Outstanding Resident Bond Issuance Balance in Q1 Up 99 Trillion Won Compared to Previous Quarter

Bank of Korea Announces New Detailed Bond Statistics

The outstanding balance of bonds issued by residents in the first quarter of this year increased by 99 trillion won compared to the same period last year, influenced by falling interest rates and rising exchange rates.

According to the 'Detailed Bond Statistics' announced by the Bank of Korea on the 18th, the outstanding balance of bonds issued by residents at the end of the first quarter was 3,276.9 trillion won, an increase of 9.88 trillion won compared to the fourth quarter of last year.

By issuer, financial corporations accounted for 48.2%, general government 32%, and non-financial corporations 19.8%, in that order. The increase was centered on the general government compared to the previous quarter.

By bond type, Korean won-denominated bonds accounted for the highest proportion at 91.1%, with long-term bonds at 87% and domestic issuance at 91.3%. The proportions of foreign currency, long-term, and overseas-issued bonds increased compared to the previous quarter due to the rise in exchange rates and the fall in interest rates.

The outstanding balance of bond holdings was 3,568.1 trillion won, an increase of 11.05 trillion won compared to the previous quarter. Net bond acquisition amounted to 43 trillion won, decreasing by 4.98 trillion won year-on-year, mainly among financial corporations.

However, the net issuance of bonds by residents in the first quarter was 37 trillion won, a decrease of 5.33 trillion won year-on-year, mainly among financial corporations.

By sector, financial corporations had the largest scale of bond issuance and holdings, with high interconnections within financial corporations and other sectors, as well as strong linkages between the general government and non-residents.

Starting from this first quarter, the Bank of Korea will publish detailed bond statistics as a sub-item of the financial flow statistics. The statistics will be released retroactively up to the first quarter of 2018 and will be made available through the Bank of Korea Economic Statistics System (ECOS) within two weeks after the quarterly financial flow statistics are announced. The bond statistics within the financial flow table will be newly published with detailed classifications by issuer, holder, issuance currency, maturity, and issuance market.

This content was produced with the assistance of AI translation services.