Finance Minister Hong Nam-ki said Friday that domestic and foreign financial market volatility appear to be showing signs of easing as the U.S. and Iran moved to defuse tension.

In opening remarks at a meeting of economy-related ministers, Hong warned against excessive fears and said no direct impact or unusual movements were seen in South Korea's economy in relation to the Middle East situation. 

The minister said, however, that regional security uncertainties remain and the government will closely monitor markets as well as Middle East tensions, vowing to take decisive action if necessary. 

Hong said the administration is making pan-government comprehensive efforts to ensure the security of South Korean nationals and minimize the impact of the regional situation on the local economy.

He added the government is holding frequent ministerial and vice-ministerial meetings and operating task forces on six areas including exports, oil prices, financial market conditions, shipping and maritime affairs, construction and security of South Korean nationals.