BOK voices woes over financial imbalance, rising debt burden
The Bank of Korea (BOK) said Tuesday it needs to raise its guard against accumulated financial imbalances, the rising debt burden in tandem with higher interest rates, and potential volatility in the financial and currency markets. In its financial stability report, the BOK said the country's financial system remains relatively stable on the back of the resilience of financial institutions and…
The Bank of Korea (BOK) expressed concerns over financial imbalances, mounting debt, and the potential for increased volatility in markets. In its latest financial stability report, the BOK stated that the nation's financial system remains robust, but persisting imbalances could make vulnerable sectors weaker and raise risks of market fluctuations.
These imbalances have been fueled by escalating home prices and sustained expectations of further increases. According to the BOK, household debt now accounts for 85.3% of the country's GDP, surpassing the historical average of 84%. Despite strong economic growth, the BOK warns that these financial pressures necessitate heightened vigilance against stability risks.
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- BOK voices woes over financial imbalance, rising debt burden en.yna.co.kr
- BOK voices woes over financial imbalance, rising debt burden koreatimes.co.kr
