Finance ministry / Bank of Korea joint statement:
-
South
Korea
to ease FX
regulations to improve liquidity conditions
No further details as yet.
Here we go, more, via Reuters:
- “Strict regulations restrain the efficiency of foreign
exchange management, and there is a need to take into account
worsened foreign exchange liquidity conditions after recent
events,” - ceiling of foreign exchange
futures contracts will be raised to 75% of capital holdings for
local banks and 375% for Seoul branches of foreign banks, from
the current 50% and 250%, respectively. - measures also include allowing companies to take out loans
in foreign currencies and exchange the funds for the won, if
they are used for investing in facilities such as equipment,
property and land purchases. - ministry said it would implement the measures in a swift
manner and consider expanding them after reviewing the effects.
This article was written by Eamonn Sheridan at www.forexlive.com.
