S&P Raises Credit Rating on Korea

Standard & Poor’s (S&P), one of the three major credit ratings providers, upgraded its national rating on Korea from an “A-“ to an “A”.

It is the first time an international credit rating company has scaled up Korea’s national rating since this administration took office in February 2003.

S&P explained that it raised its credit rating on Korea “because its finance companies have improved their financial soundness and risk management systems, and the foreign exchange supply and demand management loss of its central bank have been reduced due to a widened fluctuation range of the won-to-dollar exchange rate in the foreign exchange market.”

Jin Dong-soo, deputy minister for International Affairs of the Ministry of Finance and Economy, said, “The revision has now put Korea on the same level of credit with Saudi Arabia, Chile, and Greece.”

Chang-Won Kim changkim@donga.com