Prices for basic necessities rise faster than overall inflation over past 5 yrs: study

Prices for everyday necessities, such as housing, food and clothing, have risen at a faster pace than overall inflation over the past five years, a study showed Thursday. According to the research conducted by Kim Sang-bong, an economics professor at Hansung University, commissioned by the Federation of Korean Industries, the cost of basic necessities increased by an average of 4.6 percent annually between 2019 and 2024. The study noted that the rate is higher than the 2.8 percent average annual

Oct. 16, 2025

All Seoul districts designated as speculative zones, lending rules tightened

All of Seoul and 12 areas in Gyeonggi Province were designated as overheated speculative zones on Wednesday, with housing loan rules tightened as the government moves to curb surging home prices in the capital region. “The housing market has seen instability spread from areas near the Han River, amid expectations of global rate cuts and supply-demand imbalances,” Land Minister Kim Yun-duk said during a related ministerial meeting held in Seoul that morning. “The government is acting preemptively

Oct. 15, 2025

Govt. to 'rationalize' property tax system: finance minister

Finance Minister Koo Yoon-cheol said Wednesday the government will soon propose a comprehensive plan to "rationalize" the real estate taxation system, amid rapidly rising housing prices in the wider Seoul area. "(The government) will devise a property tax reform plan after carefully considering factors such as encouraging capital flows into productive sectors, the principle of fair burden-sharing and public receptiveness," Koo said during a press conference to announce the third major housing po

Oct. 15, 2025

IMF ups Korea's 2025 growth outlook to 0.9%

The International Monetary Fund on Tuesday raised its 2025 economic growth forecast for South Korea to 0.9 percent, up from its July projection of 0.8 percent. The IMF kept its 2026 outlook for the country’s real gross domestic product expansion unchanged at 1.8 percent. The 0.9 percent forecast matches the Bank of Korea's projection and is slightly above the Korea Development Institute's 0.8 percent estimate. It is marginally lower than the 1 percent forecast by the Organization for Economic Co

Oct. 14, 2025

ICT exports rise 14% in Sept. on record chip shipments

Exports of South Korean information and communication technology products jumped 14 percent from a year earlier in September on the record-high performance of semiconductors, data showed Tuesday. Outbound shipments of ICT products reached $25.43 billion last month, according to the data compiled by the Ministry of Science and ICT. It marks the highest export volume for any September. Imports gained 10.4 percent on-year to $13.78 billion, resulting in a trade surplus of $11.65 billion in the sect

Oct. 14, 2025

New housing curbs to come this week as prices remain unrestrained

The Lee Jae Myung administration is rolling out its third comprehensive real estate policy package this week, as authorities move to rein in renewed housing price pressures and speculative demand in the Seoul metropolitan area. Deputy Prime Minister and Finance Minister Koo Yun-cheol said Monday that the government will soon unveil new demand-side measures alongside its direction for property taxation, signaling a shift from supply-driven responses to a more balanced policy mix. “We plan to make

Oct. 13, 2025

Varying fortunes of Greater Seoul real estate point to increasing wealth inequality

Apartment prices in Seoul's affluent Gangnam region have jumped by as much as over 20 percent compared to 2024 prices, while some areas in the greater Seoul area saw decreases. An analysis by real-estate broker Ziptoss found that the average price for a home in an apartment block in Gangnam-gu rose 622.9 million won ($436,000), or 22.8 percent, in the third quarter, compared to average prices for the whole of 2024. Gangnam-gu is one of the three affluent "Gangnam districts" alongside Songpa-gu,

Oct. 13, 2025

Exports dip 15.2% during first 10 days of Oct. on fewer working days

South Korea's exports went down 15.2 percent from a year earlier in the first 10 days of October, data showed Monday, mainly due to fewer working days stemming from the extended Chuseok holiday. Outbound shipments reached $13 billion in the Oct. 1-10 period, compared with $15.3 billion tallied a year earlier, according to the data from the Korea Customs Service. The decline was largely attributed to the long Chuseok holiday, which this year extended through last Thursday, reducing the number of

Oct. 13, 2025

S. Korea's foreign reserves up for 4th consecutive month in Sept.

South Korea's foreign reserves rose for the fourth consecutive month in September, primarily due to an increase in foreign currency deposits held by financial institutions, the central bank said Friday. The country's foreign reserves stood at $422.02 billion as of end-September, up $5.73 billion from a month earlier, according to the data from the Bank of Korea (BOK). This marks the fourth straight monthly increase since reserves hit a five-year low of $404.6 billion in May. The central bank att

Oct. 10, 2025

Rising home prices in Seoul prompt speculation of new curbs after holidays

Despite the government’s June 27 lending curbs that briefly cooled the housing market, property prices in Seoul are once again on a steep rise, heightening expectations for further policy action after the Chuseok holiday. Apartment prices in Seoul rose 0.27 percent in the fifth week of September, according to data from the state-run Korea Real Estate Board Wednesday. The pace of growth has accelerated for three straight weeks, increasing from 0.08 percent to 0.09 percent, 0.12 percent and 0.19 p

Oct. 8, 2025

Market cap of Seoul apartments jumps nearly 10% this year amid price surge

Soaring prices of apartments in Seoul have pushed the total market capitalization of the city's apartments up nearly 10 percent since the end of last year, data showed Friday. The market value of apartments in the capital city came to around 1,781 trillion won ($1.26 trillion) at the end of September, up 9.3 percent from 1,630 trillion won at the end of 2024, according to a survey by real estate firm Real Estate R114. The growth far outpaced the nationwide apartment market, which increased about

Oct. 3, 2025

BOK calls for close monitoring of inflation amid external uncertainty

Inflation is projected to remain stable at around 2 percent, but uncertainties remain high due to the United States' tariff policy and geopolitical risks, the central bank said Thursday. Bank of Korea Deputy Gov. Kim Woong made the assessment during a meeting to review inflation trends, after government data showed consumer prices rose 2.1 percent on-year in September, returning to the 2 percent range in a month. "The September figure was in line with earlier projections, as the temporary effect

Oct. 2, 2025

Kospi tops 3,500 for first time on chip-led rally, closes at record high

South Korea’s stock market closed at an all-time high Thursday, with semiconductor shares powering the benchmark Kospi above the 3,500-point threshold for the first time, just before the nation enters a rare weeklong holiday. The Kospi finished at 3,549.21, up 2.7 percent or 93.38 points from the previous session, according to the Korea Exchange. The index opened at 3,525.48 and maintained the momentum to stay above both its previous record close of 3,486.19 set on Sept. 23 and its former intrad

Oct. 2, 2025

S. Korea posts record August current account surplus

South Korea posted a record current account surplus for any August, despite weak exports, driven by declining imports and increased equity income, the central bank said Thursday. The country's current account surplus reached $9.15 billion in August, extending its surplus streak to the 28th consecutive month, according to data compiled by the Bank of Korea. South Korea has reported a current account surplus every month since May 2023. It also marked the highest figure on record for any August, th

Oct. 2, 2025

Consumer price increase returns to 2% range in Sept. on rising food prices

South Korea's consumer prices grew by more than 2 percent in September, returning to the 2 percent range after one month, data showed Thursday. Consumer prices, a key gauge of inflation, increased 2.1 percent from a year earlier last month, according to the data from the Ministry of Data and Statistics. Inflation had remained above the Bank of Korea's 2 percent target for four consecutive months through April before slowing to 1.9 percent in May. It then climbed again, staying above 2 percent in

Oct. 2, 2025