Korea: Inflation remains subdued in May
June 4, 2019
Consumer prices rose 0.2% in month-on-month terms in May, down from the 0.4% increase recorded in April. The slowdown in May was due to lower prices for food and non-alcoholic beverages, and furnishings, household equipment and routine maintenance.
Inflation ticked up to 0.7% in May from 0.6% in April. Despite the acceleration, inflation remained well below the Bank of Korea’s 2.0% target. Core inflation, which excludes fresh food and energy prices, edged down to 0.8% in May from 0.9% in April. Annual average inflation slowed to 1.2% from 1.3%.
Author: Edward Gardner, Economist