South Korea: current account and GDP
According to preliminary data, South Korea recorded a current account surplus of $16.6 billion in the first nine months of 2023.
The current account surplus in the first nine months of 2023 decreased from the current account surplus of $25.8 billion in the corresponding period of 2022, mainly due to an increase in the services account deficit and a decrease in the goods account surplus, the effects of which were largely offset by an increase in the income account surplus.
Also according to preliminary data, South Korean GDP growth in the first nine months of 2023 was 1.4% at chained 2015 prices.
Mostly this result was due to an increase in aggregate private and general government consumption expenditure of 2.1%, an increase in gross fixed capital formation of 2.2%. and an increase in exports of goods and services of 0.5%, the effects of which were partly offset by an increase in imports of goods and services of 2.8%, each compared to the corresponding period of 2022.
Current account
According to preliminary data, South Korea recorded a trade deficit of US$19.8 billion in the first nine months of 2023.
On the one hand, exports decreased 11.5% to US$464.2 billion in the first nine months of 2023 from US$524.5 billion in the corresponding period of 2022 mainly due to a deterioration in the domestic economic conditions of South Korea’s major trading partners and a slowdown in the semiconductor industry.
Conversely, imports decreased 12.6% to $484.0 billion in the first nine months of 2023 from $553.7 billion in the corresponding period of 2022, mainly due to a decline in energy and raw material prices, which also led to a decrease in unit prices of other major raw materials.
Economy
According to preliminary data, GDP growth in 2022 was 2.6% at chained 2015 prices, as aggregate private and general government consumption expenditure increased by 4.1% and exports of goods and services increased by 3.4%, more than offsetting an increase in imports of goods and services by 3.5% and a decrease in gross fixed capital formation of 0.5%, each compared to 2021.
