Gov't monitors markets after U.S. credit downgrade, expects limited impact on South Korea

The Finance Ministry has sought to ease fears about the impact of the downgrade in U.S. credit rating by Moody's last Friday.

The credit rating agency lowered America's rating by one notch to Aa1 from Aaa citing concerns over rising debt.

Ministry officials here say the impact of the U.S. credit cut on the Korean economy appears limited as it was anticipated.

Moody's rating now matches that of Fitch Ratings and S&P whose analysts lowered their U.S. rating in 2023 and 2011 respectively.

Separately acting President Lee Ju-ho has called for close monitoring of financial markets by relevant authorities.