Seoul: The country's leading financial regulator announced its readiness to activate a 10 trillion-won (US$7 billion) stock market stabilization fund to counter market fluctuations following President Yoon Suk Yeol's unexpected imposition and subsequent lifting of martial law. Kim Byoung-hwan, the head of the Financial Services Commission (FSC), made the declaration during a strategic meeting with the Financial Supervisory Service (FSS) and state-owned financial institutions.According to Yonhap News Agency, Kim emphasized that the authorities are prepared to use the stabilization fund and other measures to maintain market stability. Additionally, he revealed that 40 trillion won is available for stabilizing the bond market. The regulator also highlighted plans to monitor the foreign currency prudence of local financial firms closely, with provisions to inject liquidity into the currency market as necessary.FSS chief Lee Bok-hyun advised his team to prepare for comprehensive risk management. The financial watchdog will implement continuous market monitoring until stability is restored. Market reactions included a 1.44 percent drop in the KOSPI, closing at 2,464.00, and a 1.98 percent decline in the KOSDAQ, closing at 677.15. The Korean won weakened, trading at 1,410.1 against the US dollar by mid-afternoon, down 7.2 won from the previous session.
- September 13, 2026
