The premium on Korean bonds, which is a barometer of the country's risk of default, has dropped to its lowest level since the 2008 global financial crisis.
According to the finance ministry, the credit default swap premium or CDS on the country's five-year foreign exchange stabilization bond traded at 19 basis points on Wednesday.
That's the lowest since April 2007, when it hit an all-time low of 14 basis points.
Globally, that puts South Korea at the 17th lowest rate, and the lowest among emerging economies.
A lower CDS premium means foreign investors have a positive view of the Korean economy.
Finance Minister Hong Nam-ki, on Facebook, attributed the sharp decline to confidence in the Korean economy due to its rapid recovery in the pandemic.