SEOUL, 09 Dec. (Yonhap) – Bond issuance in South Korea edged down in November from the previous month amid rising interest rates, data showed Thursday.
The value of bonds sold in Asia’s fourth-largest economy stood at 65.8 trillion won ($ 56.1 billion) last month, down 200 billion won from the previous month, according to data from the Korea Financial Investment Association.
The decline last month compares with a jump of 8.4 trillion won in October.
Sales of financial bonds declined 2.5 trillion won, while sales of corporate bonds declined 1.8 trillion won.
In contrast, sales of state debt increased by 1.4 trillion won to 14.7 trillion won in November.
Environmental, social and governance (ESG) bond issuance rose 330 billion won to 5.9 trillion won.
ESG bonds are a type of sustainable debt offering aimed at financing the activities of companies as part of environmentally friendly and sustainable projects.
Foreign investors bought 6,200 trillion won net of South Korean bonds in November, with their holdings of local bonds reaching a record 208.6 billion won, up 3.5 trillion won from the month previous.
At the end of November, the value of bonds outstanding in the country reached 2,469 trillion won, up 19,050 billion won from October, according to the data.