South Korea Unveils Levy on Banks’ Foreign-Currency Debt

South Korea unveiled its plan for a levy on banks’ foreign-currency debt, joining its Asian neighbors in trying to stem speculative foreign capital inflow. Seoul will impose a levy on the balance of foreign-currency-denominated debt, excluding foreign-currency deposits, of Korean banks and local branches of foreign banks, possibly from the second half of next year, financial authorities said in a joint statement Sunday. – WSJ

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