Korea's foreign reserves increase by $2.41 billion in August

Finance

Korea's foreign reserves increase by $2.41 billion in August

Published: 04 Sep. 2024, 18:09 Updated: 04 Sep. 2024, 19:10

A banker checks dollars at KEB Hana Bank's Counterfeit Notes Response Center in Seoul on July 3, 2024. [YONHAP]

Korea's foreign reserves increased for the second straight month in August on the back of the increased value of nondollar assets and investment gains, central bank data showed Wednesday.

The country's foreign reserves had come to $415.92 billion as of end-August, up $2.41 billion from the previous month, according to the data from the Bank of Korea (BOK).

The central bank attributed the increase to a rise in the converted value of nondollar assets amid the weak greenback and investment returns.

The dollar index that gauges the greenback's value against major peers fell 3.1 percent last month, boosting the converted value of nondollar assets, the central bank said.

Foreign reserves consist of securities and deposits denominated in overseas currencies, International Monetary Fund reserve positions, special drawing rights and gold bullion.

Foreign securities, such as U.S. Treasuries, had been valued at $369.44 billion as of end-August, up $2.39 billion from a month earlier. They accounted for 88.8 percent of foreign reserves, the data showed.

The value of deposits stood at $22.05 billion at the end of August, down $310 million over the cited period.

Korea ranked as the world's ninth-largest holder of foreign reserves at the end of July, the BOK said.

Yonhap