What is the Currency in South Korea? 

Planning a trip to South Korea? Dreaming of eating authentic kimchi, hiking through Seoul’s stunning mountains, or lounging on the beaches of Jeju Island? Before you pack your bags, you need to brush up on the local currency, know how to identify different denominations, and learn a few fun facts to impress locals. Understanding the local currency is essential for a smooth trip, whether you’re shopping in the bustling markets of Seoul or enjoying street food at a late-night food stall. Let’s dive into everything you need to know about the currency in South Korea, so you can travel with confidence and avoid any pesky surprises. Starting with the most basic question, what is the currency in South Korea? As you might well know, South Korea’s official currency is the South Korean won (KRW). With a long-standing tradition and a currency that’s known for its stability, the won is a symbol of South Korea’s growth and development over the past few decades. 

We’ll dive into its rich history, how it came to be, and why it remains one of the most stable currencies in Asia. We’ll also guide you on where to get your hands on some South Korean won and explore how to manage your finances while travelling through South Korea. 

From understanding the denominations to choosing between cash, card, or both we’ll cover all the essentials that will make it easier to navigate spending in South Korea. 

Currency in South Korea 

Its currency symbol is ₩, and it’s one of the most stable and valuable currencies in Asia.  

South Korean Won Denominations 

The South Korean won comes in both banknotes and coins, offering a wide range of denominations to cover all your transaction needs while you travel through South Korea. Knowing the denominations will help you get the right change and avoid any awkward moments when making purchases. 

Banknotes: 

• ₩1,000: The smallest note in circulation, the ₩1,000 is commonly used for smaller purchases, like snacks or public transport tickets. It’s the go-to currency for everyday, budget-friendly transactions. 

• ₩5,000: This note is used for mid-range purchases, such as a casual meal at a restaurant or a quick buy from a local shop. You’ll find this one quite handy throughout your trip. 

• ₩10,000: The most common note for regular spending, the ₩10,000 bill is the currency of choice for anything from dining at a café to shopping for clothes or souvenirs. It's widely accepted and perfect for most transactions. 

• ₩50,000: The highest-value banknote, the ₩50,000 is typically used for larger purchases, such as paying for luxury items, high-end restaurant meals, or hotel stays. It’s your go-to for those bigger transactions that require a bit more cash. 

Coins: 

South Korea’s coins are used for smaller purchases, like food or bus rides, and they come in several denominations to help you manage your daily spending. 

• ₩1: The smallest coin in circulation, typically used for very small purchases, although it’s not used as frequently in day-to-day transactions. 

• ₩5: This coin is common for small street food snacks or when you need to pay for something minor in a vending machine. 

• ₩10: Often used for small purchases at local markets or quick bites. It’s also handy for public transportation. 

• ₩50: A bit more valuable, the ₩50 coin is used for paying bus fares, quick snacks, or beverages in local convenience stores. 

• ₩100: The ₩100 coin is frequently used for small purchases like local food items or inexpensive tickets for public transportation. 

• ₩500: The highest value coin in circulation, the ₩500 coin is used for things like paying for bus or subway rides, or smaller items in shops. 

Is the South Korean Won a Strong Currency? 

The South Korean won (₩) is known for being a relatively strong and stable currency. While not as strong as the Japanese yen or the Swiss franc, the South Korean won maintains a strong position in the global market, particularly when compared to other Asian currencies. 

In terms of GDP per capita, South Korea ranks highly in Asia, with a well-developed economy driven by major sectors like technology, automobiles, and manufacturing. This economic stability has helped to keep the won relatively strong. For example, South Korea’s success in the global market, with tech giants like Samsung and LG, has bolstered the country's overall economic strength, keeping the won at a healthy value. 

The South Korean won is supported by South Korea’s solid fiscal policies, its status as a major global exporter, and the country's successful financial management. This makes the won an attractive currency to hold, as it continues to be one of the more stable currencies in Asia. So, whether you're exchanging your pounds for won or simply paying for a delicious plate of bibimbap in Seoul, you can rest assured knowing you’re dealing with a strong and reliable currency. 

The History of South Korea’s Currency 

The currency in South Korea has gone through several transformations over the years, reflecting the country’s economic changes and periods of political upheaval. From the ancient yang to the present-day won, South Korea’s monetary history is both rich and fascinating. Let’s take a look at the evolution of South Korea’s currency, from its early days to the currency that powers the modern economy. 

Yang 

Before South Korea’s modern currency system, the yang was used as the standard currency. The yang was a traditional currency used during the Joseon Dynasty, with its earliest forms dating back to the 14th century. This currency was primarily used during the Goryeo and Joseon dynasties and was minted from metal. The yang was the official unit of currency, though its value fluctuated due to regional economic factors and the presence of various other forms of trade. The yang continued to be in use until the late 19th century, when modern economic policies began pushing for reform. 

The First Introduction of Won 

The first introduction of the won as a modern currency happened in 1945 after the end of the Japanese occupation. The South Korean won (KRW) was officially introduced on June 9, 1945, as a replacement for the Korean yen, which was in circulation during the Japanese rule. The won was initially pegged at a rate of 600 won to 1 US dollar, and its introduction was part of efforts to rebuild the South Korean economy after the end of World War II and the Japanese occupation. 

Korean Yen 

From 1910 to 1945, during the period of Japanese occupation, the Korean yen was the official currency of Korea. The Korean yen was pegged to the Japanese yen and was used throughout the Korean Peninsula. The currency was a tool used by Japan to control the economy of Korea during the occupation, and it replaced the yang. After the end of the occupation in 1945, the Korean yen became obsolete and was replaced by the South Korean won in the southern part of the peninsula. 

The Korean yen was largely seen as a symbol of Japanese domination, and after the liberation of Korea, its replacement by the won marked a significant shift in the economic autonomy of South Korea. 

Won Replaced the Korean Yen for a Short Period 

Following the end of the Japanese rule, the South Korean won replaced the Korean yen on June 9, 1945, in the South. However, this was a short-lived change, as the won itself faced another overhaul soon after. South Korea’s early attempts to stabilize its new currency were met with inflation and economic instability, leading to adjustments in its value and structure. The won remained in circulation during this transition period, but it was followed by a further evolution of the currency system within the following decades. 

Less Than a Decade of Hwan 

In 1962, South Korea introduced a new currency called the hwan to replace the won. The hwan was used as the official currency from 1962 until 1975, marking a brief but significant period in South Korea’s financial history. The hwan was introduced to stabilize the economy, as South Korea was undergoing rapid industrialisation and faced high inflation. The hwan was initially pegged to the US dollar, but after a few years, it experienced significant depreciation. 

In 1975, the won was reintroduced to replace the hwan, marking the end of a brief experiment with this particular currency. 

Won in the Present Day 

Today, the won is used for all transactions in South Korea and is recognised worldwide as the stable currency of one of the world’s most innovative and prosperous countries. The South Korean won continues to be at the heart of South Korea's financial system, powering the nation's economy and serving as an essential part of South Korea travel for visitors. Whether you're exploring Seoul or shopping in Busan, the won is an integral part of the experience. 

Where to Get South Korean Won 

When planning your trip to South Korea, one of the first things you'll want to do is make sure you have the South Korean won (KRW) in hand. Thankfully, with Travelex, it’s never been easier to get your hands on the local currency before you even leave the UK. Whether you're looking for the convenience of having cash delivered directly to your door or prefer to pick it up on the go, Travelex has got you covered with two great options: home delivery and Click & Collect from one of our convenient locations. 

Buy South Korean won online and enjoy free home delivery on orders over £500, so you don’t have to worry about last-minute currency exchanges. Imagine relaxing, knowing that your currency is all sorted, while you focus on planning the fun stuff, like exploring the palaces in Seoul or hiking in Jeju! Plus, when you order South Korean won online from Travelex, you’ll get competitive exchange rates and pay no commission, making your currency exchange stress-free and cost-effective. 

If you prefer to pick up your won in person, Click & Collect is the way to go. With convenient locations across the UK, including most major airports, you can easily grab your currency before you take off. Whether you’re headed to Incheon or exploring the bustling streets of Busan, your South Korean won will be ready and waiting for you. 

Ready to Buy Some South Korean Won? 

Get ready for your trip to South Korea and order your South Korean won today with Travelex. With competitive exchange rates and no commission, we’re the currency experts you can trust. Don’t wait, secure your won now and ensure your travels are as smooth as possible. 

Buy South Korean won and get ready to explore the vibrant streets, delicious food, and stunning landscapes of South Korea!