S. Korean banks closing branches to focus on 'untact' transactions

The number of South Korea's commercial bank branches in the first quarter plummeted to 6,658, 85 percent less from the same period last year, and 56 percent less from last quarter due to preference for "untact" or non-face-to-face contact.

The shutdown is intensifying with the country's four major commercial banks Shinhan, KB Kookmin, Hana, and Woori, having announced the closure of a combined 24 locations in July.

For the remaining branches, the banks are implementing digitalized ways to reduce transactions between employees and clients.

Among the developments are installing tablet computers to minimize the exchange of documents and money.

To improve digitalization, banks have been either hiring or giving more authority to chief digital officers (CDO).

The CDOs would be at the helm in the banks' relationship with the government initiative dubbed as Digital New Deal, announced early this month intended to expand the country's digital economy for the post-virus era.

All four major banks have given CDOs or IT-related teams the authority to handle their personnel matters and budgets.