Seoul: South Korea's overseas direct investment increased by 36 percent in the first quarter of 2026 compared to the previous year, as reported by data released on Tuesday. The rise was predominantly driven by investments in the financial and insurance sectors.
According to Yonhap News Agency, the total overseas direct investment by South Korean businesses reached US$21.74 billion from January to March, significantly up from $15.96 billion recorded in the same period last year. This marks continued year-on-year growth since the third quarter of 2025, as per data from the Ministry of Finance and Economy.
The financial and insurance sector saw a substantial increase in overseas investment, rising 63 percent to $13.38 billion. The finance ministry attributed this growth to South Korean companies' strategic efforts to diversify their global investment portfolios amidst a booming global stock market.
The information and communication sector also experienced notable growth, with investments more than tripling to $1.19 billion over the period. In contrast, the manufacturing industry faced a downturn, with investments decreasing by 5.7 percent to $3.4 billion.
Regarding investment destinations, South Korean investment in the United States doubled to $10.15 billion. Investments in Luxembourg saw an increase of 97.9 percent, reaching $2.08 billion. Additionally, investment in Singapore more than doubled, reaching $1.05 billion, according to the data.