South Korea bank's have increased their profits ten fold, according to the country's financial authorities.

The spectacular rise in profits is due to the success of ongoing restructuring efforts, the Financial Supervisory Service said.

The 22 banks reported a combined net profit of 4.39 trillion won ($3.5bn) during the first nine months of the year, ten times higher than for the same period the previous year.

"Following the sale of bad assets, the soundness of the banks' assets improved, leading to greater growth potential," the Financial Supervisory Service said.

More growth ahead

It also noted that increased service fees and incomes from securities and foreign exchange also contributed to the growth.

The 22 banks include 17 commercial banks and five state-owned lenders.

Kookmin Bank topped the list, followed by Housing and Commercial Bank and Industrial Bank.

The authorities also noted that interest income and service fees are expected to keep growing, boding well for the full year results.