S Korean banks’ bad loan ratio inches down

21 August, 2019 12:00 AM printer

SEOUL: South Korean banks' bad loan ratio inched down in the second quarter due to a decline in nonperforming corporate loan, financial watchdog data showed Tuesday.

The ratio of nonperforming loan to the total bank loans stood at 0.91 percent as of end-June, down 0.07 percentage points from three months earlier, according to the Financial Supervisory Service, reports Xinhua.

It came as the bad corporate loan ratio retreated to 1.32 percent at the end of June from 1.43 percent three months ago.

The ratio for loan to big corporations dipped 0.16 percentage points to 1.95 percent, and the figure for small firms shed 0.08 percentage points to 0.97 percent in the cited period.

The nonperforming loan ratio for households was unchanged at 0.25 percent as the reading for mortgage loan was unchanged at 0.19 percent.

The bad loan ratio for credit loan to households edged down 0.01 percentage point to 0.39 percent.