Containers are stacked at a port within the southeastern metropolis of Busan on this July 7 file photograph. Newsis
South Korea’s financial system expanded on the quickest tempo in almost 4 years within the third quarter, buoyed by sturdy exports and enhancing personal consumption, central financial institution knowledge confirmed Wednesday.
The actual gross home product (GDP) rose 1.3 p.c within the July-September interval from the earlier quarter, 0.1 proportion level larger than the sooner estimate, in accordance with preliminary knowledge from the Financial institution of Korea (BOK).
The studying marked the quickest quarterly enlargement for the reason that fourth quarter of 2021, when the financial system grew 1.6 p.c. It additionally accelerated from a 0.7 p.c on-quarter rise within the second quarter and exceeded the BOK’s prior projection of 1.1 p.c.
On an on-year foundation, the financial system expanded 1.8 p.c within the third quarter, a pointy pickup from the 0.6 p.c progress recorded within the second quarter.
South Korea’s GDP unexpectedly contracted 0.2 p.c within the first quarter as a home political disaster triggered by former President Yoon Suk Yeol’s martial legislation declaration and mounting uncertainty from U.S. President Donald Trump’s sweeping tariff measures weighed on shopper sentiment and exports.
The financial system has since regained momentum, supported by authorities stimulus and strong export efficiency, notably within the semiconductor sector.
In its newest outlook launched final week, the central financial institution raised its progress projection for this yr by 0.1 proportion level to 1 p.c. For 2026, it forecast a 1.8 p.c enlargement.
Presenting a rosier progress forecast, the BOK held its benchmark rate of interest regular for the fourth consecutive assembly amid a weak forex and an unsettled housing market.
