In order to lessen the possibility of an economic downturn, South Korea has promised to pay 50 billion won ($43. 7 billion) to support credit markets that are being negatively impacted by rising interest rates.
According to the Bloomberg News Agency, South Korea will work to expand and run the “liquidity supply programme” to avoid credit pressure for short-term businesses and financial markets. This was stated in a statement by the country’s finance minister, Chu Kyung Ho, after the central bank governor, Ri Chang Yong, and other officials met today.
This pledge is one of the largest financial support rounds since South Korea has announced an increase in emergency financing to about 100 trillion WNA to protect companies at the height of the Corona’s pandemic.
Tomorrow, South Korea is expected to begin purchasing commercial papers and corporate bonds after receiving a 1. 6 trillion won injection from the 20 trillion won stability fund.
South Korea promises to provide $35 billion in support for the credit markets.
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