Bank of Korea

Market Infrastructure

Myanmar Awards Licences to Seven More Foreign Banks

By Editors | 13/04/2020

The preliminary licences were awarded to three Korean banks, two Taiwanese banks, one Hong Kong bank and one Thai bank.

Fintech / Regtech

BOK Launches 22-Month Pilot Programme to Test CBDC Issuance

By Editors | 06/04/2020

Under the 22-month plan, the BOK will set up a CBDC pilot system and explore the technical and legal issues surrounding its introduction in Korea.

Market Infrastructure

Fed Establishes Repo Facility to Ease USD Funding Stress

By Editors | 31/03/2020

Foreign central banks can temporarily exchange their US Treasury holdings with the Fed for US dollars, which can then be made available to institutions in their own jurisdictions.

Capital / Liquidity

S. Korea to Adopt Basel III Credit Risk Framework Early

By Editors | 30/03/2020

Lower risk sensitivity on SME loans under the Basel III credit risk framework will raise capital adequacy ratios at banks, allowing them to provide additional funding to businesses.

Market Infrastructure

BOK to Provide Banks $12b in USD Funding This Week

By Editors | 30/03/2020

The move is expected to help stabilise US dollar funding markets,  after the BOK signed a $60bn currency swap agreement with the US Federal Reserve earlier this month.

BOK Promises “Unlimited Liquidity” for Financial Firms

By Editors | 26/03/2020

South Korean authorities will also reduce the amount of high-quality foreign assets banks need to hold to free up additional US dollar liquidity.

Market Infrastructure

Fed Establishes FX Swap Lines with Nine Central Banks

By Editors | 19/03/2020

Temporary currency swap lines will be established with 9 central banks – including BOK, RBA, MAS and RBNZ – to lessen the strain on US dollar funding markets.

Securities / Derivatives

S. Korea to Launch Market Stabilisation Funds, More SME Support

By Editors | 19/03/2020

The government has also decided on emergency financial measures worth 50 trillion won to support SMEs and individuals with low credit ratings.

Securities / Derivatives

S. Korea Revises FX Derivatives Rule to Ease USD Funding Stress

By Editors | 18/03/2020

The limits on banks’ foreign currency forward positions will be raised to guard against a US dollar funding shortage amid a mass exodus of foreign capital.