Korea¡¯s FX reserves loses $2.2 bn Aug to suggest USD-selling intervention

[Photo by MK DB]

South Korea¡¯s foreign exchange reserves lost $2.2 billion in August to suggest dollar-selling activities by Korean authorities following repeated verbal interventions to prop up the Korean won revisiting the lows of 2019 amid financial crisis.

According to the Bank of Korea (BOK)¡¯s data on Monday, the nation¡¯s foreign exchange reserves stood at $436.43 billion at the end of August, down $2.18 billion from the previous month and off $26.7 billion from December.

The U.S. dollar rose 2.3 percent against a basket of currencies last month to near 20-year high. The jump in dollar value ate into value of other foreign assets, the bank said.

By asset, securities, including government and corporate bonds, added $3.09 billion to $393.9 billion, while the special drawing rights from the International Monetary Fund (IMF) rose $70,000 to $14.46 billion. Deposits shrank $5.3 billion to $17.9 billion. Gold reserves remained unchanged at $ 4.79 billion as the price at purchase was registered as its value.

As of July, Korea was ranked No. 9 in FX riches. China remained at the top with $3.14 trillion, followed by Japan with $1.32 trillion and Switzerland with $959.8

[¨Ï Maeil Business Newspaper & mk.co.kr, All rights reserved]