Key Facts
• South Korea’s foreign exchange reserves fell to $428.05 billion in December 2025.
• This marks a $2.61 billion decrease from November’s $430.66 billion.
• The decline ended a six-month consecutive increase since May 2025’s $404.6 billion low.
• The drop is linked to $2.6 billion of U.S. dollars injected to stabilize the exchange rate.
• South Korea remains 9th globally in foreign exchange reserve size as of November 2025.
• Securities constitute $371.12 billion (86.7%), down $8.22 billion from November.
• Deposits rose by $5.44 billion to $31.87 billion, increasing their share to 7.4%.
• Special Drawing Rights (SDR) increased by $150 million to $15.89 billion (3.7%).
• Gold holdings steady at $4.79 billion (1.1%).
• IMF position rose by $20 million to $4.37 billion (1.0%).
Summary
In December 2025, South Korea’s foreign exchange reserves decreased by $2.61 billion to $428.05 billion, ending a six-month growth streak that began after a five-year low in May. The reduction is primarily due to the Bank of Korea deploying $2.6 billion in U.S. dollars to curb volatility amid continued won depreciation. Despite this, South Korea maintains its position as the world’s ninth-largest holder of foreign reserves. The reserve composition shifted slightly, with securities declining and deposits increasing, while holdings in Special Drawing Rights, gold, and IMF positions showed minor changes. These measures reflect active management to stabilize the currency and maintain financial stability.
