S. Korea forex policy eyes price stability-finmin

Sun Aug 3, 2008 10:16pm EDT
 
[-] Text [+]

TOKYO, Aug 4 (Reuters) - South Korean Finance Minister Kang Man-soo said the nation's foreign exchange policy will take into account price stability, Japan's Nikkei economic daily reported on Monday.

Kang also told the Nikkei in an interview that short-term measures to stabilise prices and mid- to long-term steps to boost economic growth can go together.

The comments suggest that South Korea will continue to cope with any sharp falls in the won KRW=, which would accelerate inflation, through won-buying and dollar-selling intervention, the Nikkei said.

The South Korean government has conducted won-buying intervention in huge amounts since early July after shifting its policy focus from boosting growth to stabilising prices. (Reporting by Leika Kihara; Editing by Michael Watson)

 
Join the Reuters Consumer Insight Panel and help us get to know you better

Join the Reuters Consumer Insight Panel and help us get to know you better