'Yoon's impeachment is key to economic stability'

By Kim Dong-young Posted : December 13, 2024, 10:41 Updated : December 13, 2024, 10:41
From left, Financial Services Commission Chairman Kim Byeong-hwan, Financial Supervisory Service Governor Lee Bok-hyun and Bank of Korea Governor Rhee Chang-yong/ Yonhap
 
SEOUL, December 13 (AJP) - Governor Lee Bok-hyun of the Financial Supervisory Service (FSS) underscored the importance of resolving economic uncertainty through the impeachment proceedings against President Yoon Suk Yeol, framing it as a critical step for the nation’s financial health in the wake of the martial law controversy.

Speaking to reporters on Thursday, Lee stressed that his remarks were not intended to take sides but rather to highlight the necessity of restoring stability to the economy. “This is not about politics. It is about addressing uncertainty and ensuring the resilience of our financial system,” he said.

The comments come as the National Assembly prepares for a second impeachment vote against President Yoon, following his contentious declaration of martial law on Dec. 3. The move sent shockwaves through financial markets, with the South Korean won initially plummeting to 1,442 against the U.S. dollar - the steepest decline among major currencies last week - before stabilizing around 1,430.

Lee, a former prosecutor known for his role in high-profile corruption investigations, was appointed by Yoon in May 2022. His tenure has been marked by efforts to safeguard the financial sector amid mounting political turmoil. Since the martial law crisis erupted, Lee has been convening daily emergency meetings with Bank of Korea Governor Rhee Chang-yong and Financial Services Commission Chairman Kim Byeong-hwan to monitor macroeconomic conditions and maintain market stability.

In addition to domestic efforts, Lee has engaged with international stakeholders to mitigate potential damage to South Korea’s credit standing. He has held discussions with foreign investment banks and diplomatic officials, including Japanese Ambassador Mizushima Koichi, to reassure the global financial community of South Korea’s economic stability.

Lee’s remarks reflect growing concerns among policymakers and investors over the economic fallout from South Korea’s political crisis.

 

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