Offshore Won Settlement to Begin Trial Operations in September, Moving One Step Closer to MSCI Inclusion

[Financial News] The Bank of Korea has set the official name of its offshore won payment and settlement system, which will serve as a foundation for the internationalization of the won, and has scheduled trial operations for September this year.
According to the Bank of Korea on the 21st, the system's official name has been decided as the Bank of Korea Won International Payment Network (Bank of Korea Won International Wire Network, Han-eun International Network).
The system is now being built with the goal of launching trial operations in September. KB Kookmin Bank, Woori Bank, Hana Bank and Shinhan Bank are expected to participate.
The Bank of Korea is also working on revisions and enactments of related rules, including the Regulations on the Operation and Management of the Payment and Settlement System, and plans to complete the process in August.
A Bank of Korea official said, "By building the Han-eun International Network, we can improve foreign users' access to won payment infrastructure and also make a positive contribution to efforts such as inclusion in the Morgan Stanley Capital International (MSCI) Developed Markets Index."
The Han-eun International Network will operate 24 hours a day on business days, from 9 a.m. to 9 a.m. the following day, excluding weekends and public holidays.
Along with the Han-eun International Network, nonstop trading in the won-dollar foreign exchange market, part of the won internationalization drive led by the Bank of Korea and the Ministry of Economy and Finance, has been in operation since the 6th.
Previously, the market operated from 9 a.m. to 2 a.m. the next day. It now runs without interruption from 6 a.m. Monday to 6 a.m. Saturday. Won-dollar trading is available on all days except weekends and January 1, and it no longer stops during the day. The first business day of each year is January 2, when the market opens at 9 a.m. On the final business day, December 31, it closes at midnight.

[email protected] Kim Tae-il Reporter