south-korea-in-talks-with-euroclear-to-boost-won-accessibility,-fx-official-says

South Korea in talks with Euroclear to boost won accessibility, FX official says © Reuters. A South Korea won note is seen in this illustration photo May 31, 2017. REUTERS/Thomas White/Illustration

By Cynthia Kim and Yena Park

SEJONG (Reuters) – A senior South Korean official in charge of currency markets said on Tuesday his team was in talks with securities settlement house Euroclear, aiming to boost foreign investors’ access to the won currency and eventually attract more capital inflows.

The Brussels-based settlement house, which completes transactions in stocks and bonds across Europe, said in August last year it would open an omnibus account for South Korean treasury bonds.

“We’re of course in talks with them to address any inconveniences faced by foreign investors,” Shin Joong-beom, director general of the finance ministry’s International Finance Bureau, told Reuters in an interview, referring to forex deals.

“If there are, we would positively review to address them,” he added.

Providing accounts for Korean treasury bonds at Euroclear will enable foreign investors to trade Korean bonds on a tri-party platform, a major requirement for the bonds to be included in Russel’s World Government Bond Index.

LEAVE A REPLY

Please enter your comment!
Please enter your name here