March 2017

KR holds the 3rd Mac-Net WG-Ship Finance seminar

13 March, 2017

The Maritime Cluster Networking (Mac-Net), which was formed to strengthen networking in the maritime industry in Korea, held its 3rd working group seminar on ship finance.

The seminar covered two subjects which were “Trends of shipping markets and their implications for ship finance”, delivered by Dr. Yang Jong-seo, The Export-Import Bank of Korea and “World’s P&I market and trends of KP&I” from speaker Mr. Um Sung-ho, Korea KP&I.

Dr. Yang noted that because of the prolonged downturn and oversupply of vessels, the newbuilding market has been severely depressed. However, he said that recent marine environment regulations and a rise in oil prices would undoubtedly lead to investment in new ships, which will support a market recovery in 2018.

He suggested that investment to support this recovery is unlikely to come from banks, private equity funds, stock markets or bond markets as there has been so little market growth in recent years. As a result, this year offers a unique chance for the finance industry to reassess its support and investment in the shipping and shipbuilding industries. Dr Yang called on the Korean Government and financial sectors to seize the initiative and to raise awareness of this opportunity.

Discussing the “World’s P&I market and trends of KP&I”, Mr. Um emphasized that KP&I provides a global level of professional services. However, he said that more cooperation from government-run banks and the ship finance sector are needed.

Attendees at the seminar exchanged valuable information and feedback by sharing presentations and taking part in discussions on practical concerns affecting the shipping and shipbuilding industry. They agreed to work to build an industry environment promoting mutual growth.

Attendees at the 3rd Mac-Net WG-Ship Finance seminar

KR Webzine Vol.109