We will need to account for international monetary and fiscal responses, financial market price changes (e.g., the exchange rate and yield curve), and domestic fiscal responses and intentions, to inform our response. We also remain in regular dialogue with the Treasury to assess how monetary and fiscal policy can be best coordinated.
We also have to tackle the potential threats to financial stability including the mounting number of Koreans on credit blacklists, swelling overdue loans in the household sector and the frail management status of certain financial institutions.