Exchange Rate Calculator

The exchange rate between the South Korean Won (KRW) and the British Pound Sterling (GBP) is a critical indicator for businesses, investors, and policymakers engaged in trade and financial activities between South Korea and the United Kingdom. Analyzing the recent trends and factors influencing this currency pair provides valuable insights into the economic dynamics of both nations.

Recent Exchange Rate Trends

Over the past few months, the KRW/GBP exchange rate has exhibited notable fluctuations. As of March 20, 2025, the exchange rate stood at 1 KRW equal to approximately 0.000527 GBP, marking a decline from earlier in the year. (investing.com) For instance, on January 31, 2025, the rate was 1 KRW to 0.00056508 GBP. (exchangerates.org.uk) This downward trend indicates a depreciation of the Korean Won relative to the British Pound over this period.

Technical Analysis Indicators

Technical analysis provides further insights into the KRW/GBP currency pair's performance. As of March 7, 2025, several key indicators suggested a bullish trend for the British Pound against the Korean Won:

• Relative Strength Index (RSI): At 67.928, indicating a buy signal.
• Moving Averages: Both simple and exponential moving averages across various periods (5, 10, 20, 50, 100, and 200 days) signaled a strong buy.
• MACD (12,26): At 1.98, also suggesting a buy.

These indicators collectively pointed towards a strengthening GBP against the KRW during that time frame. (investing.com)

Factors Influencing the Exchange Rate

Several factors have contributed to the observed movements in the KRW/GBP exchange rate:

1. Economic Performance: The UK's economic indicators, such as GDP growth and employment rates, have shown resilience, bolstering investor confidence in the GBP. Conversely, South Korea has faced economic challenges, including trade imbalances and slower growth, exerting downward pressure on the KRW.

2. Monetary Policies: Divergent monetary policies between the Bank of England and the Bank of Korea have influenced the exchange rate. The Bank of England's stance on interest rates and quantitative easing measures have impacted GBP strength, while the Bank of Korea's policies aimed at stimulating the economy have affected the KRW.

3. Trade Relations: Trade dynamics between South Korea and the UK, including export and import volumes, have played a role. Any shifts in trade agreements or tariffs can lead to fluctuations in the exchange rate.

4. Global Market Sentiment: Investor sentiment, influenced by geopolitical events and global economic conditions, has affected currency valuations. Periods of uncertainty often lead to a flight to perceived safe-haven currencies like the GBP.

Implications for Stakeholders

The depreciation of the KRW against the GBP has several implications:

• Importers and Exporters: South Korean exporters to the UK may find their goods more competitively priced, potentially boosting sales. Conversely, UK exporters to South Korea might face higher costs, affecting profit margins.

• Investors: Currency fluctuations can impact returns on investments denominated in these currencies. Investors need to consider exchange rate risks in their portfolios.

• Travel and Tourism: A weaker KRW makes travel to the UK more expensive for South Koreans, potentially affecting tourism patterns.

Conclusion

The KRW/GBP exchange rate has experienced a downward trend in recent months, influenced by economic performance, monetary policies, trade relations, and global market sentiment. Stakeholders should closely monitor these factors to make informed decisions in the dynamic currency market.