The outstanding balance of household loans in all financial sectors fell KRW1.8 trillion from the previous month at the end of May 2021 (up 9.6% y-o-y). The household loan balance dropped KRW1.5 trillion in the banking sector and KRW0.3 trillion in the non-banking sector.

All financial sectors (y-o-y): +8.5% (Mar 2021) → +10.0% (Apr 2021) → +9.6% (May 2021)

By type, mortgage loans expanded KRW4.5 trillion in May, growing at a slower rate compared with the previous month (up KRW5.2 trillion y-o-y), due to an overall drop in housing transactions. Other types of loans including credit loans fell KRW6.3 trillion due to a large-scale refund of deposits taking place in the aftermath of the SKIET IPO subscription.

The financial authorities will closely monitor trends in household loans and work for an effective and consistent implementation of the household debt management measures.

* Please refer to the attached PDF for details.