S&P maintains S. Korea’s credit rating amid political turmoil

Standard & Poor’s (S&P) Global Ratings reaffirmed on Wednesday its long-term ‘AA’ credit rating for South Korea, dismissing concerns raised by the recent brief imposition of martial law.

In a joint press seminar with NICE Credit Rating, S&P Managing Director Kim Eng Tan emphasised that the martial law declaration was a short-lived event and did not undermine South Korea’s solid institutional foundation.

Louis Kuijs, another S&P Managing Director, added that political conflicts and turmoil are not uncommon in various countries, including France. He noted that the recent events in South Korea did not stem from significant disagreements over economic or financial policy directions.

S&P’s confidence in South Korea’s creditworthiness is underpinned by the country’s strong economic fundamentals, including its robust GDP growth, industrial base, export-oriented economy, and sound fiscal policies.

Attribution: Business Korea

Subediting: M. S. Salama