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South Korea

Seoul ยท KRWยทAsia
low riskAABank of Korea
AI Intelligence Summary

South Korea's semiconductor-led economy is recovering from the export downturn of 2023. Samsung and SK Hynix's dominant position in HBM memory for AI applications provides a structural tailwind. However, political instability and household debt concerns weigh on domestic sentiment. The demographic crisis (lowest fertility rate globally at 0.72) represents an existential long-run challenge. Trade dependency on China (25% of exports) creates geopolitical exposure.

2.40%
GDP Growth
2.80%
CPI Inflation
2.40%
Core CPI
2.90%
Unemployment
3.50%
Policy Rate
0.70%
Real Rate
54.30%
Debt/GDP
51.20
PMI
GDP Growth Rate
Annual real GDP growth (%)
Inflation (CPI)
Consumer price index annual change (%)
Monetary Policy Rate
Central bank benchmark rate (%)
Unemployment Rate
% of labour force unemployed
Full Indicator Dashboard
IndicatorValueStatus
GDP Growth2.40%strong
Headline Inflation2.80%target
Core Inflation2.40%target
Unemployment Rate2.9%low
Policy Rate3.50%restrictive
Real Interest Rate0.70%neutral
Yield Curve Spread0.42%normal
Debt / GDP54.3%sustainable
Current Account2.10%surplus
Fiscal Balance-2.80%deficit
PMI (Composite)51.2expansion
M2 Growth5.80%moderate
Industrial Production4.80%growing
Trade Balance$34.8Bsurplus
FDI Inflows$12.4Bmoderate
FX Reserves Coverage6.8 monthsadequate