Seoul: The delinquency rate on loans provided by local banks experienced a decline in March, largely attributed to a rise in the write-offs of non-performing loans, according to data released on Wednesday. The delinquency rate for banks' won-denominated loans was recorded at 0.53 percent in March, marking a decrease of 0.05 percentage points from the previous month.
According to Yonhap News Agency, the volume of newly delinquent loans reached 3 trillion won (US$2.16 billion) during March, which was an increase from the 2.9 trillion won reported in February. Concurrently, the amount of write-offs for bad loans increased by 2.3 trillion won, totaling 4.1 trillion won for the period.
The data also revealed that the delinquency rate on corporate loans decreased to 0.62 percent in March, down by 0.06 percentage points from February. Similarly, the rate on household loans saw a reduction of 0.02 percentage points, bringing it to 0.41 percent, as reported by the Financial Supervisory Service (FSS).