The value of marketable securities held by savings banks surged 40% this year. As the real estate market weakens and lending regulations bite, the industry appears to have turned its attention to the stock market.
According to the Korea Federation of Savings Banks and Korea Ratings on the 21st, as of the end of Sept., the marketable securities balance at 79 savings banks was 12.5 trillion won, up 40.5% from the end of last year (8.9 trillion won). The marketable securities balance was 6.7 trillion won at the end of 2022, 8.2 trillion won at the end of 2023, and 8.9 trillion won at the end of last year.
By balance, OK Savings Bank had the most at 2.0789 trillion won. Accuon Savings Bank stood at 997.5 billion won, SBI Savings Bank at 840.2 billion won, Welcome Savings Bank at 740 billion won, and Korea Investment Savings Bank at 612.3 billion won.
In particular, Accuon Savings Bank's balance growth rate exceeded 400% compared with the end of last year (198.6 billion won). By growth rate, Shinhan Savings Bank was 92.5%, Welcome Savings Bank 62.5%, Hana Savings Bank 48.4%, and DB Savings Bank 31.1%.
The sharp increase in savings banks' marketable securities balances stems from a contraction in their core lending business. In particular, under the June 27 real estate measures, the loan limit for unsecured credit loans, which had been up to twice annual income, was reduced to within one times income. Real estate project financing (PF; Project Financing) is also difficult to expand due to the slump in the property market.