The South Korean stock market has once again failed to be included in the Morgan Stanley Capital International (MSCI) Developed Market watchlist.

In its 2026 Annual Market Classification Review released on June 23 (local time), MSCI decided not to place the South Korean market on the Developed Market watchlist, citing reasons such as the continued limited convertibility of the Korean won in the offshore foreign exchange market.

MSCI stated, "We acknowledge the measures announced by the Korean market authorities to address long-standing concerns regarding the Korean market," but added, "Investors have responded that the fundamental issues have not been fully resolved."