South Korea's Woori Bank May Slow Credit Card Expansion

Woori Bank may slow the expansion of its credit card business to maintain profitability, a spokesperson for the Seoul, South Korea-based bank tells CardLine Global. The spokesperson declined further comment, but published reports indicate the bank's incoming CEO, Lee Chonghwi, is worried that rapid growth has eroded profit margins. The bank previously announced plans to issue debit cards in China and establish more than 50 branches in that country (CardLine Global, 4 Feb.). "Woori Bank has chosen long-term growth instead of short-term revenue," Yumiko Manchu, a Tokyo-based analyst with Celent LLC, tells CardLine Global. "Card companies need to be keen on market demands and should be flexible enough to adjust their strategy according to them."