South Korea plans to host a government-led overseas investor relations session to explain the country’s economic conditions and unveil market-boosting measures, Deputy Prime Minister and Finance Minister Choi Sang-mok said on Monday.
At an emergency macroeconomic and financial issues meeting, Choi also said the government will expedite the implementation of key policies such as stock market value enhancement, the inclusion of government bonds in the World Government Bond Index (WGBI), and the advancement of capital and foreign exchange markets.
“We will continue 24-hour monitoring of financial and foreign exchange markets,” he said. “Our efforts to maintain Korea’s external creditworthiness will also continue, including hosting Korean investor relations events, appointing ambassadors for international finance and investment cooperation, launching a government task force for foreign investor ombudsman activities and strengthening incentives for foreign investment.”
The Monday meeting, known as the F4 Meeting, was attended by Bank of Korea Governor Lee Chang-yong, Financial Services Commission Chairman Kim Byoung-hwan and Senior Deputy Governor of Financial Supervisory Service Lee Se-hoon.
In October, FTSE Russell, the global index subsidiary of the London Stock Exchange Group, said that Korea will be included in its FTSE World Government Bond Index, or WGBI, from November 2025.
The National Pension Service (NPS), Korea’s state-run pension fund and the country’s largest institutional investor, said it expects some $56 billion inflow of foreign funds once Korea’s inclusion in the WGBI is completed.
ASEAN+3 AMRO MEETING
Separately, the finance minister also attended the ASEAN+3 Macroeconomic Research Office (AMRO) meeting held in Seoul to reassure the eased economic uncertainty following the impeachment of President Yoon Suk Yeol on Saturday.
In his congratulatory address at the AMRO meeting, he said: “The uncertainty surrounding Korea’s political situation has been resolved. Korea’s economic system and emergency response framework are operating stably.”
He said the government will closely cooperate with the ruling and opposition parties to ensure the smooth implementation of major economic policies.
AMRO, founded in 2011, focuses on promoting macroeconomic and financial stability in the Asian region. It includes the 10-member Association of Southeast Asian Nations and three Northeast Asian partners – Korea, China and Japan.
MARKETS ON A POSITIVE NOTE
Earlier on Monday, Korea’s financial markets were on the positive territory, shrugging off a spate of political events over the past weeks.
The main Kospi stock index was 0.7% higher at 2,512.95, while the tech-heavy Kosdaq index was 1% higher at 700.29. The Korean won strengthened to 1,428.70 per dollar.
Analysts said the Korean won is expected to stage a rebound from its two-year low against the US dollar and hold steady in 2025 after Saturday’s impeachment of President Yoon reduced political uncertainty over Asia’s fourth-largest economy.
On Friday, three global ratings agencies – Moody’s, Fitch and S&P Global – all shared the view that Korea’s credit ratings and its economic fundamentals are unscathed by Yoon’s botched martial law attempt and the ensuing political chaos.
Korea’s finance minister and central bank chief have vowed to take necessary action to stabilize the domestic economy.
By Kyung-Min Kang
Kkm1026@hankyung.com
In-Soo Nam edited this article.
