Foreign currency deposits rise hit record high

Foreign currency deposits in Korea rose to a fresh record high in September, driven by a sharp increase in dollar savings, central bank data showed Wednesday.

Outstanding foreign currency-denominated deposits held by residents stood at $154.7 billion at the end of September, up $14 billion from a month earlier, according to findings by the Bank of Korea (BOK).

It marked the highest level since the BOK began compiling the data in June 2012.

The reading has increased every month since April.

Residents include Korean citizens, foreigners who have lived in the country for more than six months and foreign companies. The data excludes interbank deposits.

By currency, U.S. dollar-denominated deposits increased by $12.99 billion to $132.9 billion, marking the highest balance since June 2012.

Japanese yen deposits also increased $550 million to $9.49 billion, and Euro-denominated savings gained $370 million to $9.53 billion.

Corporate foreign currency deposits rose $13.1 billion to $136.6 billion, while individual holdings increased $980 million to $18.11 billion.

The BOK said the sharp rise in foreign currency deposits was driven by increased dollar receipts by exporting companies and funds held by local brokerages for investments in foreign bonds.

Yonhap