South Korean Finance Minister Hong Nam-ki said in a policy meeting in Seoul that the government will deploy all available policy measures to boost domestic investment to combat the negative coronavirus risks on the economy.
Key Quotes:
Market volatility may increase again depending on pace of coronavirus spread.
To minimise impact on economy from coronavirus spread.
Coronavirus spread has big direct, indirect impact on local economy.
Ready to deploy contingency plans to calm financial market volatility if needed.
Will take stern market stability measures swiftly if needed.
Feels sluggishness of domestic demand excessive now compared to 2015 when S. Korea was facing MERS.
Market Implications:
The South Korean policymakers are seen reaching out on the wires this Friday to calm the investors amid growing coronavirus risks.
However, Yonhap cited the Korea Centers for Disease Control and Prevention (KCDC), saying that South Korea on Friday reported no new novel coronavirus case for the third consecutive day.
On the positive developments around the coronavirus outbreak and government’s readiness to deploy additional measures to boost the domestic economy, the Korean won (KRW) has bounced-off three-day lows vs. the greenback.
USD/KRW now trades 0.08% lower at 1,182.62, having pulled back from a multi-day top reached at 1,185.40 earlier today.
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