Late payments on credit union property and construction loans rise to 11.38%

South Korean credit unions are seeing more unpaid loans to property and construction businesses.

By August, 11.38% of these loans were overdue, and the overdue amount had grown 34.8% since the end of last year.

These industries account for about 31% of all credit union lending, so trouble could affect many institutions.

Officials are preparing measures to help manage bad loans and limit some property-related lending.