South Koreans have withdrawn massive quantities from savings banks since last week, when regulators published a list of banks with below-grade capital adequacy ratios.On Saturday five banks were asking for capital injections.
By Wednesday a total of eight banks have suspended operations, according to JoongAng Daily.
The latest to fold, Domin Bank, says $28.2 million were withdrawn since Thursday, including $16.7 million on Monday. Domin voluntarily shut down its banks “as a means to soothe the crisis involving massive withdrawals.”
Large banks like Woori are providing emergency funds.