Vice Minister of Economy: "Concerns Over Prolonged High Interest Rates... Timely Market Stabilization Measures Implemented"

Kim Byung-hwan, First Vice Minister of the Ministry of Economy and Finance, stated on the 3rd that "if excessive market concentration occurs amid the rising U.S. Treasury yields and global financial market uncertainties, timely market stabilization measures will be implemented."

On the same day, Vice Minister Kim held an internal market situation review meeting in the afternoon to assess domestic and international financial and foreign exchange market conditions. The meeting was attended by departments responsible for financial, foreign exchange, and bond markets within the Ministry of Economy and Finance.

Kim Byung-hwan, the 1st Vice Minister of the Ministry of Economy and Finance, is delivering opening remarks at the Emergency Economic Vice Ministers' Meeting and the 1st Pan-Government Task Force Meeting on Regional Investment Support held on the 22nd at the Government Seoul Office in Jongno-gu, Seoul. Photo by Jo Yong-jun jun21@

Vice Minister Kim evaluated that during the Chuseok holiday period, the risk of a U.S. federal government shutdown was postponed to mid-November, and last month, South Korea's trade balance recorded a surplus for four consecutive months since June, with exports showing the most favorable decline rate since October of last year, indicating factors that alleviate market uncertainties.

However, the U.S. Federal Reserve (Fed) maintained interest rates last month while signaling its intention to prolong high-intensity tightening, resulting in continued volatility in the global financial markets.

Vice Minister Kim instructed, "Through a 24-hour monitoring system with related agencies, maintain vigilance without letting down your guard and strengthen market monitoring with special attention to domestic and international financial market volatility."

He also urged that if excessive market concentration occurs, prompt market stabilization measures should be swiftly implemented in a timely manner according to the pre-established response plans for various situations.