South Korea is set to join a major global government bond index managed by FTSE Russell starting November 2025, in a move anticipated to attract significant foreign investment.
According to Yonhap News Agency, the process of adding the Republic of Korea to the FTSE Russell’s World Government Bond Index (WGBI) will begin in November 2025. This inclusion will take place over a year, with quarterly updates, as Korea’s market accessibility level is upgraded from 1 to 2.
This decision comes two years after Korea was placed on FTSE Russell’s watch list. The organisation noted that Korean authorities have implemented several measures to enhance the accessibility of their government bonds to international investors, meeting the criteria for a Market Accessibility Level of 2.
The WGBI, valued at $29 trillion, is a prestigious benchmark that attracts substantial global investment. Experts predict Korea could see foreign investment inflows of up to 90 trillion won ($67 billion) following its inclusion.
