The South Korea Financial Supervisory Service published data showing the delinquency rate on domestic banks’ won-denominated loans was 0.58% at end-October 2025. The rate, defined as the share of loans with principal or interest payments overdue by at least one month, increased by 0.07 percentage points from 0.51% a month earlier and by 0.10 percentage points from 0.48% a year earlier. Month on month, newly delinquent loans increased by KRW 0.4 trillion while resolved loans decreased by KRW 3.5 trillion. By segment, business-loan delinquency rose to 0.69% (from 0.61%), with large-company loans at 0.14% (from 0.12%) and small and medium-sized enterprise loans at 0.84% (up 0.09 percentage points). Household-loan delinquency increased to 0.42% (from 0.39%), including mortgage loans at 0.29% (from 0.27%) and unsecured loans at 0.85% (from 0.75%).
South Korea Financial Supervisory Service 2025-12-26
South Korea Financial Supervisory Service reports domestic banks’ won loan delinquency rate rose to 0.58% in October 2025
The South Korea Financial Supervisory Service reported a rise in the delinquency rate on domestic banks’ won-denominated loans to 0.58% at end-October 2025, up from 0.51% the previous month. Business-loan delinquency increased to 0.69%, with small and medium-sized enterprise loans rising to 0.84%. Household-loan delinquency also rose to 0.42%, with mortgage and unsecured loans increasing to 0.29% and 0.85%, respectively.