Overview
- Shin Hyun-song, nominated to lead the Bank of Korea, said the weak won does not threaten financial stability because dollar funding in local markets remains plentiful.
- The won traded near 1,520 per U.S. dollar, slipping past the 1,500 level many traders watch and nearing lows last seen about 17 years ago after intraday moves toward 1,528.
- He endorsed the government’s proposed 25 trillion-won supplementary budget, an extra spending plan he said would help cushion Middle East-related shocks with limited inflation effects at its current scale.
- He said interest-rate decisions call for patience given uncertainty over the Middle East conflict and higher oil prices, and he rejected hawk‑versus‑dove labels in favor of flexible, data-led choices.
- His confirmation hearing is viewed as a formality before he replaces Gov. Rhee Chang-yong next month, drawing interest because of his background at the Bank for International Settlements.