Transactions of repo loans rise 3.16 pct in Q3

The Korea Times reports that transactions of repurchase agreement (RP) loans among financial institutions increased by more than 3 percent in the third quarter compared to the previous year. The total turnover of RP loans extended by local institutions and brokerages reached 12,862 trillion won ($9.62 trillion) by the end of September, marking a 3.16 percent year-on-year growth.

RP loans function as a form of collateralized loan, where securities are used as collateral for cash, with repayment occurring at a predetermined future date. As of the end of September, the outstanding value of RP transactions stood at 271.2 trillion won, reflecting an 8.13 percent increase from the same period last year.

Brief written by urgent.news from The Korea Times's own syndicated text. Machine-written — may contain errors; check the original before relying on it.