SEOUL, Nov. 28 (Yonhap) — Foreign currency deposits in South Korea declined by the most in about two years in October amid increased corporate repayment of foreign-currency borrowings and overseas investments by pension funds, central bank data showed Friday.
Outstanding foreign currency-denominated deposits held by residents came to US$101.83 billion as of end-October, down $5.26 billion from a month earlier, according to data from the Bank of Korea (BOK).
It marked the sharpest monthly fall since January 2024, when deposits declined by $5.78 billion, and the second straight month of decrease.
Residents include South Korean citizens, foreigners who have lived in the country for more than six months, and foreign companies. The data excludes interbank deposits.
“The decline was due mainly to companies’ repayment of foreign-currency borrowings, a drop in investor deposits at securities firms and overseas investment executions by pension funds, among other factors,” a BOK official said.
Corporate foreign currency deposits fell $5.5 billion on-month to $86.76 billion, while individual holdings gained $240 million to $15.07 billion.
By currency, U.S. dollar-denominated deposits dropped $5.08 billion to $85.63 billion, and Japanese yen deposits fell $260 million to $8.63 billion.
Euro deposits were nearly unchanged at $5.01 billion, while Chinese yuan deposits increased $60 million to $1.25 billion, the data showed.
An official checks U.S. dollar notes at a bank branch of Hana Bank in central Seoul in this July 3, 2025, file photo. (Yonhap)
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