The South Korea Financial Supervisory Service published its monthly data on domestic banks’ won-denominated loan delinquency, showing the total delinquency rate at 0.61% as of end-August 2025, up 0.04 percentage points from a month earlier and up 0.08 percentage points from a year earlier. Newly delinquent loans increased by KRW 0.1 trillion month on month, while resolved delinquent loans rose by KRW 0.2 trillion. By segment, the delinquency rate on business loans stood at 0.73%, with large-company loans edging up to 0.15% and small and medium-sized enterprise loans increasing to 0.89%. Household loan delinquency rose to 0.45%, with mortgage loans at 0.30% and unsecured loans at 0.92%. The August 2025 figures were noted as preliminary and subject to change.
South Korea Financial Supervisory Service 2025-10-24
South Korea Financial Supervisory Service reports domestic banks’ won loan delinquency rate rises to 0.61% at end-August 2025
The South Korea Financial Supervisory Service reported a rise in domestic banks' won-denominated loan delinquency rate to 0.61% as of August 2025, up 0.04 percentage points from July. Business loan delinquency reached 0.73%, with small and medium-sized enterprise loans at 0.89%, while household loan delinquency increased to 0.45%. The data is preliminary and may be revised.