U.S. Treasury and S. Korean government had agreed to not make unfair exchange rate interventions
- 6 years ago
It was revealed that South Korea and the U.S. had agreed to not make unfair exchange rate interventions when they signed their free trade agreement last month.
They shared an "understanding" on the matter when they signed the agreement.
But this matter was not shared to local market participants at that time and an explanation from the South Korean government about its meaning is being called for.
The White House said that outside the context of KORUS, the U.S. Treasury Department has an understanding with South Korea to avoid competitive devaluation and practices that provide an unfair competitive advantage.
The understanding includes strong commitments on exchange rate practices, robust transparency, and reporting.
They shared an "understanding" on the matter when they signed the agreement.
But this matter was not shared to local market participants at that time and an explanation from the South Korean government about its meaning is being called for.
The White House said that outside the context of KORUS, the U.S. Treasury Department has an understanding with South Korea to avoid competitive devaluation and practices that provide an unfair competitive advantage.
The understanding includes strong commitments on exchange rate practices, robust transparency, and reporting.