In February, consumer prices rose 0.76% over the previous month, which was down from the 0.93% price increase recorded in January but more than double the 0.35% increase recorded in February 2010. Higher prices for food and alcoholic beverages (+1.83% month-on-month) and housing (+0.69% mom) were the main drivers behind the monthly increase. As a result of the pronounced price increase, annual inflation jumped from 4.1% in January to 4.5%, coming in above the 4.3% anticipated by market analysts and reaching the highest level since November 2008. At the current level, inflation is above the Central Bank's target of 3.0% and surpasses the tolerance range of 1.0 percentage points for a second consecutive month. Moreover, core inflation is also on the rise. The core inflation index, which excludes more volatile items such as fresh food and energy, added 0.69% over January, pushing annual core inflation from 2.6% in January to 3.1% in February. The Central Bank expects inflation to end the year at 3.5% in 2011, before stepping down to 3.2% by the end of 2012.
Inflation rises to highest level in more than two years
March 2, 2011
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Korea Economic News
October 13, 2016
At its 13 October monetary policy meeting, the Bank of Korea (BoK) announced that it will hold the base rate constant at a record low of 1.25%, which was largely in line with market expectations.
October 5, 2016
In September, consumer prices rose 0.6% over the previous month, which contrasted the 0.1% decrease in August and overshot the 0.2% increase the markets had expected.
October 3, 2016
Korea’s Customs Services reported that exports totaled USD 40.9 billion in September, which represented a 5.9% contraction over the USD 43.4 billion recorded in the same month last year.
September 30, 2016
The forward-looking business confidence indicator (BSI) for the manufacturing sector produced by the Bank of Korea (BoK) rose from 74 points in September to 75 points in October.
September 30, 2016
In August, industrial production accelerated and expanded 2.3% year-on-year, which was up from both the 1.6% increase registered in July and the 1.6% rise the markets had expected.