovation;
4. The term "business starter providing innovative financial services" means a business starter defined in subparagraph 3 of Article 2 of the Seoul Metropolitan Government Ordinance on Support for Business Startup, whose main business is to provide innovative financial services;
5. The term "facility for revitalizing financial hubs" means a facility built by the Seoul Government in the financial hub of Seoul defined in subparagraph 1, for the development of the financial industry and the development of the local economy;
6. The term "temporary office" means any office temporarily established and operated for the commencement of new businesses of Korean financial institutions or the establishment or relocation of the regional headquarters or branches of foreign financial institutions;
7. The term "regional headquarters" means any place of business where a foreign financial institution that provides financial services in at least three regions, exercises control over financial services-related affairs over at least two regions, excluding the Republic of Korea;
8. The term "subsidy" means "funds for constructing business facilities," "funds for new employment," and "funds for education and training" granted to a Korean financial institution or foreign financial institution pursuant to Articles 4 through 8, for such purposes as attracting and clustering financial institutions;
9. The term "funds for constructing business facilities" means funds required to build, purchase, or lease business facilities, other than land or buildings, or funds required to transport existing business facilities in a foreign country to the Republic of Korea and to install such facilities therein, and expenses incidental to such transportation and installation;
10. The term "institution providing social finance" means any enterprise, nonprofit corporation, or nonprofit private organization that engages in the financial activities defined in subparagraph 3 of Article 2 of the Seoul Metropolitan Government Ordinance on Establishment and Management of　the Social Investment Fund;
11. The term "exchange" means any exchange defined in Article 8-2 (2) of the Financial Investment Services and Capital Markets Act (hereinafter referred to as the "Capital Markets Act") or any alternative trading system defined in Article 8-2 (5).

Article 3 (Establishment of Promotion Plan) (1) The Mayor of the Seoul Metropolitan Government (hereinafter referred to as the "Mayor") shall establish and implement a plan to promote the financial industry.
(2) Each promotion plan referred to in paragraph (1) shall include the following:
1. Direction-setting for, and objectives of, the policies to promote the financial industry;
2. Attraction of, and support for, financial institutions;
3. Training of finance specialists;
4. Other matters necessary to promote the financial industry.

Article 4 (Entities Eligible for Subsidies) (1) Where a financial institution that provides or intends to provide financial services in the financial hub of Seoul has at least 10 regular Korean workers and falls under any of the following subparagraphs, the Mayor may partially provide necessary funding within budgetary limits:
1. Where a financial institution commences a new business;
2. Where a foreign financial institution relocates its regional headquarters or branch located in a foreign country to the Republic of Korea, or establishes a new regional headquarters or branch in the Republic of Korea.
(2) Where a financial institution that establishes and operates a temporary office in the financial hub of Seoul has more than two regular Korean workers, the Mayor may partially provide necessary funding within budgetary limits: Provided, That the period of provision shall be within one year.
(3) Notwithstanding paragraphs (1) and (2), where a financial institution falls under any of the following subparagraphs, it shall be ineligible for funding:
1. Where the financial institution relocates its existing place of business in the Republic of Korea to the financial hub of Seoul;
2. Where the financial institution is a financial investment business entity registered under the Capital Markets Act, which engages in only either investment advisory business referred to in Article 6 (1) 4 of the same Act or discretionary investment business referred to in Article 6 (1) 5 of the same Act (including where it concurrently engages in investment advisory business and discretionary investment business only);
3. Where the financial institution is provided with funding pursuant to the Foreign Investment Promotion Act or other statutes, regulations, or Ordinances of the Seoul Government.
[This Article Wholly Amended on Mar. 28, 2019]

Article 5 (Providing Funds for Constructing Business Facilities) (1) The Mayor may provide funds for constructing business facilities to a financial institution falling under Article 4 (1) and (2). <Amended on Mar. 28, 2019>
(2) The Mayor may make an advance payment of the subsidy referred to in paragraph (1) through negotiation if necessary for attracting a new foreign financial institution.

Article 6 (Subsidy for New Employment) The Mayor may pay a subsidy for new employment to a financial institution that newly employs a Korean national, in consideration of the scale of employment, effects on the development of the local economy, and other factors.

Article 7 (Subsidy for Education and Training) (1) The Mayor may pay a subsidy for education and training to a financial institution that educates and trains a Korean national it has newly employed, in consideration of the scale of employment, effects on the development of the local economy, and other factors.
(2) The subsidy for education and training under paragraph (1) shall be paid only to cover the expenses incurred in conducting education and training entrusted to the following domestic institutions: Provided, That institutions for nurturing finance specialists designated pursuant to Article 16 (1) shall be excluded herefrom: <Amended on Jul. 16, 2020>
1. A graduate school of business referred to in Article 22-2 (1) 1 of the Enforcement Decree of the Higher Education Act;
2. A graduate school of finance referred to in Article 22-2 (1) 2 of the Enforcement Decree of the Higher Education Act.

Article 8 (Maximum Limits of Subsidies) (1) Each year, the Mayor shall manage the subsidies prescribed in Articles 5 through 7 by properly allocating annual maximum limits of such subsidies to each type of business conducted by financial institutions and to each area in order to ensure the balanced development of the financial industry in the financial hub of Seoul.
(2) Maximum limits of each type of subsidy the Mayor may pay to financial institutions under this Ordinance shall be as specified in the attached Table.

Article 9 (Filing Applications for Subsidies) (1) To apply for any of the subsidies prescribed in Articles 5 through 7, a financial institution eligible under Article 4 shall submit to the Mayor, supporting documents about its type of business, investment, and employment as well as its plans.
(2) Where the Mayor becomes aware of any of the following events has occurred after paying a subsidy based on an application filed under paragraph (1), he or she shall recover the subsidy and prescribe detailed procedures for recovery by rule of the Seoul Government: <Amended on Dec. 31, 2019>
1. Where any of the submitted documents is found to be false subsequently;
2. Where a financial institution fails to implement its plan submitted under paragraph (1): Provided, That this shall not apply where the Committee deems that such failure is due to a cause not imputable to the relevant financial institution, or force majeure, such as a natural disaster;
3. Where the Committee deems it necessary to recover the subsidy due to a violation of a related law or other reasons.
(3) Where a financial institution dismisses a worker in respect of whom it has received a partial subsidy for new employment or education and training, the Mayor may recover the subsidy for new employment or education and training paid, in proportion to the period for which such subsidy has been paid. <Amended on Mar. 28, 2019>

Article 10 (Special Cases concerning Subsidy for New Employment for Institutions Providing Social Finance) The Mayor may pay a subsidy for new employment to an institution providing social finance in Seoul: Provided, That maximum limits of such subsidy shall be as specified in the attached Table.

Article 11 (Committee on Financial Industry Policies) The Mayor may establish a Committee on Financial Industry Policies (hereinafter referred to as the "Committee"), which is comprised of around 20 financial industry experts and financial investment specialists, including one member of the Seoul Metropolitan Council, to deliberate and render advice on matters relating to promotion of the financial industry. <Amended on Sep. 29, 2016>

Article 12 (Functions of Committee) The functions of the Committee shall be as follows: <Amended on Sep. 29, 2016>
1. To deliberate and render advice on plans to promote the financial industry;
2. To render advice on the direction setting for creating and developing the financial hub;
3. To deliberate and render advice on plans for assisting new entrants to the financial institution market;
4. To suggest policies, and render advice on an institutional reform, to attract investment from financial institutions;
5. To render advice on matters deemed necessary by the Mayor.

Article 13 (Working Committee for Deliberation on Subsidies) (1) The Committee may establish a working committee for deliberation on subsidies to financial institutions (hereinafter referred to as "working committee"), which is comprised of around seven finance and accounting specialists, where necessary for efficiently performing the business affairs relating to payment of subsidies.
(2) The term of office for a member of the working committee shall be two years.
(3) Other details necessary for operating the working committee shall be prescribed by rule of the Seoul Government.
[This Article Wholly Amended on Sep. 29, 2016]

Article 14 (Post Management) (1) The Mayor may request relevant materials from financial institutions that have received subsidies, or require a subordinate public official to visit such financial institutions and conduct inspections where necessary to manage subsidies and verify whether the subsidies paid under this Ordinance have been duly appropriated.
(2) The Seoul Metropolitan Government Ordinance on Management of Subsidies shall apply mutatis mutandis to other matters necessary for the administration of subsidies.

Article 15 (Creating Environment for Promoting Financial Industry and Attracting Investment) (1) In order to develop the financial industry of Seoul and attract foreign financial institutions, the Mayor may perform any of the following activities: <Amended on Dec. 31, 2019; Jul. 16, 2020>
1. Identifying international trends in developing the financial industry and in creating financial centers;
2. Implementing publicity campaigns to attract foreign financial institutions to the financial hub of Seoul;
3. Supporting overseas expansion and investment attraction of business starters providing innovative financial services;
4. Holding international conferences and seminars, etc. for the development of financial policies of the Seoul Government;
5. Conducting other projects necessary for attracting investment from foreign financial institutions.
(2) The Mayor may subsidize any entity that engages in activities provided for in paragraph (1), within budgetary limits, to cover its working or operating expenses.

Article 16 (Nurturing of Finance Specialists) (1) To nurture finance specialists necessary to create and develop the financial hub of Seoul, the Mayor may designate universities or colleges, research institutes, or other finance-related institutions or organizations as an institution for nurturing finance specialists and may have them conduct education and training.
(2) Where the Mayor designates an institution for nurturing finance specialists pursuant to paragraph (1), he or she may provide administrative and financial support. <Amended on Jul. 16, 2020>
[This Article Newly Inserted on Mar. 28, 2019]
[Previous Article 16 moved to Article 17 <Mar. 28, 2019>]

Article 17 (Facilities for Revitalizing Financial Hubs) (1) The Mayor may build the following facilities to promote the financial industry and revitalize the financial hub of Seoul:
1. Facilities to attract domestic and foreign financial institutions, etc. to the financial hub of Seoul;
2. Facilities for facilitating exchange between financial institutions and business starters providing innovative financial services;
3. Facilities to support business starters providing innovative financial services;
4. Other facilities the Mayor deems necessary to promote the financial industry and revitalize the financial hub of Seoul.
(2) The Mayor may provide administrative and financial support to those who manage and operate the facilities specified in the subparagraphs of paragraph (1).
(3) The Mayor may impose and collect a usage fee, etc. on or from a financial institution or a business starter providing innovative financial services, etc. that uses any of the facilities specified in the subparagraphs of paragraph (1), in accordance with the guidelines prescribed by rule of the Seoul Government: Provided, That the Mayor may fully or partially exempt usage fees, etc. in consideration of the purpose of a policy.
(4) For the efficient operation of the facilities specified in the subparagraphs of paragraph (1), the Mayor may establish an operating committee for each facility. Matters necessary for the composition, organization, and operation of operating committees shall be prescribed by rule of the Seoul Government.
[This Article Newly Inserted on Jul. 16, 2020]
[Previous Article 17 moved to Article 19 <Jul. 16, 2020>]

Article 18 (Entrustment of Management and Operation) The Mayor may entrust the operation of the facilities specified in Article 17 to the private sector for the efficient management and operation thereof, and matters necessary for the procedures and methods, etc. thereof shall be governed by the Seoul Metropolitan Government Ordinance on Entrustment of Administrative Affairs to the Private Sector.
[This Article Newly Inserted on Jul. 16, 2020]
[Previous Article 18 moved to Article 21 <Jul. 16, 2020>]

Article 19 (Cooperation with Related Agencies) The Mayor may conduct projects necessary for developing the financial industry of Seoul in collaboration or jointly with related agencies and may provide budget support or administrative support for such projects.
[Moved from Article 17; previous Article 19 moved to Article 22 <Jul. 16, 2020>]

Article 20 (Official Commendation) The Mayor may issue an official commendation to a person who has rendered distinguished service for the development of the financial industry in accordance with the Seoul Metropolitan Government Ordinance on Official Commendation.
[This Article Newly Inserted on Jul. 16, 2020]

Article 21 (Administrative Support) The Mayor may provide administrative support in terms of authorization and permission where a financial institution commences a new business in the financial hub of Seoul or a foreign financial institution relocates its office to the financial hub of Seoul.
[Moved from Article 18 <Jul. 16, 2020>]

Article 22 (Enforcement Rule) Matters necessary for the enforcement of this Ordinance shall be prescribed by rule of the Seoul Government.
[Moved from Article 19 <Jul. 16, 2020>]

ADDENDUM <Ordinance No. 7051, Mar. 28, 2019>
This Ordinance shall enter into force on the date of its promulgation.
ADDENDUM <Ordinance No. 7423, Dec. 31, 2019>
This Ordinance shall enter into force on the date of its promulgation.
ADDENDUM <Ordinance No. 7621, Jul. 16, 2020>
This Ordinance shall enter into force on the date of its promulgation.

Standards for Payment of Subsidies and Maximum Limits(pursuant to Article 8)