Korean government bonds' inclusion in the 'WGBI advanced group' delayed

South Korea's inclusion in the World Government Bond Index, which was originally scheduled for November, has been delayed to April next year.

That means the benefits of being included in the WGBI, including reduction in government bond procurement costs, will also be delayed.

While some pundits say the delay reflects investors' concerns about the political instability in the country, the government said it's due to Japan's request for an improvement in the investment environment, and nothing to do with the political situation.

The South Korean government projects at least 56 billion dollars would flow into the country's national bond market once it's included in the WGBI.