Bank of Korea: “Adjusting the National Pension's Portfolio… Overseas Investment Will Be Cut by $20 Billion” (January 26, 2026)

The Bank of Korea has estimated that, due to a change in the National Pension's portfolio, overseas investment will be reduced by $20 billion compared to the original plan. As the amount converted into dollars and sent abroad decreases, there is a forecast that this will also ease pressure on the foreign exchange supply-demand balance.

On the 26th, a Bank of Korea official told the Korea Economic Daily in a phone call, “As the National Pension's target overseas equity allocation is adjusted from 38.9% to 37.2%, this year's overseas investment amount is estimated to shrink by roughly $20 billion compared to the original plan.”

$20 billion is roughly equivalent to the maximum annual amount that could go out as investment in the United States. A foreign exchange market source said, “This measure is expected to substantially reduce dollar demand, improving the supply-demand balance.”

The National Pension Service held a meeting of its Fund Management Committee that day and deliberated on and approved the “National Pension Fund Portfolio Improvement Plan,” which contains these details. This year's target overseas equity allocation will be adjusted from the original plan of 38.9% to 37.2%. The target domestic equity allocation will be expanded from the original plan of 14.4% to 14.9%. This keeps it at the same level as last year's target allocation. Along with this, the domestic bond allocation was also set higher than the original plan (23.7%), at 24.9%.

https://n.news.naver.com/article/015/0005242387?sid=101