The Ministry of Economy and Finance held a 'Macroeconomic and Financial Issues Meeting (F4 Meeting)' and checked the trends in domestic and foreign financial markets, it noted on the 16th.
The meeting was chaired by acting Minister Kim Beom-suk, with attendees including Bank of Korea Governor Lee Chang-yong, Financial Services Commission Chairman Kim Byeong-hwan, and Financial Supervisory Service Chief Lee Bok-hyeon.
Participants shared a common perception during the meeting that 'the domestic financial and foreign exchange markets are showing generally stable trends.' However, they noted that 'uncertainties remain regarding tariff negotiations between major countries and the United States economy' and said they would continuously monitor the situation centered around the F4 meeting.
The meeting also discussed the application direction of the 'Stage 3 Stress Debt Service Ratio (DSR).' The government is planning to implement the Stage 3 measures starting in July, but attendees agreed that 'in regions, it is necessary to apply different measures reflecting the construction market situation compared to the metropolitan area.'
Detailed implementation plans are scheduled to be announced next week. Previously, authorities introduced Stage 2 measures of the stress DSR for housing mortgage loans starting last September, applying a stress rate of 1.2% for the metropolitan area and 0.75% for non-metropolitan areas. Financial authorities have been considering some easing measures for local banks in this Stage 3 application as well.