Article 1(Purpose) #
The purpose of this Act is to empower the Republic of Korea to take necessary measures to implement agreements with international financial institutions as a member of such international financial institutions.
[This Article Wholly Amended on Dec. 30, 2014]>
Article 2(Investment-related institutions and investment funds) #
(1) The term "international financial institution" in this Act means any of the following institutions: <Amended on Dec. 22, 2015; Dec. 26, 2017; Nov. 26, 2019>
1. International Monetary Fund;
2. International Bank for Reconstruction and Development;
3. International Development Association;
4. International Finance Corporation;
5. Asian Development Bank;
6. African Development Fund;
7. African Development Bank;
8. Common Fund for Commodities;
9. Multilateral Investment Guarantee Agency;
10. European Bank for Reconstruction and Development;
11. Bank for International Settlements;
12. Inter-American Development Bank;
13. Inter-American Investment Corporation;
14. Multilateral Investment Fund;
15. Asian Infrastructure Investment Bank;
16. ASEAN+3 Macroeconomic Research Office (AMRO);
17. The Central American Bank for Economic Integration.
(2) Where the Government intends to make investments (including contribution; hereinafter the same shall apply) in an international financial institution, a resolution by the National Assembly shall be obtained in advance; provided, the same shall not apply to any of the following cases:
1. Where the Government invests in the Bank for International Settlements in which the Bank of Korea invests;
2. Where the Bank of Korea pays investment funds pursuant to paragraph (3).
(3) The Government shall endeavor to include investment funds in the budget, and where it is impracticable to do so due to a flexible response to financial circumstances and demand for investment, it may require the Bank of Korea to provide such investment funds.
(4) Where the Government requires the Bank of Korea to provide investment funds pursuant to paragraph (3), it shall report the following matters to the National Assembly by September, 30 of each year:
1. An investment plan for the following year;
2. Investment records of the relevant year;
3. Other important matters concerning investment in international financial institutions.
(5) Necessary details, such as amounts of investment, under paragraphs (2) and (3) shall be prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 30, 2014]>
Article 3(Method of investment) #
(1) In making investments in international financial institutions, the Minister of Economy and Finance may, with the approval of the President after deliberation by the State Council, make full payment, or payment in installments, in United States dollars, other convertible currencies, gold, ingot gold, or Korean currency, as prescribed by the provisions of the relevant agreement with each international financial institution. <Amended on Oct. 1, 2025>
(2) Where making investments with Korean currency under paragraph (1), the Minister of Economy and Finance may, with the approval of the President after deliberation by the State Council, make the all or part of investments with securities denominated in Korean currency. <Amended on Oct. 1, 2025>
(3) No interest shall be paid on securities issued in accordance with paragraph (2), and no person may acquire such securities from the relevant international financial institutions, except for the Bank of Korea that may purchase the securities in accordance with Article 4(2).
(4) Paragraphs (1) and (2) shall apply mutatis mutandis where the Bank of Korea pays investment funds pursuant to Article 2(3).
(5) Paragraph (3) shall apply mutatis mutandis to securities issued when the Bank of Korea pays investment funds pursuant to Article 2(3) and (4).
[This Article Wholly Amended on Dec. 30, 2014]>
Article 4(Payment for securities) #
(1) Upon request by any international financial institution to pay an amount equivalent to all or part of securities previously subscribed in accordance with Article 3, the Minister of Economy and Finance or the Governor of the Bank of Korea shall pay without delay. <Amended on Oct. 1, 2025>
(2) Upon request for payment in accordance with paragraph (1), if there is any shortage of financial resources to fully or partially pay the requested amount, the Minister of Economy and Finance may, with approval from the President following deliberation by the State Council, pay it with loans from the Bank of Korea or permit the Bank of Korea to purchase securities in the equivalent amount from the relevant international financial institutions. <Amended on Oct. 1, 2025>
(3) Notwithstanding Article 3(3), the Government shall pay interest on securities purchased by the Bank of Korea in accordance with paragraph (2) from the date of purchase to the date of redemption.
[This Article Wholly Amended on Dec. 30, 2014]>
Article 5(Delegates) #
(1) The Minister of Economy and Finance shall be the primary delegate of the Republic of Korea to each international financial institution, and the Governor of the Bank of Korea shall be a proxy delegate thereto; provided, in cases of the Bank for International Settlements, the Governor of the Bank of Korea shall be the primary delegate. <Amended on Oct. 1, 2025>
(2) Under the direction of the Minister of Economy and Finance, the Governor of the Bank of Korea shall represent the Government in dealings, negotiations, and transactions with each international financial institution. <Amended on Oct. 1, 2025>
[This Article Wholly Amended on Dec. 30, 2014]>
Article 6(Depositary) #
The Bank of Korea shall be the depositary of Korean currency or other assets owned by each international financial institution in accordance with the relevant agreement with each such international financial institution.
[This Article Wholly Amended on Dec. 30, 2014]>
Article 7 #
Deleted. <Jan. 27, 2005>