The Ministry of Economy and Finance (MOEF) has updated the 2025 annual Korea Treasury Bond (KTB) issuance plan to reflect the recently approved supplementary budget, which raised the total KTB issuance ceiling by KRW 9.5 trillion - from KRW 197.6 trillion to KRW 207.1 trillion under the original budget.
In terms of issuance schedule, the MOEF will maintain its existing approach of allocating 55-60% of the total annual issuance in the first half of the year and 40-45% in the second half. Accordingly, 55-60% of the additional KRW 9.5 trillion (KRW 5.2-5.7 trillion) will also be issued in the first half.
With regard to maturities, the MOEF plans to increase the proportion of long-term bonds (20-, 30-, and 50-year maturities) compared to the original plan, taking into account conditions in the KTB market and overall supply-demand dynamics.
2025 KTB Issuance Plan by Maturity (Proportion)
|
|
2-year |
3-year |
5-year |
10-year |
20-year |
30-year |
50-year |
|
Short-term |
Mid-term |
Long-term |
|
2025 Original Plan |
30±3% |
35±3% |
35±5% |
|
2025 Revised Plan |
30±3% |
30±3% |
40±5% |
Under the revised issuance plan, the government will adhere to the principle of distributing KTB issuance evenly across the months, while applying flexibility depending on conditions in the KTB market and fiscal funding needs.
Going Forward, the MOEF will remain committed to ensuring the smooth issuance of KTBs as a means to proactively support fiscal efforts aimed at responding urgent issues and recovering the public livelihoods.
Please refer to the attached files.
