SEOUL (Reuters) – South Korea mentioned on Tuesday it would start accepting purposes beginning Oct. 18 from international monetary establishments for permits to take part within the onshore dollar-won interbank market.

The finance ministry mentioned in a press release the federal government plans to allow qualifying international firms to take part within the onshore market from 2024 to open up the international trade market and enhance buying and selling.

At present, the Korean received can solely be instantly traded with the greenback by native banks, for simply six-and-a-half hours a day between 9 a.m. (0000 GMT) and three:30 p.m.

The plan is to increase onshore buying and selling hours till 2 a.m., or the closing of London enterprise hours, within the second half of subsequent 12 months because the nation kicks off its regulatory overhaul to encourage extra international participation within the foreign money market.

To qualify for the allow, the monetary establishments might want to meet capital and liquidity necessities of Basel III and be licensed banks or brokerages within the nation the place they’re headquartered, in response to the ministry.

The monetary establishments will be capable of take part within the dollar-won spot market and FX swap buying and selling.