Resident foreign currency deposits in September exceeded $150 billion, setting a new all-time high for the third consecutive month.

This growth was driven by the largest-ever surge in corporate dollar deposits, fueled by incoming export proceeds from large corporations, an increase in securities firms' investor deposits, and capital inflows from public enterprises issuing foreign currency bonds.

According to the "Trends in Resident Foreign Currency Deposits" released by the Bank of Korea on October 28, the balance of resident foreign currency deposits at foreign exchange banks in South Korea stood at $154.71 billion at the end of September, the highest since statistics began in June 2012.

This marks an increase of $14.09 billion compared to the end of the previous month ($140.62 billion), extending the record-breaking streak to three months.

The magnitude of the increase was the third-largest on record, following December of last year ($158.8 billion) and July of this year ($150.1 billion).

Resident foreign currency deposits refer to foreign currency deposits held in South Korea by locals, domestic corporations, foreigners residing in South Korea for six months or more, and foreign companies operating in the country.

By sector, corporate deposits reached $136.6 billion, up $13.11 billion to hit a record high for the third straight month.

Personal deposits rose by $980 million to $18.11 billion, marking the highest level since December 2021 ($18.77 billion).

By currency, dollar deposits stood at $132.9 billion, setting a record high for the fourth consecutive month.

The increase from the previous month was $12.99 billion, the largest on record.

Corporate dollar deposits came to $117.87 billion, breaking the record for the fifth consecutive month.

The increase from the end of the previous month ($12.23 billion) was also the largest ever.

Personal dollar deposits likewise reached an all-time high of $15.03 billion.

However, the increase slowed to $760 million compared to August ($1.03 billion).

The Bank of Korea explained, "Dollar deposits increased due to large corporations receiving current account proceeds, inflows of investor deposits from securities firms, and funds raised through foreign currency bond issuances by public enterprises."

The balance of Japanese yen deposits stood at $9.49 billion, the highest in eight months since January of this year ($9.51 billion).

It increased by $550 million from the previous month, driven by factors such as an increase in currency exchange for travel due to the weak yen.

The balance of euro deposits rose by $370 million from the previous month to $9.53 billion, marking the highest amount since February ($9.59 billion).

The Bank of Korea explained, "Euro deposits increased due to the receipt of current account proceeds and other factors."

By bank type, the balance of resident foreign currency deposits at domestic banks increased by $9.18 billion to $120.04 billion, while branches of foreign banks saw an increase of $4.91 billion to $34.67 billion.

(Photo provided by Bank of Korea, Yonhap News)