Koo Yun-cheol, deputy prime minister and minister of economy and finance, delivers opening remarks while chairing a ministerial task force on special management of consumer prices at the Government Complex Seoul in Jongno District, Seoul, on the 23rd. [Photo=Ministry of Economy and Finance]
South Korea’s issuance of Treasury bonds topped 200 trillion won for the first time last year, setting a record high.
The Ministry of Economy and Finance said Tuesday it published a government bond white paper, Government Bonds 2025, summarizing last year’s Treasury bond market trends and key statistics.
According to the report, Treasury bond issuance totaled 226.2 trillion won last year, up 68.5 trillion won from 157.7 trillion won a year earlier. It was the first time annual issuance exceeded 200 trillion won.
Foreign investment in government bonds was tallied at 58.7 trillion won, the largest on record. The foreign share of government bond holdings rose to a record 25.7%, and foreign holdings of Treasury bonds reached an all-time high of 297.4 trillion won.
In a foreword, Deputy Prime Minister and Minister of Economy and Finance Koo Yun-cheol said the government “successfully issued 226.2 trillion won in Treasury bonds last year, surpassing 200 trillion won in annual issuance for the first time,” adding that the issuance served as “a solid backstop” for efforts to support the economy, including a supplementary budget and rapid fiscal execution.
Koo said the government worked to attract foreign funds ahead of inclusion in the World Government Bond Index, citing overseas investor briefings and institutional changes to improve convenience for foreign investors.
The government said it will focus in 2026 on upgrading market infrastructure to ensure foreign investment tied to WGBI inclusion proceeds smoothly. It also said it will set up a dedicated team to analyze market trends and respond to risks, strengthening risk management to support stable bond issuance and oversight of the government bond market.
The Ministry of Economy and Finance said Tuesday it published a government bond white paper, Government Bonds 2025, summarizing last year’s Treasury bond market trends and key statistics.
According to the report, Treasury bond issuance totaled 226.2 trillion won last year, up 68.5 trillion won from 157.7 trillion won a year earlier. It was the first time annual issuance exceeded 200 trillion won.
Foreign investment in government bonds was tallied at 58.7 trillion won, the largest on record. The foreign share of government bond holdings rose to a record 25.7%, and foreign holdings of Treasury bonds reached an all-time high of 297.4 trillion won.
In a foreword, Deputy Prime Minister and Minister of Economy and Finance Koo Yun-cheol said the government “successfully issued 226.2 trillion won in Treasury bonds last year, surpassing 200 trillion won in annual issuance for the first time,” adding that the issuance served as “a solid backstop” for efforts to support the economy, including a supplementary budget and rapid fiscal execution.
Koo said the government worked to attract foreign funds ahead of inclusion in the World Government Bond Index, citing overseas investor briefings and institutional changes to improve convenience for foreign investors.
The government said it will focus in 2026 on upgrading market infrastructure to ensure foreign investment tied to WGBI inclusion proceeds smoothly. It also said it will set up a dedicated team to analyze market trends and respond to risks, strengthening risk management to support stable bond issuance and oversight of the government bond market.
* This article has been translated by AI.
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