Seoul: South Korea’s president ordered the activation of a $68 billion market stabilisation fund Thursday, citing the need to smooth out volatility caused by “the escalating crisis in the Middle East”. “The government should… appropriately execute and manage the 100 trillion won market stabilisation programme designed to pre-empt instability in the capital market,” President Lee Jae Myung said.
According to Bangladesh Sangbad Sangstha, the activation of this substantial market stabilisation fund comes as a precautionary measure to counteract potential disruptions in South Korea’s financial markets. The government’s proactive approach aims to safeguard the nation’s economy from the ripple effects of the ongoing turmoil in the Middle East.
The decision underscores South Korea’s commitment to maintaining financial stability and investor confidence during uncertain times. By deploying this extensive fund, the government seeks to mitigate risks and ensure the smooth functioning of capital markets amidst growing geopolitical tensions.