[THE INVESTOR] The return rate of 50,000-won (US$45) banknotes compared to other denominations is very low, the central bank said on Aug. 5.
The Bank of Korea issued 11.2 trillion won (US$10 billion) worth of 50,000-won bills in the first half of this year and 5.68 trillion won has returned to the central bank.
The ratio of redeeming 50,000-won bills came to 50.7 percent in the January to June period, compared with 25.8 percent in 2014 and 40.1 percent in 2015.
Still, the ratio is far lower than those of lower denomination bills. The return rate of 10,000-won and 5,000-won banknotes stood at 111.2 percent and 93.5 percent in the first half of this year, respectively.
Kang Kyung-hoon, a professor at Dongguk University, said in a public hearing last month that 50,000-won banknotes could be used as a means for illegal funds, citing convenience in storing the large denomination bills rather than smaller ones.
