South Korea's foreign reserves grew in March as the dollar's descent increased the conversion value of holdings in other currencies, central bank data showed Wednesday.

The country's foreign reserves had come to $426.07 billion as of end-March, up $780 million from the previous month, according to the data from the Bank of Korea.

The dollar's fall last month boosted the converted value of holdings denominated in other currencies, the BOK explained.

The dollar index that gauges the greenback's value against major peers fell about 2.4 percent last month, the central bank said.

Foreign reserves consist of securities and deposits denominated in overseas currencies, International Monetary Fund reserve positions, special drawing rights and gold bullion.

Foreign securities, such as US Treasuries, had been valued at $377.59 billion as of end-March, up $3.09 billion from a month earlier. They accounted for 88.6 percent of total foreign reserves, the data showed.

The value of deposits stood at $24.14 billion in March, down $2.61 billion from a month earlier.

South Korea had been ranked the world's ninth-largest holder of foreign reserves at the end of February, the BOK said. (Yonhap)