South Korean Won Steadies on BOK Remarks

2026-01-02 04:35 By Erika Ordonez 1 min. read

The South Korean won held steady around 1,440 per dollar on the first trading day of 2026, as investors assessed remarks from the BOK Governor Rhee Chang-yong.

He said the won remains “misaligned” with economic fundamentals and signaled the central bank’s renewed determination to support FX stability.

Rhee reiterated that the central bank would block US-bound investments that could threaten FX stability, with annual outflows capped at $20 billion under government guidelines linked to the Seoul-Washington trade deal, and urged the National Pension Service to review its overseas investment strategies.

Authorities are also using temporary tax exemptions to attract foreign capital back into local equities and direct dollar sales by the NPS.

Strong trade performance is underpinning the won, with 2025 exports hitting a record $709.7 billion, led by semiconductors and automobiles.

The economy is forecast to grow 1.8% this year amid shifts in the global trade environment.



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