Financial Regulatory Forum

S.Korea to restrict FX borrowing, excessive hedging

September 25, 2009

A South Korean bank clerk shows new 5,000-won ($4.93) bank notes at the headquarters of Woori Bank in Seoul January 2, 2006. The Bank of Korea begun to distribute on Monday the new 5,000-won bank notes, the second-highest denomination in the country's currency, which is aimed to prevent counterfeiting and forgery attempts for public use, local media reported. REUTERS/Kim Kyung-Hoon    Sept 25 (Reuters) – South Korea is discussing measures to crack down on excessive foreign-currency borrowing by banks, Chin Dong-soo, chairman of the Financial Services Commission, said.
   The timing of the proposed measures may be flexible, depending on decisions on global standards by the Financial Stability Board, the G20’s regulation coordination arm, he said. (more…)

Ukraine cbank to lift ban on forwards, spot FX deals

August 27, 2009

A man passes a foreign currency exchange rate board in Kiev July 30, 2009. The Ukrainian hryvnia currency has fallen in recent weeks, despite the central bank spending its foreign currency reserves, as people demanded to buy the dollar in times of economic uncertainty.   REUTERS/ Konstantin Chernichkin (UKRAINE POLITICS BUSINESS)    KIEV, Aug 27 (Reuters) – Ukraine’s central bank will end a ban on forward and spot trades on the foreign currency market as of Oct. 26, according to documents published on Thursday.

In China, banks chafe at derivatives drive

July 28, 2009

By Eadie Chen and Jonathan Leff
BEIJING/SINGAPORE, July 27 (Reuters) – While Washington pursues a high-profile overhaul of its derivatives markets, a more modest but equally important crackdown is underway in China. (more…)

S.Korea eyes curbs on FX margin trading from Sept

July 16, 2009

KOREA    SEOUL, July 16 (Reuters) – South Korea will sharply lower the leverage investors can employ when trading currencies via margin trading to discourage speculative trading, the top financial regulatory agency said on Thursday.