IMF Sees Debt Risks for Korean Non-Bank Lenders Tied to Property
- ‘Pockets of vulnerability’ seen, notably among non-bank firms
- Property sector is systemically important: IMF’s Korea chief
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Non-bank financial institutions exposed to the real estate market in South Korea face notable risks as interest rates rise, an International Monetary Fund official said.
There’s also room for banks in Korea to strengthen their resilience to financial stress, by enhancing their liquidity buffers and loss absorption capacities, in line with trends in some advanced economy peers, IMF Mission Chief for Korea Harald Finger said in written answers to Bloomberg queries.