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Bank loans to Korean households surge record-high in March

Collected: 2016.04.19

Distributed: 2016.04.21

Source: Go Direct

Bank loans to Korean households reached all-time monthly high in March, surging by 4.9 trillion won ($4.3 billion) from the previous month and sharply higher than 2.9 trillion won on-month increase in February.

According to the Bank of Korea Monday, bank loans to households including mortgage loans added 4.9 trillion won from the previous month to reach 649 trillion won by the end of March. It is the biggest monthly increase since the central bank published the data from 2008. Previous record high was 4.6 trillion won in March last year.

Household debt surged by 9.9 trillion won in the first three months of the year, accelerating from 9.7 trillion won increase in the same period a year ago.

Mortgage-backed loans totaled 486.9 trillion won at the end of March, up 4.4 trillion won from the previous month and more than tripling from the 1.3 trillion won average increase in March between 2010 and 2014.

Mortgage-backed loans surged ahead of the seasonal moving demand in spring and increase in group loans to tenants to a new apartment complex.

By Lee Sang-duk

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