"Foreign Exchange Authorities Defend Won, Net Sell $797 Million in Q2"

Bank of Korea Releases Market Stabilization Measures for Second Quarter of This Year

The foreign exchange authorities made a net sale of 797 million US dollars in the market during the second quarter to defend the exchange rate.

Yonhap News Agency

According to the "Market Stabilization Measures for the Second Quarter of 2025" released by the Bank of Korea on the 30th, the net foreign exchange transactions carried out by the authorities in the foreign exchange market for stabilization purposes in the second quarter amounted to negative 797 million US dollars. This negative net transaction amount, calculated by subtracting total sales from total purchases, means that the authorities made a net sale of US dollars in the foreign exchange market. The authorities typically intervene in the market to stabilize it when exchange rate volatility becomes excessive.

In the first and second quarters of last year, the foreign exchange authorities made net sales of 1.815 billion US dollars and 5.796 billion US dollars, respectively. After making a net purchase of 192 million US dollars in the third quarter, they made a net sale of 3.755 billion US dollars in the fourth quarter due to a sharp rise in the exchange rate. In the first quarter of this year, they also made a net sale of 2.96 billion US dollars in response to a surge in the exchange rate.

The Bank of Korea and the Ministry of Economy and Finance have been disclosing the quarterly net transaction amounts of the foreign exchange authorities since the third quarter of 2019.