According to the Bank of Korea on the 26th, at the end of September last year, at the end of September last year, real estate PF exposure of financial companies in the non-banking sector (2nd financial sector) such as insurance, securities, credit companies financial specialist (card companies and capital companies), savings banks, and mutual funds in 115 trillion. Earned up to 500 billion.
| ▲ According to the Bank of Korea on the 26th, at the end of September last year, the real estate PF exposure of financial companies reached 115.5 trillion won. |
Assuming that the exposure level at the end of 2017 is 100 and that the current exposure per business sector is converted into an index, △ credit specialist financial companies 432.6 △ savings banks 249.8 △ insurance companies 204.8 △ securities companies 167.0 , it increased 1.67 times.
It was also found that the delinquency rate of real estate PF loans in the financial sector also soared.
The delinquency rate of real estate PF loans from securities companies jumped 2.2 times from 3.7% at the end of 2021 to 8.2% at the end of September last year. During the same period, the delinquency rates of credit finance companies rose from 0.5% to 1.1%, savings banks from 1.2% to 2.4%, and insurance companies from 0.1% to 0.4%.
Specifically, in the case of savings banks, the delinquency rate was the highest in around four years since December 2018.
However, in the savings bank industry, after the savings bank crisis in 2011, PF loan review was strengthened, and compared to other businesses in the second financial sector, the risk of insolvency of savings banks is considered to be low. Savings banks provide PF loans only to borrowers (borrowers) who can raise 20% or more of the PF project funds with their own capital.
Financial authorities are well aware of the possibility of real estate PF loans going bankrupt.
On the 24th, Lee Bok-hyeon, head of the Financial Supervisory Service, said, “From the point of view of the financial authorities (relating to real estate PF), efforts are being made to diversify risks so that they do not become too concentrated or there risk occurs immediately, acting as a ‘trigger point’ for specific companies or construction companies.” it was said.
Real estate PF loans from banks are also believed to have increased significantly since 2020 amid the booming real estate market and low interest rate environment.
At the end of last year, the real estate PF loan balance of the five commercial banks (KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup) collected by Yonhap News was above 14.6645 trillion. Compared to the end of 2020 (9.2532 trillion won), this is an increase of 58.5% in just two years.
Commercial banks are considered to have less risk of insolvency because the threshold for PF loans is higher than the threshold for the second financial sector. Reporter Cha Hwa-young
