F4 financial chiefs vow vigilance on US midterm economic fallout

The heads of South Korea's four key economic and financial institutions, known as the F4, have agreed to closely assess the impact of the US midterm election results on the domestic economy and mount a thorough response.

Deputy Prime Minister and Minister of Economy and Finance Lee Hyeong-il, Bank of Korea Governor Shin Hyun-song, FSC Chairman Lee Eok-won and Financial Supervisory Service Director General Lee Chan-jin convened a market situation review meeting Thursday afternoon at the Export-Import Bank of Korea in Yeongdeungpo-gu, Seoul, according to the Ministry of Economy and Finance.

The participants discussed the implications of the US midterm election results — in which the Democratic Party secured majorities in both the Senate and the House of Representatives — for future fiscal, trade and industrial policy.

The group determined that the impact on domestic financial markets and the real economy would vary depending on the direction of US policy, the specifics of any measures taken and the pace of their implementation. They agreed to focus closely on shifts in US policy and regulation related to the AI industry, the trajectory of tariff policy and developments in the Middle East conflict.

The officials also reaffirmed their commitment to close interagency coordination to guard thoroughly against the risk of heightened financial market volatility, while working to ensure the Korean economy can sustain stable growth even as the external environment changes.