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S.Korea's foreign currency deposit hits 28-month low on strong USD

Source: Xinhua| 2019-05-16 12:46:20|Editor: Yamei
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SEOUL, May 16 (Xinhua) -- Foreign currency deposit in South Korea hit the lowest in 28 months as companies sold the U.S. dollar funds for the local currency amid the strong dollar trend, central bank data showed Thursday.

Foreign currency deposit, possessed by residents, amounted to 63.2 billion dollars as of end-April, down 3.95 billion dollars from a month earlier, according to the Bank of Korea (BOK). The residents refer to locals and foreign residents staying here at least six months.

It was the lowest since December 2016 as local firms swapped the dollar funds for the domestic currency amid the dollar's ascent to the South Korean currency.

The won/dollar exchange rate closed at 1,168.2 won per dollar at the end of last month, up 33.1 won from a month earlier.

The dollar-denominated deposit declined 3.12 billion dollars over the month to 53.46 billion dollars as of end-April.

The Japanese yen deposit slipped 0.17 billion dollars to 3.96 billion dollars, and the European single currency deposit shed 0.4 billion dollars to 3.03 billion dollars.

Deposit denominated in the Chinese yuan fell 0.1 billion dollars to 1.15 billion dollars in the cited period.

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