South Korean President Yoon Commits to Short-Selling Ban Until Side Effects Resolved
SEOUL: President Yoon Suk Yeol announced the continuation of the ban on stock short selling in South Korea until a system is established to mitigate its harmful effects on retail investors. This statement was made during the first government policy report of the year, which focused on economic revitalization and included discussions with finance ministry officials, experts, and public members.
According to Yonhap News Agency, initially imposed in early November to address illegal short selling by global investment banks, will persist beyond the speculated June deadline. The ban’s extension dispels rumors that it was a temporary measure aimed at garnering voter support for the upcoming parliamentary elections in April. Yoon emphasized the government’s commitment to economic revival, including increasing exports and foreign investment. Senior presidential secretary for economic affairs Park Chun-sup added that recent tax cuts are intended to stimulate the economy and will ultimately lead to higher tax revenues.