Rhee Chang-yong, governor of the Bank of Korea, stated accordingly at a press briefing after the first regular meeting of the Bank of Korea's monetary policy committee this year on the 15th, when asked about the background of the recent won-dollar exchange rate rising to the 1,470-won level.

Rhee said, "If you break down the won-dollar exchange rate climbing to the 1,470-won level, about three-fourths of it was due to a strong dollar and a weak yen," adding, "Geopolitical risks surrounding Venezuela also had an impact."

Rhee Chang-yong, governor of the Bank of Korea, strikes the gavel during the plenary session of the Bank of Korea's monetary policy committee at the Bank of Korea in Jung-gu, Seoul, on the morning of the 15th. /Courtesy of News1

Rhee said, "The remaining one-fourth rose due to factors unique to us."

Regarding the domestic imbalance in dollar supply and demand, Rhee said, "The National Pension Service and the Ministry of Health and Welfare started currency hedging since the end of December, so flows have been steadily coming in, and the outflows going overseas have been reduced, which has changed things in a way that helps the supply-demand factors a lot."

However, Rhee said, "In the short term, there is still a need to change the market's supply-demand imbalance and the expectation that the exchange rate will continue to depreciate."

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