# South Korea's Finance Minister Prepares Market Stabilization Measures

> South Korea's Finance Minister says market stabilization steps ready if stock volatility widens, eyes stabilization fund.
- Title: South Korea's Finance Minister Prepares Market Stabilization…
- Summary: South Korea's Finance Minister says market stabilization steps ready if stock volatility widens, eyes stabilization fund. South Korea's Finance Minister Lee…
- Keywords: south korea, finance minister lee hyung-il, stock market stabilization fund, korea us currency swap, won-dollar exchange rate, kosi, semiconductors, g20 finance ministers meeting, finance, markets, South, Korea's
- Source: BigGo Finance — https://finance.biggo.com/news/5b8c39fe-8a96-4da5-8af6-d82eb718b193
- Author: BigGo Finance
- Published: 2026-10-19T06:25:30+00:00
- Read time: 1 min
- Topics: south korea, finance minister lee hyung-il, stock market stabilization fund, korea us currency swap, won-dollar exchange rate, kosi, semiconductors, g20 finance ministers meeting, finance, markets
## South Korea's Finance Minister
South Korean Deputy Prime Minister and Minister of Economy and Finance Lee Hyung-il said the government is preparing to deploy market stabilization measures if needed amid recent volatility.
## Market Stabilization Measures
The government is ready to inject the stock market stabilization fund or temporarily halt short selling if stock volatility widens.
## Volatility Drivers
Rising global interest rates, AI and semiconductor investment profitability concerns, and Middle East geopolitical risks drive recent market correction.
## Economic Fundamentals
South Korea's economic fundamentals remain solid due to a large current account surplus and strong growth trends.
## Won-Dollar Exchange Rate
The won-dollar exchange rate has fallen to around 1,330 won (approximately $1), a process of returning to economic fundamentals.
## Korea-US Currency Swap
A Korea-US currency swap is necessary as a safety net for South Korea's foreign exchange market, but not a request due to lack of foreign currency liquidity.
## Stabilization Fund Details
The stock market stabilization fund pools capital to buy shares during market declines, first introduced in 1990 and deployed in 2003 and 2008.
## Key takeaway

South Korea's Finance Minister Lee Hyung-il prepares market stabilization measures if stock volatility widens, citing global interest rates, AI and semiconductor investments, and Middle East risks as drivers of recent market correction.