South Korea warns won misalignment, discusses currency coordination with Japan

South Korea’s vice finance minister Huh Chang said Seoul is maintaining close communication with Japan and other key allies on foreign‑exchange matters, noting that the won is “significantly misaligned” with economic fundamentals. He added that the government is prepared to intervene if illiquidity leads to excessive price swings, ahead of a shift to a 24‑hour dollar‑won trading cycle.

Huh’s comments come as the won hovers near a 17‑year low against the dollar and the yen also faces steep declines. Deputy finance minister Moon Ji‑sung said Seoul is also exchanging information with Washington and is reviewing measures to move offshore non‑deliverable forward trading into the on‑shore spot market as trading hours are extended.