South Korean authorities announced plans to inspect foreign-exchange transactions deemed disruptive, citing recent won volatility attributed partly to speculative activity involving non-deliverable forwards (NDFs).

The government will start with document-based reviews of trading and related data and may proceed to on-site inspections if anomalies are found.

Measures will focus on enhancing the transparency of NDF transactions and include coordinated checks with the Bank of Korea and the Financial Supervisory Service, followed by enforcement actions based on the inspection outcomes.