The United States and South Korea agreed on Saturday to implement liquidity facilities to stabilise financial markets if needed, Korea's finance ministry said after a teleconference between finance chiefs of the two countries.
The won is near its lowest level since March 2009, and has weakened 17% against the surging U.S. dollar so far in 2022, amid a broad sell-off in emerging market currencies as the Federal Reserve aggressively raises interest rates.
However, the statement released on Saturday did not elaborate on whether the facilities that may be deployed referred to a currency swap and South Korea's finance ministry did not give further details.
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