KOFIA: "Foreign Corporate Bond Investment to Expand with WGBI Inclusion"

The Korea Financial Investment Association and the financial investment industry welcomed the inclusion of South Korea's government bonds in the World Government Bond Index (WGBI) calculated by FTSE Russell. They also expressed their gratitude for the government's efforts to achieve inclusion in the global government bond index.

The financial investment industry expects that the inclusion in the WGBI will not only stabilize government bond yields and exchange rates but also increase foreign investors' interest in the Korean bond market, expanding foreign investment demand from government bonds and Monetary Stabilization Bonds to corporate bonds. They foresee an improvement in the financing conditions for Korean companies through diversification of the corporate bond demand base.

Seo Yoo-seok, Chairman of the Korea Financial Investment Association, said, "The inclusion in the WGBI marks a significant turning point for the internationalization of our capital market," adding, "As the manager of the over-the-counter bond market, the association will continue to improve the OTC bond infrastructure so that foreign investors can trade efficiently and conveniently in our bond market."

He continued, "The financial investment industry will continue to actively cooperate with the government's capital market internationalization policies and actively seek ways to enhance the international status of South Korea's capital market."