Korea

It's at the expense of banks.

But NIM and asset quality outlook's restrained.

In Seoul particularly, it's Woori Bank.

It's been dropping for 2 straight years.

Korea was a hub of bank activity.

Analysts are concerned about loan growth.

But efforts will go on.

NIS on newly extended balance also fell.

Corporate loans grew as well.

All thanks to its parent company.

As housing transactions stayed solid. Household loans in Korea picked up by 1.3% m-m , up 5.7% YTD and up 7.0% y-y, driven by mortgage loans growth of 1.6% m-m, up +8.2% YTD and +9.8% y-y. According to a research note from Nomura, this developed as housing transactions remained strong. The report noted that October Seoul apartment transaction volume grew 15% m-m to 10,147 units. Meanwhile, Nomura also noted that bank funding rose 0.6% m-m (+3.5% YTD, +4.0% y-y). Core deposits rose by 0.8% m-m (+7.2% YTD, +12.2% y-y). Further, time savings rose by 0.3% m-m (+3.3% YTD, +0.8% y-y).  

Corporate loans also grew.

SCB will likely provide support, if needed.

August was another slow month, though.

Thanks to recent modifications.

But the improvements could be limited.