Deposits at the five major banks hit $76.98 billion as the won rose to trade at 1,345 against the greenback.
Corporate dollar deposits at major Korean banks have risen to a record high this month, as the dollar-won exchange rate fell to its lowest level in almost two years, industry data showed Sunday.
The outstanding dollar deposits at five major local banks stood at $76.98 billion as of Thursday, the highest level since banks began compiling such data in May 2021.
The five banks are KB Kookmin, Shinhan, Hana, Woori and NH Nonghyup.
The local currency has marked its strongest level since Oct. 8, 2024, to trade at 1,345 against the dollar as of 10:30 p.m. Friday.
The dollar-won exchange rate has risen by 254.2 won from an all-time low of 1,588.2 per greenback recorded on July 1.
“Dollar deposits are growing as export proceeds come in, while exporters delay exchanging them to the won. Import companies are also actively buying the dollar in installments,” Baek Seok-hyun, an economist at Shinhan Bank’s S&T Center, said.
Demand to exchange the won into the dollar is also growing.
A total of $60 million was exchanged from the local currency to the dollar in the first three days of this month at the five banks.
The monthly exchanged amount had sharply declined from $275 million in February to $164 million in June before rebounding to $349 million the following month, the data showed.
“Individuals are buying dollars since the dollar-won exchange rate fell in July and August. Demand for the dollar to invest in U.S. stocks has also risen,” a representative from NH Nonghyup bank said.
Yonhap
