South Korean Won Hits 17-Year Low at 83.06 in June, Yen Only Weaker Globally

According to the Bank for International Settlements (BIS), South Korea's won reached its lowest real effective exchange rate (REER) in 17 years in June, sliding to 83.06. This marks the weakest level since March 2009 during the global financial crisis, with the currency declining for five consecutive months from January (87.02).

The REER, which accounts for inflation differences with trading partners, fell below 100, indicating undervaluation relative to the 2020 baseline. Among 64 countries surveyed, only Japan's yen was weaker at 65.30, followed by Indonesia (88.38), India (90.15), and China (92.24).