An Official works at a dealing room of Hana Bank in Seoul, Dec. 27. Yonhap

The Korean currency dipped further against the U.S. dollar to its lowest level in nearly 16 years Friday amid a deepening political crisis following President Yoon Suk Yeol's martial law declaration and the subsequent impeachment.

The Korean won was quoted at 1,467.5 won per dollar, down 2.7 won from the previous session.

It was the lowest level since March 13, 2009, when the currency was quoted at 1,483.5 won in the aftermath of the global financial crisis.

The won opened at 1,467.5 won per dollar Friday and had fallen markedly to as low as 1,486.7 won during intraday trading.

The stock market also tumbled on heavy foreign and institutional selling. The benchmark Korea Composite Stock Price Index (KOSPI) lost 1.02 percent to end at 2,404.77.

A political crisis has intensified in South Korea as the National Assembly was set to vote on a motion to impeach acting President Han Duck-soo over his refusal to appoint Constitutional Court justices that will adjudicate President Yoon Suk Yeol's impeachment trial.

Earlier, parliament voted to impeach Yoon for his shocking, albeit short-lived, imposition of martial law on Dec. 3.

This photo shows a currency exchange counter in Seoul, Dec. 24. Yonhap

Following the martial law fiasco, the currency has been well above the closely watched level of 1,400 won, and Bank of Korea Gov. Rhee Chang-yong has said the currency is forecast to stay around that level for the time being.

"Volatility has grown amid the thin year-end trading. Under such circumstances, authorities' efforts to settle the market would have little market impact," said Kwon Ah-min, an analyst from NH Investment & Securities.

The won-dollar exchange rate is forecast to return to normal next month, though there is also a possibility of the won's further weakening to breach the 1,500 won level or lower should political risks prolong, the expert added.

The won's weakness also came in line with the continued strengthening of the U.S. dollar, as concerns have deepened over the impact of U.S. President-elect Donald Trump's new tariff policy on South Korean industries and the broader economy.

The U.S. Federal Reserve's indication of scaling back the number of rate cuts it anticipated in 2025 to two from the initial four has hammered the won and other Asian currencies.

Financial authorities have vowed to inject unlimited liquidity and implement all measures available to settle the market. (Yonhap)