S Korea's foreign reserves rise in June

South Korea's foreign reserves rebounded in June from the previous month as investment profit gained and a weaker dollar raised the conversion value of non-dollar assets, the central bank said Tuesday. The country's foreign reserves reached US$312.38 billion as of the end of June, up $1.51 billion from the previous month, according to the Bank of Korea (BOK). The foreign reserves in May retreated after they hit a fresh record high of $316.84 billion in April. The country's foreign-exchange reserves have been widely on the rise on the back of continued exports and inflows of foreign capital, (Yonhap) news agency reported. Foreign reserves consist of securities and deposits denominated in overseas currencies, along with International Monetary Fund reserve positions, special drawing rights and gold bullion. The central bank said a gain in the reserves in June mainly came due to growing investment profits and a softer US dollar. In June, the euro appreciated 0.6% on-month to the dollar and the British pound rose 0.2% against the greenback. As of end-May, South Korea was the world's seventh-largest holder of foreign exchange reserves. The BOK is making efforts to diversify the portfolio of foreign reserves. The central bank has invested $300 million in China's A shares and bought yuan bonds traded on China's over-the-counter market. (QNA)