South Korea Exempts Securities Firms from 140% Collateral Ratio for 3 Months Starting Nov 19

According to deputy PM and Finance Minister Lee Hyung-il, on November 6, South Korea announced measures to stabilize financial markets amid global stock volatility. Securities firms will be exempted from the 140% collateral maintenance requirement for credit transactions for three months beginning November 19, aimed at preventing excessive reverse selling as stock prices fell sharply.

Authorities said they will closely monitor excess risk sentiment and supply-demand imbalances, with plans to implement additional stabilization measures if volatility widens further. Government officials noted South Korea's economic fundamentals remain solid, with forecasts for mid-3% growth, $1 trillion exports, and corporate operating profits exceeding 900 trillion won this year.

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