South Korea's central bank announced on Monday the initiation of a pilot project for a 24-hour offshore won settlement network, marking a strategic step to streamline access for international investors.

The system, designated as the BOK Won International Wire Network, commenced its trial phase at 9:00 AM local time, operating in collaboration with four domestic financial institutions: Kookmin Bank, Woori Bank, Hana Bank, and Shinhan Bank.

According to the Bank of Korea, the network is slated for full-scale operation in January of next year, with overseas banks anticipated to join the infrastructure upon its official launch. The platform is designed to function continuously for 24 hours each business day, running from 9:00 AM to 9:00 AM the following day, while remaining inactive on weekends and public holidays.

This initiative permits foreign investors to engage in unrestricted won transactions with other international participants using accounts held through their domestic won business registrations, specifically the Registered Foreign Institution in Korea (RFI-K) framework.

"The network is expected to enhance access to won settlement infrastructure for overseas investors and ultimately bolster the international stature of the Korean currency," the central bank stated, underscoring the potential long-term benefits for the won's global usage.