BOK: Short-term debt accounts for 29.1% of external debts

South Korea’s short-term foreign debt surged for the first time in seven quarters. The Bank of Korea announced on Wednesday that the country’s short-term external debt grew by eight-and-a-half billion dollars to nearly 124 billion dollars, accounting for 29-point-one percent of total foreign debt. The percentage is the highest recorded since last June when short-term debt made up 30 percent of total foreign debt, according to Korea’s (KBS WORLD) website. Korea’s total external debt amounted to 425-point-four billion U.S. dollars as of the end of March, up nine-point-two billion dollars from three months earlier. The central bank said an increase in borrowing foreign currency has led to the surge in short-term debt. The finance ministry, however, quickly stressed that indices that demonstrate the soundness of foreign debts and the nation’s ability to repay debts remained in relatively good condition. The ministry added that it will exert diverse efforts to maintain external soundness.