Deputy PM's Call for Responsible Investment

Deputy Prime Minister and Minister of Economy and Finance Choi Sang-mok recently emphasized the crucial role of institutional investors, including pension funds, in maintaining stability within the stock market. Speaking at an emergency macroeconomic and financial issues meeting held at the Korea Federation of Banks in Jung-gu, Seoul, Choi stated, "Stock market volatility is excessive... Pension funds must continue to play a responsible role."

The meeting, attended by key financial figures such as Bank of Korea Governor Rhee Chang-yong and Financial Services Commission Chairman Kim Byung-hwan, addressed the recent turbulence in both financial and foreign exchange markets. Participants agreed that while the volatility is significant, it does not fully reflect the robust fundamentals and external soundness of the South Korean economy.

National Pension Service's Impact

South Korea's National Pension Service (NPS), one of the largest pension funds globally, was highlighted for its substantial influence on both domestic and international markets. The NPS's investment strategies and decisions are pivotal in shaping the stock market and overall economic stability.

The attendees also stressed the importance of individual investors maintaining a composed perspective. They reassured that the government and the Bank of Korea possess ample capacity to manage market volatility, citing the nation's substantial foreign exchange reserves and net external financial assets.

Strategic International Relations

In addition to addressing market volatility, the meeting outlined plans for continued investment relations (IR) with major overseas institutions. This includes conference calls with the world's three major credit rating agencies and meetings with international finance executives, aimed at maintaining investor confidence and attracting foreign investment.