Seoul: The ruling Democratic Party (DP) announced on Monday its intention to pass a revised tax bill this month aimed at stabilizing the foreign exchange market, amid a significant drop in the Korean currency due to escalating tensions in the Middle East. DP leader Jung Chung-rae stated that with the party's majority in the National Assembly, they plan to approve the bill by March 19, which will offer tax benefits to investors selling foreign stocks.
According to Yonhap News Agency, the proposed revision to the Act on Restriction on Special Cases Concerning Taxation is also set to provide tax advantages to retail investors acquiring financial products as a safeguard against foreign exchange losses. The ongoing U.S.-Israeli military actions against Iran have led to a surge in global oil prices, with concerns mounting over the potential negative impact on South Korea's export-driven economy.
Jung emphasized the need for decisive action to stabilize both domestic gas prices and the currency market. He condemned the practices of price collusion and manipulation aimed at profiteering from increased oil prices during wartime. Furthermore, Jung assured that the DP, in collaboration with the government, will implement strict measures to curb unfair practices in the oil refining and related sectors.