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Commercial Code amendments ignite governance reform hopes in Korea

One month after Lee Jae-Myung’s inauguration as president, Korea’s long-anticipated amendments to the Commercial Code were passed by the National Assembly on 3 July, igniting cautious optimism among investors. Viewed as a step forward in improving board accountability and reinforcing shareholder rights, these governance reforms target the persistent "Korea discount"—the undervaluation of stocks rooted in perceptions of systemic weak governance. The measures signal a pivotal shift which, if effectively implemented, have the potential to elevate market confidence and align Korea with global standards, writes Stephanie Lin, Research Head, Korea and Singapore. Read more here.