Bank deposits in Seoul surged more than 8% over the past year, while Busan, Korea's second-largest city, saw only a 3% increase, data showed, highlighting the growing concentration of financial resources in the capital region.
According to the Bank of Korea on the 9th, deposit bank balances in Seoul rose 8.35% to 1,193 trillion won from 1,101 trillion won during the 12 months through November 2025. The increase exceeded the national average of 4.95% by more than 3 percentage points and was more than double Busan's 3.78% growth rate.
Seoul accounts for 22% of the nation's gross regional domestic product but holds 54.6% of total deposits and 41.7% of loans, indicating severe financial concentration in the capital.
The imbalance becomes more pronounced when examining the greater Seoul metropolitan area, which includes Seoul, Gyeonggi Province, and Incheon. These regions represent 52.8% of national GRDP but command 71.6% of deposits and 68.2% of loans.
In contrast, the southeastern region comprising Busan, Ulsan, and South Gyeongsang Province contributes 13.9% of GRDP but holds only 9.5% of deposits and 12% of loans.
"The problem is not insufficient regional GRDP, but rather that money does not stay in the regions and flows out to the capital area," said Ha Geun-cheol, head of BNK Research Institute. "This concentration of finance in the metropolitan area is the core issue."
Experts warn that without addressing the structural flow of capital toward the Seoul metropolitan area, the Lee Jae-myung administration's "5 Poles, 3 Special Zones" regional development strategy will face inherent limitations.