Temporary fixes become policy as South Korea manages rising financial stress

Temporary fixes become policy as South Korea manages rising financial stress
January 22, 2026

LATEST NEWS

Temporary fixes become policy as South Korea manages rising financial stress

Repeated extensions of temporary stabilization measures reveal strain between capital mobility and an ageing framework

South Korea is increasingly relying on extended crisis-era financial tools to manage foreign exchange (FX) and bond market pressures, underscoring a growing mismatch between the scale and mobility of today’s capital flows and a regulatory framework that was not designed for persistent system-wide stress.

RECENT SIGNALS

South Korea is increasingly relying on extended crisis-era financial tools to manage foreign exchange (FX) and bond market pressures, underscoring a growing mismatch between the scale and mobility of today’s capital flows and a regulatory framework that was not designed for persistent system-wide stress.

RECENT SIGNALS

Get your
KoreaPro
subscription today!

Unlock article access by becoming a KOREA PRO member today!

Unlock your access
to all our features.

Standard Annual plan includes:

  • Receive full archive access, full suite of newsletter products

  • Month in Review via email and the KOREA PRO website

  • Exclusive invites and priority access to member events

  • One year of access to NK News and NK News podcast

There are three plans available:
Lite, Standard and
Premium.

Explore which would be
the best one for you.

Explore membership options

© Korea Risk Group. All rights reserved.
No part of this content may be reproduced, distributed, or used for
commercial purposes without prior written permission from Korea Risk
Group.

Share this post:

POLL

Who Will Vote For?

Other

Republican

Democrat

RECENT NEWS

How the new US forum for critical minerals shifts risk to allies like Seoul

How the new US forum for critical minerals shifts risk to allies like Seoul

US and South Korea affirm nuclear cooperation while tariff escalation proceeds

US and South Korea affirm nuclear cooperation while tariff escalation proceeds

US 2026 defense strategy shifts deterrence responsibility to South Korea

US 2026 defense strategy shifts deterrence responsibility to South Korea

Dynamic Country URL Go to Country Info Page