S. Korea, Japan finmins welcome Korea’s efforts to communicate with international investors regarding World Government Bond Index inclusion - S. Korea Ministry

South Korea’s Ministry of Economy and Finance has highlighted the country’s proactive engagement with international investors ahead of its inclusion in the World Government Bond Index (WGBI) in November 2025. Deputy Prime Minister and Finance Minister Koo Yun-cheol emphasized this during a recent investor briefing in Tokyo, where he outlined Korea’s competitive advantages in sectors such as semiconductors, nuclear energy, and artificial intelligence, while reaffirming commitments to capital market reforms. The event, attended by over 100 Japanese and global investors, underscored efforts to broaden demand for Korean Treasury bonds, which are projected to exceed 200 trillion won ($137.16 billion) in issuance this year.

Finance Minister Choi Sang-mok similarly stressed the importance of maintaining close communication with global investors during a New York meeting with U.S. institutional representatives, noting that inclusion in the WGBI reflects international recognition of Korea’s improved investment environment. The government has also hosted targeted events in Tokyo, including a joint session with Tradeweb and NH Investment & Securities, to address investor concerns and highlight regulatory reforms that enhance market accessibility.

Analysts estimate that WGBI inclusion could attract $50 billion–$60 billion ($73 trillion–88 trillion won) in foreign capital, driven by growing interest from European, Middle Eastern, and Asian investors seeking high-quality, yield-bearing assets. The Ministry has pledged to address remaining barriers, such as auction timing and tax structures, to ensure the inflows translate into broader market development. These efforts align with Korea’s broader strategy to eliminate the “Korea discount” and strengthen its global financial standing through systemic reforms and infrastructure investments.