FX deposits rise to a record high in July

Economy

Published: 24 Aug. 2020, 19:13 Updated: 24 Aug. 2020, 20:23

FX deposits rise to a record high in July

Foreign currency deposits at banks in Korea rose to a new record high in July as companies increased dollar holdings amid pandemic-caused uncertainties, central bank data showed Monday.

Outstanding foreign currency-denominated deposits held by residents amounted to $87.4 billion as of end-July, up $2.87 billion from the previous month, according the Bank of Korea (BOK).

The July data marked the largest since the central bank began to compile related data in June 2012.

Residents include local citizens, foreigners staying here for more than six months and foreign companies. The data excludes interbank foreign currency deposits.

The dollar-denominated deposits rose $2.76 billion on-month to $76.2 billion on the back of savings by securities firms and exporters. The yuan-denominated deposits gained $180 million to $1.62 billion.

Companies' holdings of foreign exchange (FX) deposits amounted to $69.7 billion as of end-July, up $2.56 billion from the previous month. Such deposits held by individuals increased $310 million on month to $17.7 billion, the BOK said.

Yonhap