Public Fund Recovery of 209.9 Billion KRW in Q4 Last Year, Recovery Rate at 72%

by Lee Changhwan

Published 23 Jan.2025 12:01(KST)

Public Fund Recovery of 209.9 Billion KRW in Q4 Last Year, Recovery Rate at 72%

The government announced that the recovery rate of public funds increased to 72% by the end of last year.

The Financial Services Commission announced on the 23rd that a total of 209.9 billion KRW of public funds was recovered in the fourth quarter of last year. Public funds were established using government-guaranteed bonds and other resources to resolve the insolvency of financial institutions following the 1997 economic crisis.

From November 1997 to the end of last year, the government recovered a total of 121.4 trillion KRW. During the same period, a total of 168.7 trillion KRW of public funds was injected, resulting in a cumulative public fund recovery rate of 72.0% by the end of 2024. The recovery rate has been gradually increasing each year, from 71.1% in 2022 to 71.4% in 2023.

The sale of all Hanwha Ocean shares (2.33 million shares, 0.76%) held by the Public Fund Repayment Fund in November last year (81.6 billion KRW), and the maturity of government bonds (80 billion KRW) in the fourth quarter of 2024, repaid by the National Federation of Fisheries Cooperatives in September 2022 (totaling 757.4 billion KRW), contributed to the recovery of public funds in the fourth quarter of last year.

Interest income (48.4 billion KRW) from loans supported during the past financial institution restructuring process by the former Korea Asset Management Corporation (now KR&C) was also included.

The government and related agencies such as the Korea Deposit Insurance Corporation emphasized that they will continue to make efforts to ensure the smooth repayment of public funds through efficient management and smooth sale of assets such as equity holdings in financial companies.