South Korea has officially transitioned to a 24-hour foreign exchange (FX) market, marking a significant milestone in its efforts to elevate the Korean won's global standing. The around-the-clock trading environment is expected to significantly improve convenience for domestic and international investors, as well as exporters and importers, by enabling currency transactions regardless of time zones.
According to the Bank of Korea and the Ministry of Economy and Finance, Deputy Prime Minister and Finance Minister Koo Yun-cheol visited the foreign exchange dealing room at Hana Bank's headquarters in Seoul on July 6, the first day of 24-hour trading. During the visit, he met with domestic and overseas market participants, gathered their feedback, and encouraged employees overseeing market operations.
The launch of the 24-hour FX market is backed by South Korea's strong economic fundamentals, including solid external stability and a record current account surplus. The reform also reflects growing demand from foreign investors following the country's inclusion in the FTSE World Government Bond Index (WGBI). By establishing market infrastructure comparable to that of advanced financial centers, the government aims to enhance the international status of the Korean won.
Beginning July 6, the FX market will operate continuously from 6:00 a.m. Monday until 6:00 a.m. Saturday. During U.S. standard time (winter time), trading hours will instead run from 7:00 a.m. Monday to 7:00 a.m. Saturday. In preparation for the launch, the government, the Bank of Korea, banks, securities firms, brokerage companies, and export-import businesses revised relevant regulations, internal procedures, and business practices while strengthening staffing levels.
Market participants expect the new system to provide a range of benefits, including enabling exporters and importers to hedge foreign exchange risk in real time and creating new business opportunities for domestic financial institutions and brokerage firms.
Kwon Min-soo, Senior Deputy Governor of the Bank of Korea, who also attended the event, said the 24-hour market would broaden and deepen South Korea's FX market. “Together with the government, we will closely monitor market developments and continue our policy efforts to support the market,” he said. Representatives from Hana Bank and exporting companies also expressed confidence that the expanded trading environment would strengthen their international competitiveness.
The government said maintaining FX market stability and ensuring the successful settlement of the new system will remain its top priorities. It plans to operate a 24-hour market monitoring framework while steadily advancing follow-up reforms, including the development of an offshore won settlement system capable of supporting round-the-clock fund transfers ahead of its planned full launch in January 2027.
