About KTBs
Currently issued government bonds include Korea Treasury Bonds (KTBs), Korea Savings Bonds (KSBs), Treasury Bills (T-bills), Foreign Exchange Stabilization Fund Bonds (FX SFBs), and National Housing Bonds (NHBs) Type 1.
As of 2019
- total : Issuance Volume(167.6 trillion won)
- 1. FX SFBs 1.8 trillion won 1.1%
- 2. KTBs 101.7 trillion won 60.7%
- 3. T-Bills 29.1 trillion won 29.1%
- 4. NHBs 15.4 trillion won 9.2%
As of 2019, Outstanding Balance of T-Bills : 0
- total : Outstanding Balance(696.2 trillion won)
- 1. KIBS 611.5 trillion won 87.8%
- 2. NHBs 76.4 trillion won 11.0%
- 3. FX SFBs 8.3 trillion won 1.2%
Among government bonds, KTBs account for the largest share of issuance and are actively traded in the secondary market. As a result, yields on on-the-run KTBs serve as benchmark yields in the Korean bond market. KTBs are classified into conventional KTBs and inflation-linked KTBs (KTBis). Conventional KTBs are issued with maturities of 2, 3, 5, 10, 20, 30, and 50 years, while KTBis adjust principal and coupon payments in line with inflation.
| No. of Annual New Issuance | Month | Fungible Issue Term | |
|---|---|---|---|
| 2Y | Twice a year | Mar, Sep | 6M (Mar–Aug; Sep–Feb) |
| 3Y | Twice a year | Jun, Dec | 6M (Jun–Nov; Dec–May) |
| 5Y | Twice a year | Mar, Sep | 6M (Mar–Aug; Sep–Feb) |
| 10Y | Twice a year | Jun, Dec | 6M (Jun–Nov; Dec–May) |
| 20Y | Once a year | Sep | 1Y (Sep–Aug) |
| 30Y | Twice a year | Mar, Sep | 6M (Mar–Aug; Sep–Feb) |
| 50Y | Every other year (even years) | Sep | 2Y (Sep–Aug) |
| KTBi (Inflation-linked) | Every other year(even years) | Jun | 2Y (Sep–Aug) |
KTBs are fungible issues, meaning that bonds issued within a specified period share the same maturity and coupon rate and are treated as a single issue. Currently, 2-year, 5-year, and 30-year KTBs are issued in March and September, while 3-year and 10-year KTBs are issued in June and December. 20-year KTBs are issued in September, and 50-year KTBs are issued every other year (even years) in September. Inflation-linked KTBs (KTBis) are also issued every other year (even years) in June.