Foreign Currency Deposits Rise for Third Consecutive Month

South Korea's foreign currency deposits have seen a third consecutive month of growth in June, according to data from the Bank of Korea. The total outstanding foreign currency-denominated deposits held by residents stood at US$113.33 billion at the end of June.

This represents an increase of $1.08 billion from the previous month and marks the third time this trend has been observed since April.

The growth is largely attributed to higher basic deposits required for derivatives trading amid stock market volatility, as well as increased dollar receipts by exporting companies.

US$97.8 billion of these foreign currency-denominated deposits are in U.S. dollars, a $2.25 billion increase from the previous month. Euro-denominated deposits dropped $460 million to $5.84 billion and Japanese yen deposits fell by $410 million to $7.12 billion.