South Korea Finance Ministry Vows Market Stability After Yoon's Impeachment
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South Korea's finance ministry has pledged to actively stabilize the economy after President Yoon Suk Yeol was impeached, as reported by Reuters. The ministry stated on Sunday that it would swiftly deploy market-stabilizing measures as needed, prioritizing economic stability in the wake of the political upheaval.
The ministry emphasized its commitment to transparent communication with parliament, assuring the public that its biannual policy plan would be announced before year's end. This proactive approach aims to address public concerns and mitigate potential economic fallout from the impeachment.
"The government will actively communicate with the National Assembly to ensure the smooth operation of the state and the stability of the people's livelihood," the ministry said in a statement.
The leader of the main opposition Democratic Party, Lee Jae-myung, has called for the establishment of a National Stability Council for Governance. This council, encompassing the government and parliament, would focus on key areas such as finance, the economy, and public welfare.
The Bank of Korea (BOK) has also issued a statement, asserting its readiness to utilize all available policy tools in coordination with the government to prevent excessive volatility in financial and foreign exchange markets.
Recognizing the unique circumstances of this impeachment, the BOK highlighted the need for a more proactive response compared to previous instances, citing heightened external challenges such as increased trading environment uncertainty and intensified global competition in key industries.
South Korea's financial regulator acknowledged that financial markets are likely to stabilize as recent political events are viewed as temporary shocks. However, the regulator stated its willingness to expand market-stabilizing funds if necessary.