South Korea’s Ministry of Economy and Finance held an emergency meeting on Thursday to assess the impact of the U.S. Federal Reserve’s decision to freeze interest rates on domestic and global financial markets. The meeting, chaired by finance minister Choi Sang-mok, included officials from the Bank of Korea, the Financial Services Commission and the Financial Supervisory Service.

The ministry noted that while the Fed’s decision contributes to international financial market stability, potential risks in non-bank financial institutions and real estate project financing remain manageable. To facilitate an orderly soft landing, the government plans to expand loan guarantees, broaden support for normalization funds, and promote market-driven restructuring by revising assessment standards and amending lead bank agreements.