S. Korean bond issuance expands 15.7 pct in Sept.

SEOUL, Oct. 7 (Yonhap) -- South Korea's bond issuance increased 15.7 percent in
September from a month earlier due to increased debt sales by the central bank
and companies, the bourse operator said Wednesday.
The government, state enterprises and private companies sold a combined 66.82
trillion won (US$57 billion) worth of bonds last month, compared with 57.74
trillion won in August, according to the Korea Exchange (KRX).
The value of the nation's outstanding bonds came to 1,009.34 trillion won as of
the end of September, surpassing the 1,000 trillion won level for the first time
ever, the KRX said.
South Korea's bond yields were mixed last month with short-term interests adding
gains while longer-term bonds shed ground.
"Yields on bonds with a maturity of more than five years closed lower due to
remarks by the president and the finance minister that exit strategies are
premature and sluggish figures in industrial output data," the KRX said.
Short-term yields, however, climbed on an imminent interest lift by the Bank of
Korea, it added.
As of end-September, the benchmark yield on five-year government bonds stood at
4.81 percent, down 0.1 percentage point from a month earlier while the return on
three-year Treasuries added 0.01 percentage point to 4.39 percent.
pbr@yna.co.kr
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