In particular, an increasing number of central banks around the globe either comply fully with IFRSs or apply an adjusted version of IFRSs.
This was encouraged by the prevalent low interest rates in advanced countries, abundant global liquidity, and Korea’s sound economic fundamentals. Between 2006 and 2007, however, bond investment inflows took on a more dominant role than equity investment, greatly helped by the increased arbitrage incentives for bond investment. As a result of these large capital inflows, pressures for the appreciation of the Korean won persisted.