Korea's Foreign Currency Deposits Rise for Third Month

Foreign currency deposits in Korea have continued to rise for the third consecutive month in June. According to data from the Bank of Korea (BOK), outstanding foreign currency-denominated deposits held by residents stood at $113.33 billion at the end of June, up $1.08 billion from a month earlier.

The increase was driven mainly by higher dollar savings and increased dollar receipts by exporting companies. The BOK attributed this to higher basic deposits required for derivatives trading amid stock market volatility.

By currency, U.S. dollar-denominated deposits increased $2.25 billion to $97.8 billion, while euro-denominated deposits dropped $460 million to $5.84 billion and Japanese yen deposits fell $410 million to $7.12 billion.