South Korea's negative bank book surges as stock prices plummet due to U.S. reciprocal tariff policy

It has been revealed that the five major banks, including KB Kookmin, Shinhan, Hana, Woori and NH Nonghyup, have a total of 38.27 trillion won (approximately 3.82 trillion yen) in negative balances in their "negative bankbooks."
It was revealed that the amount of borrowings by the five major banks increased by 805.4 billion won (approximately 70.48 million yen) compared to the end of March. The amount of borrowings by the five major banks during the same period also increased to 102.6875 trillion yen (approximately 10.2622 trillion yen).
The increase in the negative bankbook borrowing amount is due to the stock market crash following the reciprocal tariff policy implemented by US President Trump.
It is speculated that some investors who saw this are trying to buy stocks. A bank source said, "Some investors are borrowing money and investing, seeing this as an opportunity to buy stocks that have fallen in value.
As of the 24th, household debt had risen to 741.594 trillion won (approximately 74.1125 trillion yen), and housing loans had risen to 587.7427 trillion won (approximately 58.7371 trillion yen).
The increase was due to an increase in transactions of high-rise apartments in Seoul in February, when the land transaction permit system, which requires approval from the Ministry of Land, Infrastructure and Transport, was relaxed.
We are closely monitoring trends in borrowing amounts by region, as we believe that the period through May will be a turning point in managing household debt.