Bank of Korea sees no big impact from US rating cut

August 6, 2011 06:21


Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user uxperience almost completely free of ads
  • Access to our Premium Section and our monthly magazine to learn Hebrew, Ivrit
  • Content from the award-winning Jerusalem Repor
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later Don't show it again

SEOUL - A senior Bank of Korea official said on Saturday that he saw no major short term impact from a cut in the US credit rating by Standard and Poor's to AA-plus.

"Markets have already had a few scenarios on the US ratings and this was one of them, I think," head of the South Korean central bank's foreign exchange reserve management group, Hong Taeg-ki, told Reuters.

"An AA rating has no difference from AAA when it comes to the risk weighting of assets held by investors according to the Basel III guidelines and therefore there will be no big direct impact in the short run. And there is no alternatives (to shift to)."

South Korea has the world's seventh largest foreign reserves and is a major investor in US Treasuries.

Related Content

Breaking news
July 16, 2018
Trump says US-Russia ties have "never been worse"