South Korea to watch financial markets closely amid concerns over volatility caused by omicron

This photo, taken on Sunday, shows an arrival hall at Incheon International Airport, west of Seoul. Health officials began barring the entry of foreigners from eight African countries, including South Africa, on the same day to block the influx of the new variant of COVID-19 omicron. (Yonhap)

South Korea will closely monitor global and local financial markets for any impact of the emergence of the omicron variant of the coronavirus and take preventive and active measures, if necessary, to reduce market volatility, a senior official of the Ministry of Finance.

Senior Deputy Finance Minister Lee Eog-weon made the remark during a meeting to discuss macroeconomic issues as financial market volatility could escalate due to the spread of the potentially more transferable omicron variant. .

“It is difficult to rule out the possibility that omicron may serve as an uncertainty factor that could increase volatility in domestic and international financial markets in the short term due to the lack of information,” said Lee.

“We will monitor the local and foreign financial markets around the clock,” added Lee. “If necessary, we will respond preventively and actively in cooperation with the relevant agencies. “

Lee has always urged people to remain calm, noting that local financial markets, in particular, have gained resilience in the process of recovering from the impact of previous waves of the pandemic.

“Contactless working and increasing online spending has also increased the ability to better cushion any impact from the coronavirus,” he said.

South Korea on Sunday imposed an entry ban on all foreign arrivals from eight African countries in a bid to block the influx of the omicron variant.

South Korea has seen its daily coronavirus cases remain high amid its efforts to bring pandemic-affected life and economy back to normal by relaxing social distancing rules in phases as part of its ” life with COVID-19 ”introduced earlier this month.

The government planned to take the second step in mid-December, but health officials have warned the country may not be able to do so if the current trend continues.

Earlier today, local stock and money markets got off to a weak start amid concerns over the omicron variant. (Yonhap)

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