February Money Supply Growth Slows as January Surge Ebbs

In February 2026, the total amount of money circulating in the economy (money supply) increased by only 600 billion won compared to the previous month, halting the rapid growth seen in January. In January, the money supply surged by 27 trillion won, partly due to the inflow of funds awaiting stock investments, but the pace of increase slowed significantly in February. This trend could serve as an important indicator for future economic conditions.

The average broad money supply (M2) in February 2026 was recorded at 4,114 trillion won, a modest increase of 0.6 trillion won (600 billion won) from the previous month, reflecting a virtually flat level. By category, savings deposits and money trusts increased by 4.5 trillion won and 5.3 trillion won respectively. However, market-based financial products saw a decrease of 3.7 trillion won, demand deposits fell by 2.9 trillion won, and time deposits and savings accounts with maturities of less than two years decreased by 1.8 trillion won.

By economic entity, funds held by households and non-profit organizations decreased by 10.5 trillion won, while those held by other financial institutions and non-financial corporations increased by 9.4 trillion won and 5 trillion won respectively.