Shin Hyunsong Sworn In as Bank of Korea Governor

Shin Hyunsong took office as the new governor of South Korea's central bank on Tuesday in Seoul, pledging a cautious and flexible approach to monetary policy amid escalating uncertainties from the Middle East conflict that have driven up oil prices and strained the economy.

The appointment, approved by President Lee Jae Myung on Monday following endorsement by the National Assembly's Strategy and Finance Committee, marks a seamless transition from outgoing Governor Rhee Changyong. Shin's four-year term will extend until April 20, 2030. In his inauguration speech at the Bank of Korea headquarters, Shin highlighted the supply shock from the conflict, which began in late February, as a major factor heightening risks to inflation and growth. Rising global oil prices, triggered by the regional crisis, have intensified upward pressures on inflation while exerting downward forces on economic expansion, according to Shin. He noted that these developments have also amplified financial market volatility and risks to stability.

"As uncertainty has increased over inflation and growth paths due to the supply shock caused by the Middle East war, it is necessary to seek price stability and...