South Korea's economic policymakers are going to thoroughly prepare for any financial volatility after the Fed raised its benchmark interest rate on Wednesday.
At an emergency meeting Thursday,... officials from the finance ministry and the Bank of Korea examined the effect the Fed's rate decision might have on global markets.... as well as on domestic financial and foreign exchange markets.
Citing South Korea's strong economic fundamentals,... first vice minister of the economy and finance Lee Ho-seung said.... the domestic financial market *can withstand the widened U.S.-Korea rate gap of 75 basis points.
However, he added.... the government will run a contingency plan if it sees signs of financial volatility or foreign capital outflow.
Bank of Korea Governor Lee Ju-yeol told reporters.... that the Fed's rate hike was widely expected,... but that he will closely monitor external risk factors.