Seoul: Banks in the Republic of Korea saw their capital adequacy ratio inch up in the first quarter of the year, data showed Thursday. The average capital adequacy ratio of 17 commercial and state-run banks stood at 15.68 percent as of end-March, up from 15.60 percent three months earlier, according to the preliminary data from the Financial Supervisory Service (FSS).

According to Emirates News Agency, the ratio is a key barometer of financial soundness, measuring the proportion of a bank's capital to its risk-weighted assets. This slight increase in the capital adequacy ratio indicates a strengthening in the overall financial stability of Korean banks during the first quarter.

The Financial Supervisory Service's data highlights the ongoing efforts of Korean banks to maintain robust financial health amid a rapidly changing economic environment. The rise in the capital adequacy ratio reflects the banks' commitment to managing risks and ensuring they have sufficient capital to cover potential losses.