This undated photo, provided by the Ministry of Economy and Finance, shows the exterior of the ministry building in the administrative city of Sejong. (Ministry of Finance)
South Korea plans to sell a total of 8 trillion won ($7.3 billion) worth of Treasury bills in the first two months of the year to fund its expansionary fiscal policy, the finance ministry said Wednesday.
The ministry plans to issue 2 trillion won in bills with a maturity of 63 days this month, and the remaining 6 trillion won will be floated next month, according to the Ministry of Economy and Finance.
Treasury bills are usually floated to raise money to cover short-term financial shortfalls and thus are generally sold with a maturity of less than a year. The debts should be repaid within the year of issuance.
The ministry said the proceeds from the Treasury sales will be used to support state programs designed to tackle the fallout of the COVID-19 pandemic. (Yonhap)