In the fourth quarter, South Korea's GDP growth rate was the slowest in six quarters, falling short of expectations.
In the fourth quarter, South Korea's economy grew at a rate of 1.2% year on year, which was its slowest expansion since the second quarter of 2023.
The economy's growth rate was lower than expected, with a 0.1% increase on a quarter-on-quarter basis, compared to the 1.4% expansion predicted by economists polled by Reuters. Additionally, the growth rate was lower than the 1.5% increase seen in the third quarter of 2024.
The full-year GDP growth rate for 2024 was 2%, which was lower than the 1.4% increase seen in the previous year.
In 2024, private consumption growth decreased and construction sector investment declined, but government consumption, facility investment, and exports growth increased, according to a Google translation of the Bank of Korea's release in Korean.
The services and construction industries experienced a decline in growth, while the manufacturing industry experienced a faster rate of growth compared to the previous year, according to the BOK.
The BOK's policy rate currently stands at 3% after the bank made two surprising moves in recent months, first cutting rates by 25 basis points in late November and then holding rates in its meeting on Jan. 16. The GDP reading is yet to be released.
— This is breaking news, please check back for updates.
Asia Economy
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