South Korea's currency volume increased by KRW 32 trillion in May, recording the largest increase in nine months. This is mainly due to an increase in short-term surplus funds of companies and inflows of margin deposits for securities and derivative transactions. In particular, demand deposits subject to withdrawal at any time increased at the highest rate since statistics were compiled in 2003. On the other hand, deposits by households and non-profit organizations showed a downward trend. M1, a narrow measure of money supply, also recorded the largest increase in five years and four months.
