FINANCIAL TECHNOLOGY | Staff Reporter, Korea

Internet banking transactions in Korea hit record high in 2018

The number of transactions broke the 100-million mark for the first time.

The number and value of Internet banking transactions in South Korea hit a record high in 2018, reports Yonhap News Agency citing data from the central bank. 

The average number of transactions processed via the Internet rose 25.3% YoY to 118.97 million, crossing the 100-million mark for the first time. The amount also rose to hit nearly $40b (KRW47.5t). 

"The use of internet banking greatly increased in 2018 on the launch of internet-only banks, whilst the use of cash dispensers and automated teller machines (CDs/ATMs) dropped," the Bank of Korea (BOK) was cited in the report. 

Also read: Korea's internet-only banks still sparring for market share

Internet banking accounted for more than half (53.2%) of all bank transactions from 45.4% in the previous year. The amount of money spent by financial institutions to maintain and upgrade their mobile banking systems also hit a record high to $5.44b (KRW6.49t) in 2018, accounting for 8.8% of overall spending for the year.

The use of CDs and ATMs accounted for 30.2% of the total, down from 34.7% in the previous year. The ratio of phone banking also dwindled to 7.9% from 9.9% over the same period. Transactions handled face-to-face at banks also fell to 8.8% from 10.0% in 2017 in what marks the fourth straight year of decline since 2014.

Do you know more about this story? Contact us anonymously through this link.

Click here to learn about advertising, content sponsorship, events & rountables, custom media solutions, whitepaper writing, sales leads or eDM opportunities with us.

To get a media kit and information on advertising or sponsoring click here.