The Bank of Korea Says "Won Depreciation Accelerates... Strengthening Monitoring"

Emergency Market Situation Review Meeting on the Afternoon of the 7th

[Image source=Yonhap News]

[Asia Economy Reporter Seo So-jeong] As the won-dollar exchange rate surpassed 1,380 for the first time since the financial crisis, the Bank of Korea held an emergency meeting to discuss measures to stabilize the market.

The Bank of Korea announced that on the 7th at 2 p.m., it held an 'Emergency Market Situation Review Meeting' chaired by Deputy Governor Lee Seung-heon to assess the recent domestic and international financial and foreign exchange market conditions.

Deputy Governor Lee Seung-heon stated, "The won-dollar exchange rate has rapidly risen mainly due to strengthened expectations of tightening by the U.S. Federal Reserve (Fed) and increased uncertainty in the international financial markets. While this trend is common among major currencies, the recent speed of the won's depreciation is faster than what our economic fundamentals would suggest."

He added, "We will closely monitor foreign exchange market trends going forward and actively strive to stabilize the market. Since there is a high possibility of increased volatility in the foreign exchange market due to events such as the European Central Bank (ECB) monetary policy meeting, we will strengthen monitoring of international financial market trends during the Chuseok holiday period and reinforce our response posture."

The Bank of Korea plans to hold a 'Market Situation Review Meeting' chaired by Deputy Governor Lee at 8 a.m. on the 13th, immediately after the Chuseok holiday, to comprehensively assess the international financial market situation during the holiday period.

This content was produced with the assistance of AI translation services.