After the U.S Federal Reserve raised its rate by point-25 percent, the South Korean government has vowed to take appropriate market stability measures if necessary.
 
The government on Thursday morning held a macroeconomic finance meeting presided over by Vice Finance Minister Choi Sang-mok to check the market condition. 
 
Choi said the government will stay alert to thoroughly monitor the financial and foreign exchange markets to protect the economy, already riddled with uncertainties at home and abroad.
 
Noting that ensuing rate hikes in other countries could put more pressure on South Korean households and companies, Choi vowed to take thorough pan-government measures to minimize the negative ramifications.
 
Regarding the impact of the U.S. rate hike on already record high household debt in South Korea, the government will create an emergency management system to monitor household debt on a weekly basis and continue improving the overall household financing structure.
 
The government will also conduct special inspections on the secondary lenders, which have contributed to a recent sharp increase in household debts.
 
The vice finance minister said the government will steadily carry out corporate restructuring on marginal industries while assisting their financing efforts. Small- and mid-sized companies will be able to issue corporate bonds more easily through the state programs.