Exchange Rate Calculator

The exchange rate between the South African Rand (ZAR) and the South Korean Won (KRW) has experienced notable fluctuations over the past several months. This report provides an analysis of the ZAR/KRW exchange rate trends, highlighting key movements and potential influencing factors.

Recent Exchange Rate Trends

As of May 3, 2025, the ZAR/KRW exchange rate stands at approximately 77.514 KRW per 1 ZAR. Over the past 180 days, the exchange rate has exhibited a range of movements:

• Highest Rate: 81.616 KRW per ZAR on November 15, 2024.
• Lowest Rate: 74.762 KRW per ZAR on September 16, 2024.
• Average Rate: 77.709 KRW per ZAR over this period.

Analysis of Key Movements

• September 2024: The exchange rate reached its lowest point of 74.762 KRW per ZAR on September 16. This decline may have been influenced by economic developments in either South Africa or South Korea, such as changes in trade balances, inflation rates, or monetary policies.

• November 2024: A significant appreciation of the ZAR occurred, peaking at 81.616 KRW per ZAR on November 15. This surge could be attributed to factors like improved economic indicators in South Africa, increased foreign investment, or favorable commodity prices, given South Africa's reliance on commodity exports.

• December 2024 to January 2025: The exchange rate stabilized, fluctuating around the 78 KRW per ZAR mark. This period of relative stability suggests a balance between the economic conditions of both countries.

• February to March 2025: The exchange rate experienced minor fluctuations, maintaining a range between 77.5 and 78.5 KRW per ZAR. These movements may reflect short-term market reactions to global economic events or domestic policy changes in either country.

Factors Influencing the Exchange Rate

Several factors can influence the ZAR/KRW exchange rate:

• Commodity Prices: South Africa's economy is heavily dependent on mining and commodity exports. Fluctuations in global commodity prices can impact the value of the ZAR.

• Trade Balances: The trade relationship between South Africa and South Korea, including the balance of imports and exports, can affect currency demand and supply, influencing the exchange rate.

• Monetary Policies: Decisions by the South African Reserve Bank and the Bank of Korea regarding interest rates and monetary policies can lead to capital flows that impact the exchange rate.

• Global Economic Conditions: Events such as changes in global economic growth, geopolitical tensions, or financial market volatility can influence investor sentiment and currency valuations.

Conclusion

The ZAR/KRW exchange rate has shown variability over the past several months, with notable peaks and troughs influenced by a combination of domestic economic factors and global market conditions. Understanding these dynamics is crucial for businesses and investors engaged in activities involving these currencies.