South Korea’s resident foreign currency deposits smashed through the $150 billion threshold for the first time in September 2026 on the back of heavy semiconductor export settlements.
Corporate Giants Fuel a massive Jump
Total foreign currency deposits at domestic foreign exchange banks climbed to $154.71 billion by the end of September. That represents a dramatic $14.09 billion increase from August, setting an all-time record high, according to data from the Bank of Korea.
The vast majority of this liquidity came straight from corporate balance sheets. Corporate deposits surged to $136.6 billion by the end of September, expanding by $13.11 billion in a single month.
Retail Investors Trail Corporate Heavyweights
By contrast, personal deposits saw only modest growth. Retail holdings rose by just $0.98 billion to reach $18.11 billion during the same period, underscoring how deeply institutional export revenue dictated the month’s financial flows.
Greenbacks, Yen, and the Euro in Motion
Dollar-denominated deposits drove the broader expansion, growing by $12.99 billion. Meanwhile, Japanese yen and euro deposits ticked upward by $0.55 billion and $0.37 billion, respectively.
The Bank of Korea pointed to corporate current-account receipts, brokerages absorbing investor deposit funds, and public enterprises securing capital through foreign currency bond issuances as the primary drivers behind the dollar surge. The growth in yen deposits reflected increased tourism-related currency exchange spurred by the weak yen, while euro gains derived directly from export settlements.
Commercial Banks and Foreign Branches Split the Gains
Domestic commercial banks held $120.04 billion of the total, increasing their balances by $9.18 billion. Foreign bank branches operating within the country captured the remainder, holding $34.67 billion—up $4.91 billion from August.
These resident foreign currency deposits officially encompass funds held by domestic citizens, local companies, foreign corporations operating in South Korea, and foreign nationals residing in the country for six months or longer.
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