Korea’s Ministry of Financial system and Finance within the authorities advanced within the central metropolis of Sejong / Korea Occasions file
Korea’s public sector debt surpassed the 1,700 trillion-won ($1.16 trillion) mark for the primary time in 2024 largely resulting from a rise in treasury bonds and loans amongst non-financial state-funded corporations, the finance ministry mentioned Thursday.
The nation’s public sector debt, known as D3, got here to 1,738.6 trillion received as of the tip of final yr, in contrast with 1,673.3 trillion tallied a yr earlier, based on the Ministry of Financial system and Finance.
It marks the best stage because the authorities started compiling associated information in 2011.
D3 covers common authorities money owed and debt holdings of non-financial state-funded corporations.
The scale was equal to 68 p.c of the nation’s gross home product (GDP) in 2024, based on the ministry. The comparable determine for 2023 was an all-time excessive of 69.5 p.c.
The ministry attributed the rise to an increase in central authorities bonds leading to elevated common authorities debt, generally known as D2, and the next debt stage amongst non-financial state-funded corporations stemming from an growth of coverage initiatives.
The quantity of D2 additionally climbed to a document 1,270.8 trillion received final yr, up from 1,217.3 trillion received tallied in 2023.
D2 covers the debt of the central and provincial governments and nonprofit public establishments. The nation’s D2-to-GDP ratio got here to 49.7 p.c, down from 50.5 p.c in 2023.
