2026-08-04

Added

Monetary Stabilization Bond 03730-2807-0203 Issuance Notice

The Bank of Korea announces the fungible issuance of Monetary Stabilization Bond (MSB) 03730-2807-0203 and MSB 03730-2807-0200 (Jul 2, 2026), with an issue date of July 2, 2026, and a repayment date of July 2, 2028. MSB 03730-2807-0203 will be issued via competitive bidding on August 5, 2026, with a scheduled issue amount of 2,000 billion won and a bidding limit of 1,200 billion won per institution. Eligible bidders are institutions qualified for open market operations, with a minimum auction amount of 10 billion won and a bidding limit of 60% of the scheduled issue amount for each institution. Winning bidders are determined by starting with the lowest bid rate and proceeding upwards to the scheduled issue amount, allowing for acceptance of excess bids up to 20% of the scheduled amount if required.

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Monetary Stabilization Bond 03730-2807-0203 Issuance Notice Aug 4, 2026 The Bank of Korea announces that MSB 03730-2807-0203 and MSB 03730-2807-0200 (Jul 2, 2026) are to be issued on a fungible basis in accordance with the Article 14-2 of the “Open Market Operation Regulations”.

  1. Issue date: Jul 2, 2026
  2. Repayment date: Jul 2, 2028
  3. Issue method: competitive bidding (03730-2807-0203) ㅇ Auction date: Aug 5, 2026 (Wed), 10:00-10:10 ㅇ Scheduled issue amount: 2,000 billion won ㅇ Bidding limit for each institution: 1,200 billion won ㅇ Settlement date: by 16:00, Aug 6, 2026 (Thu) ※ For more details, please refer to the Appendix titled ‘Details of Monetary Stabilization Bond Issuance’.

(Appendix) Details of MSB Issuance

  1. Scheduled MSB issue amount can be changed in the following cases: ㅇ If the bid amount is less than 150% of the amount to be auctioned ㅇ If the bid rates are greatly at odds with the market rates ㅇ If the amount of bids placed below the successful bid rate exceeds the scheduled issue amount
  2. Principal and interest payment ㅇ Principal: paid in full on the repayment date (If the date of principal and interest payment falls on a public holiday, payment are to be made on the next business day.) ㅇ Interest: paid in arrears every three months
  3. Securities issuance: Electronic registration
  4. Details of competitive biddings A. Overview ㅇ Auction method : Electronic bidding through BOK-Wire+ ㅇ Auction time : Refer to the notice ㅇ Scheduled auction amount : Refer to the notice ※ Please adhere to the regulations and procedures specified in the "the Open Market Operations Regulations", "Open Market Operations Rules", "Bidding Procedures for Open Market Operations" and "Procedures for Handling Affairs Related to Open Market Operations" as well as the auction announcement for any other necessary matters.

B. Bidding process ㅇ Eligible bidders : institutions eligible for open market operations (excluding institutions subject to bidding restrictions) ㅇ Deposit : exempt ㅇ Auction amount : The minimum auction amount is set at 10 billion won and any amount above that should be in multiples of 10 billion won. The bidding limit for each institution is set at within 60% of the scheduled issue amount of competitive bidding. ㅇ Application method for auction: specify the interest rate up to the third decimal place in annual terms (in increments of 0.5bp) – One institution can bid at up to six different rates (However, re-bidding at the same rate is not allowed). C. How to determine a successful bid ㅇ Winning bidders are determined sequentially, starting with the lowest rate among the bids and working up to the scheduled issue amount. – If the amount of bids at the same rate exceeds the scheduled issue amount, excess bids may be accepted within a range of up to 20% of the scheduled issue amount, if necessary. ㅇ Successful bid rate

– The highest winning rate determined by competitive bidding (dutch auction) D. Settlement date: Refer to the Notice ㅇ Each winning bidder will pay at the winning rate through its current account established with the Bank of Korea. ㅇ The Issue price is calculated in millions of won (rounding down for amounts less than one million won).

<Formula for calculating issue price> Issue Price =              ×              ×          : face value,  : coupon rate,  : issue yield  : number of interest payments per year  : number of remaining interest payments  : number of days from the day following the sales date to the next interest payment due date  : number of days from the day after the last interest payment due date (or issue date if no interest is due) to the next interest payment due date