Vol. 32 | No.

12

Republic of Korea

Economic Bulletin
The Green Book : Current Economic Trends
Overview

3

1. Global economy

4

2. Private consumption

8

3. Facility investment

12

4. Construction investment

14

5. Exports and imports

16

6. Mining and manufacturing production

18

7. Service sector activity

20

8. Employment

22

9. Financial markets
9.1 Stock market
9.2 Exchange rate
9.3 Bond market
9.4 Money supply & money market

26

10. Balance of payments

30

11. Prices and international commodity prices
11.1 Prices
11.2 International oil and commodity prices

32

12. Real estate market
12.1 Housing market
12.2 Land market

36

13. Composite indices of business cycle indicators

40

Policy Issues
2011 Economic policies

42

Economic News Briefing

48

Statistical Appendices

53

The Green Book
Current Economic Trends
Overview
The Korean economy continued a recovery track, although some economic indicators posted
a decrease amid the economy returning to normal from the speedy pick-up after the crisis.
Mining and manufacturing production in October, while gaining 13.5 percent year-on-year,
lost 4.2 percent month-on-month affected by production adjustments made to
semiconductors and automobiles. Service output rose 0.5 percent month-on-month and 3.0
percent year-on-year backed by improving employment and income.
Consumer goods sales, despite sluggish durable goods sales, increased 0.2 percent monthon-month and 4.2 percent year-on-year in October as winter clothing sales jumped.
In October facilities investment fell 9.5 percent month-on-month due to a drop in
semiconductor and transportation equipment investments, while rising 10.2 percent yearon-year. Construction completed declined 10.4 percent month-on-month and 9.5 percent
year-on-year affected by negative construction sentiment.
Exports in November, led by brisk semiconductor and automobile exports, rose 24.6 percent
year-on-year, while imports jumped 31.2 percent affected by increasing raw material prices.
The total number of workers hired in October gained 316,000 year-on-year, with the private
sector mainly contributing to the increase. The employment rate (seasonally adjusted)
posted 59.4 percent, adding 0.1 percentage point year-on-year. The unemployment rate
(seasonally adjusted) rose 0.1 percentage point year-on-year, registering 3.3 percent, as
those from economically inactive population applied for census jobs but were not selected
were counted as unemployed persons.
The consumer price in November posted a greatly decelerated growth from 4.1 percent in the
previous month to 3.3 percent, thanks to falling agricultural product prices, while core
consumer prices stayed stable, increasing 1.8 percent year-on-year.
In November stock prices rose as the G20 Seoul Summit positively affected investment
sentiment. However, worries over the possible European fiscal crisis and Korea’s geopolitical
risks raised foreign exchange rates afterwards.
Housing prices began to rebound in the Seoul metropolitan area toward the end of
November, while rental prices continued to rise due to seasonal demands and wait-and-see
attitudes held by potential home buyers.
To sum up, although the global economy has made a steady recovery, downside risks still
exist as to uncertainties over a possible European fiscal crisis and the danger from North
Korea.
The Korean government will go on with macroeconomic policies which facilitate sustainable
growth, while renewing efforts to restructure the economy so that the economy can deal
with any external changes. On the other hand, the government will continue to support the
working class by stabilizing basic necessities prices, boosting domestic demand and
creating jobs, as well as enhancing support for vulnerable groups.
Economic Bulletin

3

1. Global economy
The global economy showed steady recovery as major economies continued an upward
track, and China and other emerging countries posted a fast recovery. However, downside
risks exist as the possibility of a European fiscal crisis led by Ireland resurfaced and worries
over capital market volatility in emerging economies grew. The OECD maintained its
economic growth outlook for 2010 at 4.6 percent, but revised down the 2011 prediction from
4.5 percent made in May to 4.2 percent on November 18.

US

Although US real GDP in the third quarter revised up to 2.5 percent (preliminary, annualized
q-o-q) from the advanced estimate, the housing and job markets still struggle.
Industrial production in October stayed flat month-on-month, while retail sales accelerated
growth, up 1.2 percent.
In October, both new and existing home sales shifted to a decrease month-on-month by 8.1
percent and 2.2 percent, respectively.
Employment in October remained sluggish with slowing down new non-farm payroll
employment and the rising unemployment rate which landed at 9.8 percent.
The Federal Reserve at the FOMC meeting in November decided to purchase US$600 billion
long-term treasury securities by the end of the 2nd quarter of 2011, and Fed Chairman Ben
Bernanke mentioned a possible increase in the securities purchase on December 5. The Fed’s
Beige Book reported that 10 out of 12 Federal Reserve Districts showed economic improvement.
(Percentage change from previous period)
2009

20101
Oct

Nov

2.5

-

-

2.8

-

-

17.2

10.3

-

-

-12.3

25.7

-27.5

-

-

1.7

1.8

1.7

1.3

0.0

-

1.7

2.1

1.1

0.7

1.2

-

10.5

13.1

-13.69

8.4

-25.3

-2.2

-

-477

-261

-90

87

190

-30

172

39

0.5

0.9

0.6

0.4

-0.2

0.4

0.2

-

Q2

Q3

3.7

1.7

1.9

2.2

-1.4

7.8

10.6

-0.8

-2.7

2.0

0.0

1.9

-2.2

3.7

-395

-753

-0.3

-0.6

Annual

Q1

Q2

Q3

Q4

-2.6

-4.9

-0.7

1.6

5.0

-1.2

-0.5

-1.6

2.0

0.9

- Corporate fixed investment

-17.1

-35.1

-7.4

-1.7

- Construction investment for housing

-22.9

-36.2

-19.7

Industrial production

-9.3

-4.7

Retail sales

-6.3

-1.7

5.4

New non-farm payroll employment
(thousand)3
Consumer prices

Real GDP

2

- Personal consumption expenditure

Existing home sales

1. Preliminary
2. Annualized rate (%)
3. Monthly average
Source: US Department of Commerce

4

December 2010

Q1

1-1

US GDP (q-o-q, annualized rate)
Source: US Department of Commerce

1-2

US non-farm payroll employment (m-o-m change)
Source: US Department of Labor

1-3

US federal funds rate and consumer prices
Source: US Federal Reserve Board & Department of Labor

Economic Bulletin

5

China

China’s economy, while domestic demand steadily improving, slightly slowed down due to
decelerating exports affected by difficult external situations and tightening measures. The
Chinese government raised the banks’ reserve requirement ratio twice on November 10 and 19
by 100 basis points to curb inflation as consumer prices had surpassed the 3.0 percent target
for four straight months and liquidity expanded at a faster pace.
Housing price (%, y-o-y)
12.4 (May 2010)

11.4 (Jun)

10.3 (Jul)

9.3 (Aug)

17.6 (Jul)

19.2 (Aug)

9.1 (Sep)

8.6 (Oct)

M2 growth (%, y-o-y)
21.0 (May 2010)

18.5 (Jun)

19.0 (Sep)

19.3 (Oct)

(Percentage change from same period in previous year)
2009
Real GDP

20101

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

9.1

6.2

7.9

9.1

10.7

11.9

10.3

Sep

Oct

9.6

-

-

Industrial production

11.0

5.1

9.1

12.4

18.0

19.6

17.6

13.5

13.3

13.1

Fixed asset investment (accumulated)

30.5

28.6

33.6

33.3

30.5

26.4

25.5

24.5

24.5

24.4

Retail sales

15.5

14.9

15.0

15.4

16.9

17.9

18.5

18.4

18.8

18.6

-16.0

-19.7

-23.4

-20.3

0.2

28.7

40.9

32.5

25.1

22.9

Consumer prices

-0.7

-0.6

-1.5

-1.3

0.7

2.2

2.9

3.5

3.6

4.4

Producer prices

-5.4

-4.6

-7.2

-7.7

-2.1

5.2

6.8

4.5

4.3

5.0

Exports

1. Preliminary
Source: China National Bureau of Statistics

Japan

Japan’s economy grew 0.9 percent (advanced, quarter-on-quarter) in the third quarter of
2010, backed by government’s subsidies for eco-friendly car purchase. Although consumer
prices rose for the first time in 22 months, industrial production decreased at a faster pace
and retail sales dropped in 10 months, showing continuing deflation. Japan’s Cabinet Office
revised down its assessment of the current economic situation for 9 local economies out of
11 on December 1.
(Percentage change from previous period)
2009

Real GDP
Industrial and mining production
Retail sales (y-o-y, %)
Exports (y-o-y, %)
Consumer prices (y-o-y, %)

20101

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Sep

Oct

-5.2

-4.4

2.3

-0.1

0.9

1.2

0.4

0.9

-

-

-21.8

-20.1

6.6

5.3

5.9

7.0

1.5

-1.8

-1.6

-1.8

-2.2

-3.9

-0.9

-3.4

-0.7

3.8

3.7

3.2

1.4

-0.2

-33.1

-46.9

-38.6

-35.5

-8.7

44.8

35.2

19.0

15.9

-

-1.4

-0.1

-1.0

-2.2

-2.0

-1.2

-0.9

-0.8

-0.6

0.2

1. Preliminary
Source: Japan’s Statistics Bureau and Statistics Centre

Eurozone

The eurozone economy slowed down and grew 0.4 percent (advanced, quarter-on-quarter)
in the third quarter of 2010, while worries over a possible European fiscal crisis resurfaced.
Despite the agreement on the massive bailout for Ireland, there were continuing concerns
that the Ireland’s fiscal woes might spread to Spain and Portugal. The EU and the IMF agreed
on the US$85 billion bailout plan for Ireland on November 28.
(Percentage change from previous period)
2009

Real GDP
Industrial production
Retail sales
Exports (y-o-y, %)
Consumer prices (y-o-y, %)
1. Preliminary
Source: Eurostat

6

December 2010

20101

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Sep

Oct

-4.0

-2.5

-0.1

0.4

0.2

0.4

1.0

0.4

-

-

-14.8

-9.2

-1.7

2.7

1.3

2.3

2.3

0.9

-0.7

-

-2.3

-1.0

-0.1

-0.2

0.1

0.5

0.1

0.5

-0.1

0.5

-18.2

-21.1

-22.7

-18.7

-9.3

12.9

22.3

22.6

22.2

-

0.3

1.0

0.2

-0.4

0.4

1.1

1.5

1.7

1.8

1.9

1-4

China’s GDP and fixed asset investment
Source: National Bureau of Statistics of China

1-5

Japan’s GDP growth
Source: Cabinet Office & Ministry of Economy, Trade and Industry, Japan

1-6

Eurozone GDP growth and industrial production
Source: Eurostat

Economic Bulletin

7

2. Private consumption
Private consumption (preliminary GDP) increased 1.3 percent quarter-on-quarter and 3.3
percent year-on-year in the third quarter of 2010.
(Percentage change from same period in previous year)
2008

Private consumption2
(Seasonally adjusted)3
1. Preliminary
2. National accounts
Source: The Bank of Korea

2009

2010 1

Annual

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

1.3

0.2

-4.4

-1.0

0.7

5.8

6.3

3.7

3.3

-

-

0.3

3.3

1.7

0.4

0.7

0.8

1.3

3. Percentage change from previous period

Consumer goods sales in October shifted to a month-on-month increase for the first time in
three months, recording a highest rise since January 2009, as semi-durable goods sales jumped.
On a month-on-month basis, consumer goods sales went up 0.2 percent backed by strong
semi-durable goods sales such as clothing sales (up 5.7 percent), although durable goods
sales such as automobiles sales (down 2.2 percent) and non-durable goods sales such as
grocery sales (down 0.7 percent) fell.
On a year-on-year basis, the index, despite a fall in durable goods sales, increased 4.2
percent thanks to improving sales of durable goods such as computer and communications
equipment and semi-durable goods such as clothing and hobby related products.
(Percentage change from same period in previous year)
2009

Consumer goods sales
(Seasonally adjusted)

2

- Durable goods3
・Automobiles
- Semi-durable goods
- Non-durable goods

5

4

2010 1

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Sep

Oct

2.6

-4.7

1.5

2.8

10.8

9.9

4.9

7.4

4.4

4.2

-

1.0

5.1

0.3

4.1

0.5

0.0

2.8

0.0

0.2

8.1

-11.9

5.7

7.9

33.9

29.5

5.4

16.7

7.5

14.2

21.8

-20.6

20.1

24.1

76.9

48.6

-2.1

12.0

-6.0

6.1

0.3

-1.5

-0.6

-0.7

3.4

2.7

6.9

7.2

7.2

12.6

1.2

-1.4

0.5

1.9

4.1

3.3

3.5

2.9

2.1

-4.7

1. Preliminary
2. Percentage change from previous period
3. Durable goods: Automobiles, electronic appliances, furniture, telecommunications devices, etc.
4. Semi-durable goods: Clothing, footwear, etc.
5. Non-durable goods: Food, medicine, cosmetics, fuel, tobaccos, etc.
Source: Statistics Korea

Sales at large discounters declined for the first time since January 2010, while those at
department stores and specialized retailers accelerated an increase.
(Percentage change from same period in previous year)
2010 1

2009

- Department stores
- Large discounters
- Specialized retailers

2

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Sep

Oct

3.3

-0.8

0.4

4.2

9.1

9.0

10.4

8.0

6.1

12.1

-2.0

-4.4

-2.9

-3.4

3.2

5.9

3.7

7.3

10.7

-0.9

2.9

-6.6

2.6

3.5

12.6

9.7

1.7

7.1

3.3

3.6

1. Preliminary
2. Specialized retailers are defined as stores carrying a few (1 to 3) specialized items.
Source: Statistics Korea

8

December 2010

2-1

Private consumption
Source: The Bank of Korea (national accounts)

2-2

Consumer goods sales
Source: Statistics Korea (industrial activity trend)

2-3

Consumer goods sales by type
Source: Statistics Korea (industrial activity trend)

Economic Bulletin

9

Consumer goods sales is projected to continue an upward trend as consumer sentiment is
expected to improve in line with increasing employment and household income, and
considering positive advanced estimates. Nominal income rose at a faster rate while
employment continued to recover.
Nominal income (y-o-y, %)
-1.2 (Q1 2009)

1.9 (Q4)

6.0 (Q1, 2010)

6.2 (Q2)

7.8 (Q3)

Employment (y-o-y, thousand)
314 (Jun 2010)

473 (Jul)

386 (Aug)

249 (Sep)

316 (Oct)

Consumer sentiment went up, which shows growing confidence in improving economy and
increasing consumption.
Consumer Sentiment Index (CSI, base=100)
112 (Jun 2010)

112 (Jul)

110 (Aug)

109 (Sep)

108 (Oct)

110 (Nov)

Both domestic credit card spending and department store sales continued a steady increase
year-on-year, with the former rising 16.0 percent and the latter 8.1 percent.
Sales at large discounters and gasoline sales, which showed little change in the previous
month, turned to an increase year-on-year, up 1.9 percent and 12.5 percent, respectively.
Consumer goods imports rose at a faster pace year-on-year by 31.8 percent, led by nondurable consumer goods which soared 46.1 percent.
Value of credit card use (y-o-y, %)
15.3 (Jun 2010)

17.1 (Jul)

17.2 (Aug)

10.6 (Sep)

19.5 (Oct)

16.0 (Nov)

Department store sales (y-o-y, %)
11.3 (Jun 2010)

0.1 (Jul)

8.5 (Aug)

6.4 (Sep)

3.3 (Oct)

8.1 (Nov)

18.0 (Sep)

0.0 (Oct)

1.9 (Nov)

10.5 (Sep)

-0.7 (Oct)

Large discounter sales (y-o-y, %)
6.0 (Jun 2010)

8.2 (Jul)

3.9 (Aug)

Domestic sales of gasoline (y-o-y, %)
4.6 (Jun 2010)

5.3 (Jul)

8.6 (Aug)

12.5 (Nov)

Consumer goods imports (y-o-y, %)
10.6 (Jun 2010)

28.3 (Jul)

31.7 (Aug)

9.4 (Sep)

24.6 (Oct)

31.8 (Nov)

Source: Ministry of Knowledge Economy
The Credit Finance Association
Korea Automobile Manufacturers Association
Korea National Oil Corporation
The Korea Customs Service
Ministry of Strategy and Finance (for November data)

There is a possibility that consumer spending will grow at a limited pace given possible price
increases in raw materials including oil and agricultural products.
Dubai crude (US$/barrel)
76.8 (May 2010)

74.1 (Jun)

72.6 (Jul)

74.2 (Aug)

75.2 (Sep)

80.3 (Oct)

83.6 (Nov)

CRB index
259.3 (May 2010)

10

December 2010

258.0 (Jun)

262.1 (Jul)

269.82 (Aug)

278.0 (Sep)

295.5 (Oct)

305.2 (Nov)

2-4

Department store and discount store sales (current value)
Source: Ministry of Knowledge Economy (monthly retail sales)

2-5

Domestic automobile sales
Source: Korea Automobile Manufacturers Association (monthly automobile industry trend)

2-6

Consumer sentiment index
Source: The Bank of Korea

Economic Bulletin

11

3. Facility investment
Facility investment (preliminary GDP) in the third quarter of 2010 posted a quarter-on-quarter
increase of 5.5 percent and a year-on-year gain of 24.3 percent.
(Percentage change from same period in previous year)
2008

Facility investment

2

(Seasonally adjusted)

3

- Machinery
- Transportation equipment
1. Preliminary
2. National accounts
Source: The Bank of Korea

2009

20101

Annual

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

-1.0

-9.1

-23.1

-17.3

-7.0

13.3

29.9

30.2

24.3

-

-

-10.5

9.0

10.8

5.3

2.4

9.1

5.5

-1.8

-13.0

-23.2

-21.5

-14.8

10.0

32.5

38.7

36.6

1.8

4.7

-22.6

-2.9

22.9

24.2

19.4

4.8

-11.2

3. Percentage change from previous period

Facility investment in October rose 10.2 percent year-on-year but fell 9.5 percent month-onmonth, as machinery investment, in particular that in semiconductor equipment, slowed
down, and transportation equipment investment, in particular that in other transportation
equipment, declined.
(Percentage change from same period in previous year)
2008

Facility investment
(Seasonally adjusted)

2009

2010 1

Annual

Annual

Q4

Q1

Q2

Q3

Aug

Sep

Oct

0.8

-8.2

10.0

25.5

24.5

27.7

40.4

11.9

10.2

-

-

12.1

1.4

6.0

7.1

6.4

-3.5

-9.5

- Machinery

0.6

-12.8

8.7

29.3

32.2

37.0

51.8

19.5

13.9

- Transportation equipment

1.1

11.7

15.0

11.9

0.0

-0.8

0.8

-10.5

-2.7

-13.8

-11.8

20.0

10.5

24.2

-0.7

26.6

4.5

12.1

2

Domestic machinery orders
(Seasonally adjusted)

-

-

-9.9

-1.4

16.7

-0.8

-7.8

5.9

-15.4

5.0

61.7

-27.2

-43.7

-41.2

-72.2

42.5

-16.2

18.5

-15.5

-19.9

35.2

22.9

34.9

21.9

25.8

7.1

11.7

- Machinery imports

6.4

-16.6

7.2

48.1

51.4

40.0

59.6

24.8

33.0

Facility investment
adjustment pressure3

-1.7

-4.0

12.8

21.7

14.4

5.7

10.4

-2.5

7.2

- Public
- Private

2

1. Preliminary
2. Percentage change from previous period
3. Production growth rate minus production capacity growth rate in the manufacturing sector (%p)
Sources: Statistics Korea, the Korea International Trade Association (machinery imports data)

Although facility investment decelerated an increase due to a high base effect, the positive
trend is projected to continue given that machinery imports and other leading indicators
show upward movements.
2010

Business survey indices (base=100) for
manufacturing facility investment projections
Source: The Bank of Korea

12

December 2010

Jun

Jul

Aug

Sep

Oct

Nov

107

106

106

106

105

102

3-1

Facility investment by type
Source: The Bank of Korea (national accounts)

3-2

Machinery orders and estimated facility investment (3-month average)
Source: Statistics Korea (industrial activity trend)

3-3

Machinery imports
Source: Korea International Trade Association (KITA)

Economic Bulletin

13

4. Construction investment
Construction investment (preliminary GDP) in the third quarter of 2010 rose 1.3 percent
quarter-on-quarter, while decreasing 2.3 percent year-on-year.
(Percentage change from same period in previous year)
2008

2009

Annual

Annual

Q1

Q2

-2.8

4.4

2.8

5.1

-

-

5.9

1.8

- Building construction

-4.6

-1.8

-9.6

-2.4

- Civil engineering works

-0.2

13.3

26.1

15.7

Construction investment

2

(Seasonally adjusted)3

20101
Q3

Q4

Q1

Q2

Q3

4.4

5.0

2.3

-2.9

-2.3

-0.7

-0.1

1.3

-3.6

1.3

1.2

2.5

1.7

-6.3

-9.7

9.7

7.5

3.1

1.1

8.5

1. Preliminary
2. National accounts
3. Percentage change from previous period
Source: The Bank of Korea

Construction completed (constant value) in October fell 10.4 percent month-on-month and
9.5 percent year-on-year, as both building construction and civil engineering works
decreased, due to weak construction sentiment and slow SOC budget spending.
(Percentage change from same period in previous year)
2008

Construction completed(constant value)
(Seasonally adjusted)

2

- Building construction
- Civil engineering works
Construction orders (current value)
(Seasonally adjusted)

2

- Building construction
- Civil engineering works
Building permit area

2010 1

2009

Annual

Annual

Q4

-8.1

1.7

5.0

-

-

-10.3
2.2

Aug

Sep

Oct

-3.8

3.6

-14.8

-9.5

-2.2

-2.8

-5.5

-3.5

-10.4

-0.1

-8.5

-11.9

-5.9

-21.3

-14.1

4.8

2.8

9.3

19.1

-4.7

-2.6

11.6

-6.9

-6.6

-5.0

-13.9

-18.4

-59.6

-

19.8

-22.5

11.5

-0.2

-40.9

27.7

-56.7

-15.4

-16.0

17.0

-0.4

60.1

-2.5

-24.9

11.1

-38.9

13.5

41.9

3.7

-14.2

-51.5

-8.7

23.2

-46.3

-80.3

-20.1

-12.9

13.1

36.5

47.4

-14.3

-4.6

-33.0

15.9

Q2

Q3

2.0

-3.9

-1.3

5.4

-6.5

0.7

-5.7

11.4

-7.6

3.0

-

Q1

1. Preliminary
2. Percentage change from previous period
Source: Statistics Korea, the Ministry of Land, Transport and Maritime Affairs

Construction completed and the leading indicator of construction orders stayed in negative
territory, leading to weak construction sentiment. However there have been some signs of
recovery in construction and housing markets recently, which requires a close watch on how
they develop.

2010

Business survey indices (base=100)
for construction projections
Source: The Construction and Economy Research Institute of Korea

14

December 2010

Sep

Oct

Nov

Dec

71.5

67.8

75.6

81.3

4-1

Construction investment
Source: The Bank of Korea (national accounts)

4-2

Construction completed and housing construction
Source: Statistics Korea (construction completed)
Kookmin Bank (housing construction)

4-3

Leading indicators of construction investment
Source: Statistics Korea (construction orders)
Ministry of Land, Transport and Maritime Affairs (building construction permit area)

Economic Bulletin

15

5. Exports and imports
Exports in November increased 24.6 percent (preliminary) year-on-year to US$42.36 billion.
Although the November exports, due to a drop in vessel exports, slowed down from the
previous month when exports hit an all-time high, the index continued an upward trajectory.
By export category, major items such as semiconductors, automobiles and petroleum
products maintained a high growth rate, while wireless communications device which had
been stagnant increased for the second consecutive month.
Major export increase (preliminary, %)
Semiconductors (36.3), steel (33.0), petroleum products (30.4), automobiles (21.8), wireless communications
device (5.9), vessels (-3.8)

By regional category, exports to China and other emerging countries, and to the US, Japan
and other developed countries both soared, whereas exports to EU fell as worries over the
European fiscal crisis resurfaced.
(US$ billion)
2008

2009

2010

Annual

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Oct

Nov1

422.01

363.53

74.42

90.36

94.78

103.97

101.36

120.31

117.27

43.36

42.36

(y-o-y, %)

13.6

-13.9

-25.2

-21.1

-17.6

11.7

36.2

33.1

23.7

27.6

24.6

Average daily exports

1.53

1.30

1.10

1.30

1.32

1.49

1.51

1.76

1.69

1.84

1.77

Exports

435.27

323.09

71.42

73.97

84.85

92.85

98.08

105.86

105.66

36.88

38.75

(y-o-y, %)

22.0

-25.8

-32.7

-35.6

-31.0

1.4

37.3

43.1

23.5

21.3

31.2

Average daily imports

1.58

1.16

1.06

1.06

1.18

1.33

1.46

1.55

1.52

1.57

1.61

Imports

1. Preliminary
Source: Korea Customs Service

Imports in November jumped 31.2 percent (preliminary) year-on-year to US$38.75 billion, as
imports of raw materials and, capital and consumer goods all increased, the former affected
by increases in prices and seasonal demand, and the latter recovering domestic demand.
Raw materials (y-o-y, %)
39.0 (Q1 2010)

53.6 (Q2)

30.7 (Q3)

18.2 (Oct)

33.7 (Nov1)

38.1 (Q3)

26.2 (Oct)

26.6 (Nov1)

25.6 (Q3)

24.6 (Oct)

31.8 (Nov1)

Capital goods (y-o-y, %)
36.8 (Q1 2010)

31.5 (Q2)

Consumer goods (y-o-y, %)
28.2 (Q1 2010)

25.9 (Q2)

1. Preliminary

The current account surplus in November (preliminary) was US$3.61, staying in the black for
ten consecutive months, while the surplus decreased from the previous month as imports
rose considerably.
(US$ billion)
2008

Trade Balance
1. Preliminary
Source: Korea Customs Service

16

December 2010

2009

2010

Annual

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Oct

Nov1

-13.27

40.45

3.00

16.39

9.94

11.12

3.27

14.44

11.61

6.48

3.61

5-1

Exports (customs clearance basis)
Source: Korea Customs Service & Ministry of Knowledge Economy (export and import trend)

5-2

Imports (customs clearance basis)
Source: Korea Customs Service & Ministry of Knowledge Economy (export and import trend)

5-3

Trade balance
Source: Korea Customs Service & Ministry of Knowledge Economy (export and import trend)

Economic Bulletin

17

6. Mining and manufacturing production
Mining and manufacturing production in October, while improving 13.5 percent year-onyear, fell 4.2% month-on-month due to production adjustment in semiconductors and
automobiles.
By business category, chemical products (up 4.2%) and basic metal (up 3.8%) rose monthon-month, while semiconductors and parts (down 8.7%) and automobiles (down 12.4%)
went down.
Shipments and inventories fell month-on-month by 3.4 percent and 1.2 percent, respectively,
while staying on an upward track year-on-year.
By business category, the shipments of semiconductors and parts (up 16.8%), and
machineries (up 38.3%) rose year-on-year, while those of clothing and fur (down 18.0%) and
other transportation equipment (down 0.7%) declined. The inventories of semiconductors
and parts (up 59.7%) and automobiles (up 38.4%) increased year-on-year while those of
clothing and fur (down 18.0%) and leather and shoes (down 12.2%) fell.
The average operation ratio of the manufacturing sector lost 2.0 percentage points to 79.5
percent from the previous month, while the ratio excluding semiconductors and automobiles
posted a slight increase.
(Percentage change from same period in previous year)
2009
Annual
Production (q-o-q, m-o-m)

Mining and
manufacturing
activity2

Sep

20101
Q4

Q2

Q1

Q3

Aug

Sep

Oct

-

4.2

1.3

5.1

5.0

5.0

-1.3

-0.4

-4.2

(y-o-y)

-0.8

11.1

16.2

25.8

19.5

19.5

16.9

3.9

13.5

- Manufacturing

-0.9

11.5

16.8

26.8

20.2

20.2

17.2

4.0

13.6

7.8

14.9

46.3

46.1

27.0

27.0

22.0

16.1

13.5

∙ICT

3

∙Automobiles

-6.8

32.5

14.7

51.0

35.7

35.7

24.4

2.7

21.0

Shipment

-1.7

8.8

12.8

21.8

17.2

17.2

16.5

3.7

13.5

- Domestic demand

-1.8

12.6

12.3

21.2

15.4

15.4

13.6

-0.9

10.9

- Exports

-1.7

4.0

13.3

22.5

19.7

19.7

20.2

9.8

16.8

Inventory

4

Manufacturing Average operation ratio (%)
activity
Production capacity

-8.0

-14.2

-8.0

6.6

15.6

15.6

18.9

18.1

18.7

74.6

79.9

78.4

80.5

83.0

83.0

81.6

81.5

79.5

3.1

3.6

4.0

5.1

5.8

5.8

6.9

6.5

6.4

1. Preliminary
2. Including mining, manufacturing, electricity and gas industry
3. Information and Communications Technology
4. End-period
Source: Statistics Korea

Mining and manufacturing production in October decreased in line with semiconductor and
automobile production which had surged just after the crisis returning to normal. Given
rising exports and improving production in major industries, mining and manufacturing
production is expected to increase.
Exports (y-o-y, %)
30.6 (Jun 2010)

27.5 (Jul)

28.3 (Aug)

16.2 (Sep)

27.6 (Oct)

24.6 (Nov1)

Automobile production (thousand, m-o-m, %)
391 (Jun 2010)
1. Preliminary

18

December 2010

378 (Jul)

282 (Aug)

339 (Sep)

387 (Oct)

389 (Nov1)

6-1

Industrial production
Source: Statistics Korea (industrial activity trend)

6-2

Average manufacturing operation ratio
Source: Statistics Korea (industrial activity trend)

6-3

Inventory
Source: Statistics Korea (industrial activity trend)

Economic Bulletin

19

7. Service sector activity
Service activity in October increased 0.5 percent month-on-month as various international
events such as Pusan International Film Festival (PIFF) and Formula 1 Korean Grand Prix
contributed to the accelerated growth of entertainment, cultural & sports services. In
addition, professional, scientific & technical services and educational services shifted to an
increase.
On a year-on-year basis, real estate & renting, professional, scientific & technical services,
and educational services showed sluggishness while cultural services, transportation services
and business facilities management services turned for the better, increasing 3.0 percent.
(Percentage change from same period in previous year)
Weight

2009
Annual

Q1

2010 1

Q2

Q3

Q4

Q1

Q2

Q3

Sep

Oct

Service activity index

100

2.0

-0.3

2.4

1.9

3.7

5.7

4.0

2.3

-0.9

3.0

- Wholesale & retail

21.8

-0.4

-4.8

-2.2

0.3

5.4

7.4

5.5

4.9

1.9

3.5

- Transportation services

9.0

-6.6

-12.7

-10.0

-4.8

1.4

13.9

13.8

9.7

4.4

10.7

- Hotels & restaurants

7.7

-1.5

-2.6

-0.6

-2.5

-0.2

1.5

0.9

1.8

-0.8

4.6

- Information & communication services

8.4

0.7

-1.4

1.6

1.4

1.8

1.2

0.4

1.7

-0.3

2.3

15.3

8.0

6.9

10.3

9.0

5.7

6.5

2.4

1.9

-0.9

6.8

- Real estate & renting

6.3

5.3

-4.2

-2.2

6.7

21.3

10.4

-2.7

-16.2

-18.1

-23.1

- Professional, scientific & technical services

4.8

1.0

-1.7

3.8

0.0

2.0

3.1

2.1

-5.2

-12.1

-5.6

- Business services

2.9

-3.0

-4.9

-6.2

-0.8

0.0

5.4

7.9

7.0

8.6

7.3

10.8

2.8

9.4

16.5

-3.7

-9.6

-0.8

1.0

0.0

-6.1

-0.2

- Healthcare & social welfare services

6.0

10.4

8.9

8.9

10.4

13.2

11.5

11.1

8.5

7.3

6.0

- Entertainment, cultural & sports services

2.9

-0.5

1.4

0.7

0.0

-3.8

-3.5

-0.2

-0.2

-1.3

12.8

- Membership organizations

3.8

-2.4

-3.8

-4.8

-1.4

2.4

1.3

6.0

5.0

3.6

5.6

- Sewerage & waste management

0.4

3.7

0.1

9.0

6.0

-0.2

7.2

5.3

0.2

-4.1

7.2

- Financial & insurance services

- Educational services

1. Preliminary
Source: Statistics Korea

Service activity in November is expected to increase from the previous month as domestic
consumption improves following a recovery in employment and income conditions.
Meanwhile, service activity is expected to be weighed down by sluggish rental market and
worries over geopolitical risks.

20

December 2010

es

usin ty m
ess ana
sup gem
port ent
serv &
ices
Edu
cati
ona
l se
rvic
es
Hea
lthc
are
&s
ocia
l we
Ente
serv lfare
rtai
ices
nme
nt, c
ultu
ral &
sp
Me
serv orts
& o mbersh
ices
ther ip o
pers rgan
ona izat
l se ions
rvic , re
es
pair
Sew
mat erage
eria
,
w
ls re aste
cove ma
ry & nage
rem men
edi t,
acti ation
vitie
s

Prof

& re
ntin
g
ess
iona
l
,
tech scie
nica ntif
Bus
l se ic &
ines
rvic
s fa
es
cili
b

rvic

s

ns

rant

ion

atio

e se

tate

ranc

l es

insu

stau

unic

& re

omm

els

ex

tail

rtat

& re

spo

ale

Tran

oles

&c

Rea

l&

tion

ncia

rma

Fina

Info

Hot

Wh

7-3

l ind

7-2

Tota

7-1
Service industry

Source: Statistics Korea (service industry activity trend)

Wholesale and retail sales

Source: Statistics Korea (service industry activity trend)

October 2010 service industry by business

Source: Statistics Korea (service industry activity trend)

Economic Bulletin

21

8. Employment
The number of workers on payroll in October increased by 316,000 from a year earlier, while
the employment rate (seasonally adjusted) rose by 0.1 percentage point year-on-year to
59.4 percent.
By industry, employment in manufacturing (up 241,000), construction (up 94,000) and
services (up 54,000) climbed while that in agriculture, forestry & fishery (down 55,000)
declined. Hiring in manufacturing maintained a high growth rate, rising more than 0.2 million
for the fourth consecutive month.
Despite decreasing employment in public administration (down 207,000), the service sector
continued to increase, helped by a rise in health & welfare (up 158,000) and business
assistance (up 92,000).
By status of workers, despite a decrease in daily workers (down 84,000) and temporary
workers (down 81,000), wage workers (up 488,000) continued to expand growth as the
number of regular workers (up 652,000) increased. Non-wage workers (down 172,000)
including self-employed workers (down 146,000) continued to decline.

2008

2009

Annual Annual
Number of employed (million)

Oct

Q1

2010
Q2

Q3

Q4

Q1

Q2

Q3

Sep

Oct

23.58 23.51 23.82 22.90 23.74 23.75 23.63 23.04 24.17 24.12 24.05 24.17

Employment rate (%)

59.5

58.6

59.3

57.4

59.3

59.1

58.7

57.0

59.6

59.3

59.1

59.4

(seasonally adjusted)

59.5

58.6

58.6

58.8

58.6

58.7

58.5

58.3

58.9

58.9

58.6

58.6

Employment growth (y-o-y, thousand)

145

-72

10

-146

-134

-1

-6

132

433

369

249

316

(Excluding agriculture, forestry & fishery)

182

-34

39

-160

-109

24

110

296

51.8

414

307

371

- Manufacturing

-52

-126

-87

-163

-151

-143

-49

61

172

262

252

241

- Construction

-37

-91

-147

-43

-113

-103

-107

-61

44

92

49

94

- Services

260

179

262

38

154

261

261

313

325

83

31

54

- Agriculture, forestry & fishery

-37

-38

-29

14

-25

-25

-116

-164

-85

-45

-58

-55

- Wage workers

236

247

376

73

175

356

385

371

623

541

416

488

∙Regular workers

386

383

490

318

313

386

515

651

766

671

611

652

∙Temporary workers

-93

22

136

-136

-5

125

105

-37

42

-26

-45

-81

∙Daily workers

-57

-158

-250

-108

-133

-155

-235

-243

-185

-104

-151

-84

-92

-319

-367

-220

-309

-357

-391

-239

-189

-172

-167

-172

-79

-259

-266

-197

-286

-276

-279

-106

-91

-130

-131

-146

- Male

96

31

59

-23

24

34

89

117

188

207

161

228

- Female

48

-103

-50

-124

-158

-34

-94

15

245

163

88

87

- 15 to 29

-119

-127

-139

-212

-99

-123

-77

-12

-58

-44

-58

-42

- 30 to 39

-26

-173

-175

-159

-213

-169

-149

-42

-13

21

-7

19

- 40 to 49

64

-24

-18

8

-27

-30

-46

-21

48

40

26

25

- 50 to 59

207

198

220

193

156

211

230

251

342

295

262

290

18

54

122

23

49

109

37

-44

114

57

26

23

- Non-wage workers
∙Self-employed workers

- 60 or more
Source: Statistics Korea

22

December 2010

8-1

Number of employed and employment growth
Source: Statistics Korea (employment trend)

8-2

Share of employed by industry
Source: Statistics Korea (employment trend)

8-3

Share of employed by status of workers
Source: Statistics Korea (employment trend)

Economic Bulletin

23

The number of unemployed persons in October increased by 33,000 year-on-year to record
832,000 as people who applied for census jobs but were not selected were counted as
unemployed persons. The unemployment rate (seasonally adjusted) rose 0.1 percentage
point to record 3.3 percent.
By gender, male unemployment (down 5,000) decelerated the decrease while female
unemployment (up 38,000) continued to increase.
By age, unemployment increased in all age brackets except youths aged 15 to 29 (down
23,000). The youth unemployment dropped 0.5 percentage points, recording 7.0 percent.

2008

2009

2010

Annual

Q4

Annual Oct

Q1

Q2

Q3

Q4

Q2

Q3

Aug

Sep

Oct

Number of unemployed (thousand)

769

757

889

799

908

943

886

817 1,130 868

873

831

857

832

Unemployment growth (y-o-y, thousand)

-14

24

119

63

107

176

134

-13

-74

32

33

- Male

-12

25

80

41

83

116

95

25

83 -47

-48

-83

-40

-5

-1

-1

40

23

24

60

39

36

139 -29

-35

9

72

38

Unemployment rate (%)

3.2

3.1

3.6

3.2

3.8

3.8

3.6

3.3

4.7

3.5

3.5

3.3

3.4

3.3

(Seasonally adjusted)

3.2

3.2

3.6

3.5

3.5

3.9

3.7

3.5

4.3

3.4

3.6

3.4

3.7

3.6

- 15 to 29

7.2

7.0

8.1

7.5

8.6

8.0

8.1

7.6

9.5

7.7

7.6

7.0

7.2

7.0

- 30 to 39

3.1

3.3

3.6

3.3

3.7

3.9

3.5

3.3

3.9

3.6

3.5

3.6

3.5

3.4

- 40 to 49

2.1

2.0

2.4

2.2

2.5

2.6

2.4

2.3

2.9

2.3

2.5

2.3

2.7

2.4

- 50 to 59

2.0

2.1

2.5

2.1

2.4

2.7

2.5

2.2

3.2

2.1

2.3

2.1

2.3

2.3

- 60 or more

1.2

1.1

1.6

1.3

1.6

1.9

1.6

1.5

5.8

2.1

2.0

1.8

1.9

1.8

- Female

60

Q1

222

-75

Source: Statistics Korea

The economically inactive population in October was up 130,000 from a year earlier to post
15,710,000. Meanwhile, the labor force participation rate (seasonally adjusted) was up 0.1
percentage point year-on-year to 61.4 percent.
The number of workers quitting jobs due to housework (up 234,000), and education (up
37,000) increased, while those who quit jobs due to childcare (down 125,000) and rest,
time-off and leisure (down 25,000) decreased.

2008

2009

Annual Q4

Annual Oct

Q1

2010

Q2

Q3

Q4

Q1

Q2

Q3

Aug Sep Oct

Economically inactive population (million) 15.25 15.37 15.70 15.58 16.09 15.35 15.53 15.83 16.25 15.49115.66 15.82 15.77 15.71
Labor force participation rate (%)

61.5 61.3 60.6 61.3 59.7 61.7 61.3 60.7 59.8 61.8 61.5 61.1 61.2 61.4

(seasonally adjusted)

61.5 61.2 60.6 60.7 60.9 60.9 61.0 60.6 61.0 61.0 61.1 61.1 60.9 60.8

Growth in economically inactive
population (y-o-y, thousand)

297

372

447

437

514

445

374

- Childcare

63

53

40

56

78

48

19

- Housework

61

59

148

113

131

125

100

235

237

175

303

204

229

234

- Education

113

109

31

-4

90

58

11

-36

-74

23

46

83

54

37

- Old age

76

59

88

92

52

102

105

92

193

59

43

39

28

1

- Rest

31

99

123

136

162

112

94

123 -187

-27

15

18

68

-25

Source: Statistics Korea

24

December 2010

456

166

146

128

172

199

130

15 -118 -126 -149 -148 -160 -125

8-4

Employment rate
Source: Statistics Korea (employment trend)

8-5

Unemployment rate and youth unemployment rate
Source: Statistics Korea (employment trend)

8-6

Economically active population
Source: Statistics Korea (employment trend)

Economic Bulletin

25

9. Financial market
9.1 Stock market
The Korean stock market in November rose with expectations of economic recovery. At the
beginning of the month, KOSPI hit a 12-month high of 1,967.85 points on November 10,
fueled by China’s strong manufacturing index and the Fed’s announcement of a second
round of quantitative easing.
However, KOSPI decelerated growth as the expiration of options contracts spurred heavy
sales of equities by foreign investors. In addition, North Korea’s artillery attack on
Yeonpyeong Island and recurrence of financial instability in the eurozone negatively affected
the performance of KOSPI.
Despite a series of international and domestic anxiety factors, foreign investors kept their
net-buying position for the third consecutive month, purchasing 1.6 trillion won, expecting
global liquidity expansion.
(End-period, point, trillion won)
KOSPI

KOSDAQ

Oct 2010

Nov 2010

Change1

Oct 2010

Nov 2010

Change1

Stock price index

1,883.0

1,904.6

+21.7(+1.2%)

526.5

498.4

-28.1 (-5.3%)

Market capitalization

1,045.1

1,058.6

+13.6 (+1.3%)

99.1

94.7

-4.4 (-4.4%)

Average daily trade value

6.5

6.7

+0.2 (+3.1%)

1.9

1.9

0.0 (0.0%)

Foreign stock ownership

31.6

32.2

+0.6 (+1.9%)

9.5

10.0

+0.5 (+5.3%)

1. Change from the end of the previous month

9.2 Exchange rate
The won/dollar exchange rate in November increased 34.4 won from 1,125.3 won at the end
of October to wrap up the month at 1,159.7 won. The won/dollar exchange rate rose due to
international and domestic anxiety factors such as North Korea’s shelling of Yeonpyeong
Island and Ireland’s application for financial assistance.
The won/yen exchange rate was down 15.9 won month-on-month as worries over the
eurozone’s financial crisis and geopolitical risks associated with North Korea contributed to
the weak yen.
(End-period)
2006

2007

2008

2009

Dec

Dec

Dec

Dec

2010
Oct

Nov

Change1

Won/Dollar

929.8

936.1

1,259.5

1,164.5

1,125.3

1,159.7

0.4

Won/100Yen

783.4

828.6

1,396.8

1,264.5

1,394.9

1,379.0

-8.3

1. Appreciation from the end of the previous year (%); the exchange rate is based on the closing price at 3:00 p.m., local time.

26

December 2010

9-1

Stock prices

9-2

Foreign exchange rate (month-end)

9-3

Recent foreign exchange rate

Economic Bulletin

27

9.3 Bond market
Treasury bond yields marginally increased in November with expectations of a rate hike.
Early in the month, Treasury bond yields rose amid prospects of a rate hike and concerns
over regulations associated with capital flows. However, Treasury bond yields decelerated
growth as expectations of a rate freeze until the year-end spread and industrial activities in
October showed sluggishness.
(End-period)
2006

2007

2008

2009

Dec

Dec

Dec

Dec

Sep

Oct

2010
Nov

Change1

Call rate (1 day)

4.60

5.02

3.02

2.01

2.27

2.26

2.51

+25

CD (91 days)

4.86

5.82

3.93

2.88

2.66

2.66

2.80

+14

Treasury bonds (3 yrs)

4.92

5.74

3.41

4.44

3.32

3.25

3.19

-6

Corporate bonds (3 yrs)

5.29

6.77

7.72

5.56

4.26

4.03

4.03

0

Treasury bonds (5 yrs)

5.00

5.78

3.77

4.98

3.71

3.86

3.88

+2

1. Basis point changes in November 2010 from the previous month

9.4 Money supply & money market
The M2 (monthly average) in September expanded 7.9 percent from a year earlier excluding
cash management accounts (CMAs), which were included in M2 since July 2009. The yearon-year M2 growth decelerated in September from the previous month of 8.3 percent due to
a smaller money supply from overseas sectors including foreign equity investment funds.
(Percentage change from same period in previous year, average)
2008

2009

2010

Annual

Q1

Q2

Q3

Q4

Annual

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Sep Sep1

-1.8

-12.4

-0.1

2.1

5.0

16.3

10.8

17.6

18.9

17.8

14.5

10.7

10.8

10.2

404

10.1

11.5

10.1

9.5

9.3

8.8

8.8

-

7.9

1,649

8.8

7.3

7.5

7.4

8.1

8.6

-

7.5

2,110

M12
M2

14.3

13.3

15.3

14.7

13.8

Lf 3

11.9

11.6

12.8

12.1

11.2 Upper 7

1. Balance at end September 2010, trillion won
2. M1 excluding corporate MMFs and individual MMFs while including CMAs
3. Liquidity aggregates of financial institutions (mostly identical with M3)
4. Preliminary

In October, bank deposits turned to a rise as money market deposit accounts (MMDA)
significantly increased following the inflow of treasury surplus in the end-month. Expanded
amounts of time deposits led by money inflows from local governments also contributed to
the trend.
Asset management company (AMC) deposits slightly increased due to declining redemption
in equity funds and the inflow of treasury surplus into money market funds (MMFs).
(Monthly change, end-period, trillion won)
2008

2009

Annual

Oct

Bank deposits

104.3

AMC deposits

63.0

1. Balance at end September, trillion won

28

December 2010

2010

Annual

Oct

Aug

Sep

Oct

Oct1

22.7

54.8

-6.8

-3.5

-3.3

13.7

1,055

2.4

-27.6

-7.3

0.6

-2.0

0.1

326

9-4

Interest rates
Source: The Bank of Korea

9-5

Total money supply
Source: The Bank of Korea

9-6

Share of deposits by financial sector (M3 as of year-end)
Source: The Bank of Korea
* Retail finance: Mutual savings banks & National Credit Union Federation of Korea, Others: Investment banks, post office savings, etc.

Economic Bulletin

29

10. Balance of payments
Korea’s current account surplus (preliminary) expanded in October from the previous month
to record US$5.37 billion.
The goods account surplus increased to post US$6.54 billion from the previous month’s
US$3.95 billion driven by robust exports of key products including semiconductors.
The service account deficit narrowed to post US$1.69 billion from the previous month’s
deficit of US$1.96 billion as the transportation account surplus widened while the travel
account deficit was slashed.
The income account surplus slightly increased to US$760 million from US$510 million a
month earlier while the current transfer account deficit marginally widened to US$240
million from the previous month’s deficit of US$160 million.
(US$ billion)
2008

2009

Annual

Annual

Q1

Current account

-5.78

42.67

- Goods balance

5.67

56.13

- Service balance

-16.67

- Income balance
- Current transfers

2010

Q2

Q3

Q4

Q1

8.62

13.10

10.40

10.56

1.34

8.31

17.58

14.70

15.54

7.43

-17.20

-1.93

-4.17

-5.33

-5.77

5.90

4.55

0.92

0.29

1.69

-0.67

-0.81

1.31

-0.60

-0.66

Q2

Aug

Sep

Oct

Jan-Oct

10.28

2.19

4.06

5.37

29.00

15.65

3.81

5.67

6.54

46.22

-6.04

-4.17

-1.78

-1.96

-1.69

-17.14

1.65

0.76

-0.75

0.61

0.51

0.76

2.31

-0.86

-0.81

-0.45

-0.45

-0.16

-0.24

-2.40

Source: The Bank of Korea

The capital and financial account (preliminary) in October shifted to an outflow as locals’
overseas investment increased and financial institutions redeemed borrowings.
Capital & financial account balance (US$ million)
5,710 (Q1 2010)

-4,420 (Q2)

-30 (Q3); -3,960 (Oct)

The direct investment account accelerated the net outflow to register US$6.13 billion from the
previous month’s deficit of US$3.60 billion as locals’ overseas investment significantly increased.
The portfolio investment account greatly expanded the net inflow to US$7.45 billion from
US$4.41 billion a month earlier as foreigners’ investments in the Korean stock market
increased amid expectations of the new round of US quantitative easing.
The financial derivatives account deficit narrowed to post US$100 million from the previous month’s
deficit of US$370 million as losses from overseas financial derivative transactions decreased.
The other investment account deficit increased to US$5.13 billion from the previous month’s
deficit of US$240 million due to financial institutions’ redemption of borrowings.
The current account is expected to remain in surplus, although diminishing in amount, owing
to an increase in imports associated with domestic consumption recovery and rising price of
raw materials.

30

December 2010

10-1 Current account balance
Source: The Bank of Korea (balance of payments trend)

10-2 Travel balance
Source: The Bank of Korea (balance of payments trend)

10-3 Capital & financial account balance
Source: The Bank of Korea (balance of payments trend)

Economic Bulletin

31

11. Prices and international commodity prices
11.1 Prices
Consumer prices stabilized in November as the price of agricultural products, in particular,
plunged 9.8 percent from the previous month and public utility charges also fell. November
consumer prices rose 3.3 percent year-on-year while on a monthly basis it fell 0.6 percent.
Core consumer prices, which exclude the prices of oil and agricultural products, rose at a
slower pace in November, suggesting that inflation remains stable. November core
consumer prices rose 1.8 percent year-on-year and 0.1 percent month-on-month. Consumer
prices of basic necessities, a barometer of perceived consumer prices, were up 3.6 percent
compared to the same month of the previous year.

Consumer price inflation
2009

2010

Nov

Dec

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Month-on-Month (%)

0.2

0.4

0.4

0.4

0.3

0.5

0.1

-0.2

0.3

0.3

1.1

0.2

-0.6

Year-on-Year (%)

2.4

2.8

3.1

2.7

2.3

2.6

2.7

2.6

2.6

2.6

3.6

4.1

3.3

Core consumer prices (y-o-y)

2.5

2.2

2.1

1.9

1.5

1.5

1.6

1.7

1.7

1.8

1.9

1.9

1.8

(m-o-m)

0.2

0.1

0.1

0.2

0.1

0.2

0.3

0.2

0.2

0.2

0.3

0.0

0.1

Consumer prices for basic
necessities (y-o-y)

2.3

3.3

3.8

3.4

2.9

3.2

3.0

2.8

2.7

2.6

4.1

4.8

3.6

Source: Statistics Korea

Grain and fish prices posted a slight gain due to lower production levels, but the overall price
of agricultural and livestock products were down 6.5 percent from the previous month due
to a sharp fall in vegetable prices
Prices of agricultural & livestock products in Nov (m-o-m, %)
Rice (7.5), cutlassfish (9.5), Chinese cabbage (-58.3), lettuce (-44.6), radish (-34.6), green onion (-19.0),
onion (-2.5), persimmon (-30.8), pear (-10.0), apple (0.7)

Although prices of durable goods and oil products surged due to high gold and oil prices,
prices of industrial products stabilized with a 0.2 percent rise month-on-month as prices of
other industrial products fell.
International gold prices (US$/ounce)
1,192 (July 2010)

1,219 (Aug)

1,273 (Sep)

1,344 (Oct)

1,370 (Nov)

International oil prices (Dubai crude, US$/barrel)
72.6 (Jul)

74.2 (Aug)

75.2 (Sep)

80.3 (Oct)

83.5 (Nov)

Public utility charges stabilized due to factors such as lower gas prices (down 4.5%, m-o-m),
and personal service charges also remained steady.

Consumer price inflation in major sectors

Month-on-Month (%)

Total

Agricultural,
livestock & fishery
products

-0.6

-6.5

0.2

0.8

0.3

-0.5

0.1

Industrial
products

Oil
products

Housing
rents

Public
utility

Personal
services

Contribution (%p)

-0.59

-0.65

0.05

0.05

0.02

-0.08

0.03

Year-on-Year (%)

3.3

17.9

2.1

5.0

2.2

0.8

2.3

Contribution (%p)

3.26

1.47

0.68

0.29

0.21

0.13

0.79

Source: Statistics Korea

32

December 2010

11-1 Prices
Source: Statistics Korea (consumer prices, core inflation) & The Bank of Korea (producer prices)

11-2 Consumer price inflation
Source: Statistics Korea (consumer price trend)

11-3 Contribution to consumer price inflation
Source: Statistics Korea (consumer price trend)

Economic Bulletin

33

11.2. International oil and commodity prices
In October, international oil and domestic oil product prices rose from the previous month.
International oil prices (Dubai crude) poked above US$80 a barrel due to the US
government’s announcement of extra quantitative easing, but the rise was limited as
concerns on the eurozone crisis resurfaced.
(US$/barrel, period average)
2007

2008

2009

Annual

Annual

Annual

May

Jun

Jul

Aug

Sep

Oct

Nov

Dubai crude

68.4

94.3

61.9

76.8

74.1

72.6

74.2

75.2

80.3

83.6

Brent crude

72.8

97.5

61.7

75.2

74.9

75.7

77.2

77.9

83.2

85.8

WTI crude

72.3

99.9

61.9

73.7

75.3

76.3

76.6

75.3

81.9

84.4

2010

Source: KOREAPDS

Record high oil prices (spot prices, US$/barrel)
Dubai crude: 141 (Jul 4, 2008), Brent crude: 145 (Jul 3, 2008), WTI crude: 146 (Jul 14, 2008)

Domestic oil product prices rose due to factors such as lower exchange rates and higher
international oil prices.
Won/dollar exchange rate (average)
1,180 (Aug)

1,167 (Sep)

1,123 (Oct)

1,126 (Nov)
(Won/liter, period average)

2007
Annual

2008
Annual

2009
Annual

May

Jun

Jul

2010
Aug

Sep

Oct

Nov

Gasoline prices

1,526

1,692

1,601

1,732

1,715

1,722

1,716

1,700

1,700

1,716

Diesel prices

1,273

1,614

1,397

1,522

1,509

1,518

1,513

1,499

1,500

1,518

Source: Korea National Oil Corporation

Prices of overall non-ferrous metals fell due to the possibility of a tighter monetary policy in
China. International grain prices were mixed despite expectations of lower production, as a
result of concerns regarding the eurozone crisis.
Non-ferrous metal prices climbed in early November on expectations of US quantitative
easing, but later fell when China, the world’s largest consumer of metals, raised its reserve
requirement ratio and suggested further austerity measures.
A decrease in grain production is expected to persist, but international grain prices were mixed
due to renewed concerns regarding the eurozone crisis and China’s tighter monetary policy.
Prices of non-ferrous metals and grain in Nov (m-o-m, %)

Reuters index*

Corn (1.5), wheat (-1.1), soybean (8.0), raw sugar (7.3), copper (1.8), aluminum (-0.8), nickel (-3.7), zinc (-3.8),
lead (-0.3)
(Period average)

2007

2008

2009

Annual

Annual

Annual

May

Jun

Jul

Aug

Sep

Oct

Nov

2,400

2,536

2,079

2,273

2,285

2,477

2,687

2,765

2,824

2,952

* A weighted average index of 17 major commodities
Source: KOREAPDS

34

December 2010

2010

11-4 International oil prices
Source: Korea National Oil Corporation

11-5 International oil prices (Dubai crude) and import prices
Source: Korea National Oil Corporation & Korea Customs Service

11-6 International commodity prices
Source: Bloomberg (CRB) & The Bank of Korea (Reuters index)
* CRB demonstrates futures price index of 21 commodities listed on the US Commodity Transaction Market, including beans and other crops, crude oil and jewelry.

Economic Bulletin

35

12. Real estate market
12.1 Housing market
In November, nationwide apartment sales prices increased 0.5 percent month-on-month.
Apartment sales prices in the Seoul metropolitan area fell for the eighth consecutive month
in November with a 0.1 percent decrease. The pace of decrease is, however, slowing
steadily, and into mid-November prices have started to inch up.
Apartment sales prices in areas excluding the Seoul metropolitan area showed a continuing
strong upward trend. In particular, prices in South Gyeongsang province rose 2.5 percent
from the previous month and prices in Busan were up 2.1 percent. Apartment prices in 5
metropolitan cities and other cities each advanced 1.2 percent month-on-month.

Nationwide apartment sales prices

(Percentage change from previous period)

2006 2007

2008

Annual Annual

Annual Annual

Nationwide

13.8

2.1

Seoul

24.1

Gangnam2

27.6

2009

2010

Q4

Jul

Aug

Sep

Oct

Nov

Nov 81

Nov 151 Nov 221 Nov 291

2.3

1.6

0.9

-0.1

0.0

0.2

0.3

0.5

0.12

0.13

0.14

0.15

3.6

3.2

2.6

0.3

-0.5

-0.5

-0.3

-0.2

-0.1

-0.01

0.02

0.01

0.00

0.5

-1.9

3.9

0.2

-0.5

-0.5

-0.2

-0.2

-0.1

-0.02

0.04

0.06

-0.01

Gangbuk3

19.0

8.3

9.4

0.9

0.4

-0.5

-0.4

-0.3

-0.2

-0.1

-0.01

-0.01 -0.04

0.01

Seoul metropolitan area

24.6

4.0

2.9

0.7

0.2

-0.7

-0.5

-0.3

-0.2

-0.1

-0.01

0.00

0.01

0.02

2.1

-0.6

1.0

2.8

1.9

0.4

0.4

0.6

0.8

1.2

0.22

0.29

0.28

0.30

5 metropolitan cities
1. Weekly trends

2. Upscale area of Southern Seoul

3. Northern Seoul

Source: Kookmin Bank

Apartment rental prices in November were up 1.4 percent from the previous month. In
Seoul’s Gangbuk area (up 0.8%), the pace of an increase decelerated as the autumn moving
season ended. In Gangnam (up 1.4%), however, rental prices around major school districts
continued to rise.

Nationwide apartment rental prices
2006 2007

(Percentage change from previous period)
2008

2009

Annual Annual Annual Annual Q4

Nationwide
Seoul
Gangnam2
Gangbuk

3

Seoul metropolitan area
5 metropolitan cities
1. Weekly trends

7.6

1.9

0.8

11.5

2.2

11.3

0.5

2010
Jun

Jul

Aug

Sep

Oct

Nov Nov 81 Nov 151 Nov 221 Nov 291

4.5

2.0

0.4

0.4

0.4

0.7

1.0

1.4

0.25

0.25 0.26

0.24

-1.8

8.1

2.3

0.2

0.1

0.2

0.7

1.2

1.1

0.18

0.17 0.17

0.17

-3.6

10.4

2.7

0.3

0.2

0.3

0.7

1.2

1.4

0.21

0.23 0.27

0.22

11.8

4.6

0.5

5.4

1.9

0.0

-0.1

0.1

0.6

1.1

0.8

0.15

0.10 0.05

0.11

11.7

2.1

-0.4

5.6

1.8

0.1

0.1

0.2

0.8

1.1

1.3

0.21

0.20 0.18

0.16

3.0

1.1

1.6

3.9

2.6

0.7

0.6

0.7

0.6

0.9

1.5

0.26

0.33 0.35

0.34

2. Upscale area of Southern Seoul

3. Northern Seoul

Source: Kookmin Bank

Apartment sales transactions in October increased 27.8 percent from 56,848 the previous
month to post 72,629. The transactions were down 16.8 percent from a year earlier and 7.3
percent compared with the monthly average of 78,000 recorded in the same month for the
past 3 years

Apartment sales transactions
2007

(Monthly average, thousand)

2008

2009

Annual Annual Annual Aug Sep
Nationwide

84

74

77

Source: Korea Land & Housing Corporation

36

December 2010

81

90

2010

Oct

Nov

87

82

Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct
82

62

67

80

73

62

65

62

57

57

73

12-1 Real estate prices
Source: Kookmin Bank (national housing price trend)

12-2 Weekly apartment sales prices and monthly transaction volume
Source: Kookmin Bank (weekly APT price trend) & Korea Land Corporation (monthly land trade trend)

12-3 Apartment prices by region
Source: Kookmin Bank (national housing price trend)

Economic Bulletin

37

12.2 Land market
Nationwide land prices in October were down 0.03 percent from the previous month, with
the pace of a decrease shown to be slightly decelerating. Land prices in October were 2.34
percent lower than the pre-crisis peak reached in October 2008.
Land prices in the Seoul metropolitan area fell for the fourth consecutive month (down
0.08%). Seoul posted the biggest price fall (down 0.13%), followed by Gyeonggi Province
(down 0.03%) and Incheon (down 0.02%).
Land price increases in Seoul metropolitan area (m-o-m, %)
0.03 (Jun)

-0.04 (Jul)

-0.04 (Aug)

-0.09 (Sep)

-0.08 (Oct)

Land price increases in areas excluding the Seoul metropolitan area (up 0.05%) continued in
October, led by Daejeon (up 0.14%) and South Gyeongsang province (up 0.07%).
Land price increases in areas excluding Seoul metropolitan area (m-o-m, %)
0.07 (Jun)

0.06 (Jul)

0.05 (Aug)

0.05 (Sep)

0.05 (Oct)

Land prices by region
2007

(Percentage change from previous period)
2008

Annual Q3

Annual

2009
Q3

2010

Annual

Q1

Q2

Q3

Q4

Annual

Q1

Q2

Nationwide

3.88 0.92 -0.31 1.18

0.96

-1.20

0.35

0.88

0.94

0.94

0.70

0.29

-0.05 -0.01 -0.04 -0.03

Seoul

5.88 1.39 -1.00 1.59

1.40

-1.38

0.68

1.30

0.81

0.49

0.72

0.02

-0.25 -0.05 -0.13 -0.13

Gyeonggi

4.22 1.05 -0.26 1.28

1.22

-1.62

0.37

1.13

1.36

1.41

0.96

0.53

-0.08 -0.02 -0.05 -0.03

Incheon

4.86 1.11

1.99

-1.39

0.53

1.16

1.70

1.41

1.08

0.43

-0.10 -0.03 -0.06 -0.02

1.37 2.01

1

Q3

Aug

Sep

Oct

1. Jan-Oct aggregate total
Source: Korea Land & Housing Corporation

Nationwide land transactions in October recorded 181,000 land lots, increasing 24.9 percent
from the previous month and decreasing 14.6 percent from 212,000 a year earlier.
Land transactions in Busan (up 46.2%), Daegu (up 43.7%), and North Chungcheong
Province (up 41.2%) increased significantly.

Land sales transactions

Nationwide

(Land lot, thousand)

2007 2008

2009

2010

Annual1 Annual1 Annual1 Sep

Oct

Nov

Dec

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

208

208

203

206

226

212

207

168

213

203

177

183

171

163

145

181

Seoul

33

26

22

25

28

25

19

17

20

17

14

13

10

12

11

14

Gyeonggi

49

45

46

48

56

52

48

34

44

42

37

42

38

36

32

40

Incheon

13

13

10

10

13

14

11

7

9

9

10

8

8

7

7

8

1. Monthly average
Source: Korea Land & Housing Corporation

38

December 2010

12-4 Land and consumer prices since 1970s
Source: Korea Land Corporation (land prices) & Statistics Korea (consumer prices)

12-5 Land prices by region
Source: Korea Land Corporation (land price trend)

12-6 Land trade volume
Source: Korea Land Corporation (land trade trend)

Economic Bulletin

39

13. Composite indices of business cycle indicators
The cyclical indicator of the coincident composite index fell 1.3 points month-on-month to
post 99.9 in October.
All components of the coincident composite index excluding the service activity were lower
compared to the previous month.
Components of coincident composite index in October (m-o-m)
Service activity index (0.2%), value of construction completed (-6.2%), manufacturing operation ratio index
(-2.1%), manufacturing production index (-1.9%), volume of imports (-1.8%), wholesale & retail sales index
(-1.5%), mining & domestic shipment index (-1.4%), number of non-farm payroll employment (-0.2%)

The year-on-year leading composite index in October fell 1.5 percentage points from the
previous month due to last year’s high base effect and a decline in leading composite index
this month.
Among the components of the leading composite index, only the composite stock price
index rose.
Components of the leading composite index in October (m-o-m)
composite stock price index (4.4%), value of construction orders received (-29.0%), value of machinery
orders received (-6.0%), consumer expectations index (-2.6p), Indicator of inventory cycle (-1.9%p), ratio of
job openings to job seekers (-1.5%p), value of capital goods imports (-0.7%), spreads between long & short
term interest rates (-0.2%p), net terms of trade index (-0.1%), liquidity in the financial institutions (-0.1%)

2010

Coincident composite index (m-o-m, %)
Cyclical indicator of coincident composite index
(m-o-m, p)
Leading composite index (m-o-m, %)
12 month smoothed change
in leading composite index (%)
(m-o-m, %p)
1. Preliminary

40

December 2010

Apr

May

Jun

Jul1

Aug1

Sep1

Oct1

0.9

0.7

0.8

0.9

0.3

-0.4

-0.9

101.1

101.4

101.7

102.2

102.1

101.3

99.9

0.5

0.3

0.3

0.5

-0.1

-0.8

-1.3

-0.2

0.6

0.3

0.9

0.2

-0.1

-0.7

8.6

8.0

7.1

6.8

5.9

4.9

3.4

-1.1

-0.6

-0.9

-0.3

-0.9

-1.0

-1.5

13-1 Cyclical indicator of coincident composite index
Source: Statistics Korea

13-2 Leading composite index
Source: Statistics Korea

13-3 Coincident and leading composite indices
Source: Statistics Korea

Economic Bulletin

41

Policy Issues
2011 Economic Policies

2011 Economic outlook
The Korean economy is expected to grow around 5 percent in 2011 amid the global economy
steadily recovering and the domestic demand improving: Consumer spending to rise in the 4
percent range backed by increasing employment and income; facility investment to go up
around 7 percent with growing investment sentiment in line with recovering demand;
financial markets continue to stabilize and business performance to improve; and
construction investment to add around 2 percent backed by rising private construction
despite slowing down civil engineering works.
In 2011 the private sector is expected to lead employment growth, with the total number of
workers hired gaining around 280,000. Consumer prices is likely to be affected by rising
international commodities prices and wages, increasing around 3 percent. The current
account surplus will shrink and is projected to be around US$16 billion with exports
increasing more or less 10 percent amid the recovering global economy, and imports rising
around 15 percent due to improving domestic demand and climbing oil prices.

42

December 2010

<Economic outlook, 2010 and 2011>
2010

2011

Real GDP (y-o-y, %)

6.1

Around 5

Employment (y-o-y, thousand)

310

280

2.9

Around 3

29

16

Consumer prices (y-o-y, %)
Current account balance (US$ billion)

1

1. IMF’s new balance of payment statistics used

2011 Economic policies
The 2011 economic policies are directed towards 1) achieving sustainable recovery, 2)
supporting the working class, 3) nurturing future growth engines, and 4) expanding
overseas cooperation.
1. Achieving sustainable recovery through flexible macroeconomic management,
restructuring, and low inflation
To help the economy continue to recover, the government will keep the early budget
spending it has carried out since the outbreak of the global crisis, allocating 57 percent of
the budget in the first half of 2011. Foreign capital inflows and the level of liquidity will also
be closely monitored so that they cannot negatively affect prices and asset markets. Other
emerging economies’ situations as well as that of China will be checked regularly to respond
timely to their changes, along with efforts to diversify export markets to avoid dependence
on specific countries.
Economic restructuring will be pursued in household, corporate, finance, foreign capital, and
public sectors. The government will more tightly regulate the level of household debt with
total loan growth not exceeding GDP growth. Corporate restructuring will go on led by
creditor institutions, and they are scheduled to evaluate corporate risks within 2011: Large
conglomerates in May, large companies in June, and SMEs between July and October. Loans
to marginal firms will be phased out and start-ups phased in. Excessive loans to real estate
projects have been a serious future risk in the financial market. Loans to real estate projects
will be re-categorized, with tighter allowance reserve applied. Savings banks’ real estate
project loans, which currently account for 30 percent of the banks’ total credit, will be
reduced to 25 percent in 2011, and 20 percent by 2013.
To avoid the impact of sudden foreign capital movements spurred by loose monetary
policies in developed countries, the government will examine current systems related to the
foreign exchange market and introduce new ones if necessary: Under consideration are
setting new limits on banks’ foreign exchange forward position and imposing charges to
improve macro-prudence. To achieve a fiscal balance between 2013 and 2014, the

Economic Bulletin

43

government will keep the budget expenditure increase under control so that budgets rise 23 percentage points slower than revenue increases. Public firms and other public institutions
will be under government’s close watch, and those financially unhealthy will be required to
come up with plans for financial restructuring. To improve municipal governments’ fiscal
health, the government will limit the size of municipal governments’ debt, and the total
amount of local tax reduction will be determined based on the previous year’s reduction.
Measures to curb inflation involve securing supplies of agricultural products and diversifying
purchase channels in the wholesale market, providing necessitics price information through
Korea Consumer Agency’s web site, regularly monitoring unfair trade practices, controlling
service charge increases by keeping public service rates low and putting up local public
service rates, all of which are expected to lower prices through competition, and financially
supporting universities without tuition hike.
2. Stimulating the real economy and supporting the working class: working class friendly policies
The 2011 policies for the working class are directed towards creating jobs and strengthening
less competitive sectors of the economy in order to found a basis for expanding the middle
class, and increasing government support for the working class and vulnerable groups.
To help create jobs, the government will give corporate tax reduction to companies
relocating businesses in Korea: 100 percent for the first five years and 50 percent for the next
two years. For a more adaptable job market, the government will adopt more flexible and
worker-friendly regulations: The 40 hour work week to be required to businesses with less
than 20 employees as well, the 2 year maximum period of contract employment not to be
applied to start-up businesses and businesses mainly employing contract workers such as
cleaning and guarding services, the pay system of flexible work arrangement which allows
employees to schedule their own work hours to be changed in favor of workers so that they
can be paid more, the calculating method used to convert the number of part-time
employees into the number of regular workers to be revised from an employee-basis to a
work hour-basis so that more SMEs can be eligible for the government support given to
SMEs with less than 300 workers, laws to be enacted to secure part time positions for
mothers and the sick, and regulations to be revised so that overtime payment can be made
with vacations.
The government will step up efforts to remove unfair treatment of irregular and subcontract
employees: Guidelines for subcontract employee protection to come out in the first half of
2011 along with expanded government inspection for unfair treatment to distribution and
service industries in addition to manufacturing industries, regulations to be revised so that
employees under unfair treatment can report the unfair dealings within 6 months instead of
3 months, and construction companies delaying payment to have disadvantages in public
project bidding with the list of the companies disclosed.

44

December 2010

To effectively use foreign labor force, the government will develop foreign employment
guidelines based both on economic benefit and social cost: Under review is charging
companies for employing foreign workers so that the size of foreign labor force can be
determined by supply and demand. More jobs will be available to foreign workers, with visaissuing process simplified and skills and techniques other than the Korean language
proficiency added to the criteria for selecting foreign employees.
To help foster healthy cooperation between large conglomerates and SMEs, the government
will correct unfair price-setting practices by large purchasing firms, as it will give Korea
Federation of Small and Medium Business rights to request price adjustment. Other
measures to support SMEs will involve new subcontractor protection which will cover all
tiers of subcontractors in addition to first subcontractors, designation of SME businesses in
which SMEs have competitiveness over large companies with follow-up measures to support
SMEs in those businesses, and a close watch over the abuse of the intellectual property
rights by large companies, which harms SMEs with innovative technologies.
To help raise the competitiveness of self-employment, the government will provide
customized support based on business types, which covers training, consultation and
financing. 4,000 old stores will be refurbished with IT and other modern technologies in
2011, and 10,000 old shops will be modernized by 2012.
To revitalize agricultural and fishing industries, the government will help those industries
develop into high-value-added ones with increased R&D support and by creating new
markets. To promote functional food markets, the government will develop various methods
to evaluate and certify functional food. The government will finance domestic fisheries’
overseas facility investment, and in case of overseas fish stock search, it will provide support
to raise the competitiveness of the distant water fishing industry.
To support the working class, the government will continue its efforts to reduce their
housing, medical, childcare, and financial cost: 123,000 rental houses to be available in 2011
with financial support of 5.7 trillion won for those who want loans to rent a house, the
national health insurance to cover more of medical expenses in the eight cases of serious
illnesses such as cancers and maternity checkups, day care expenses to be fully supported
for those in the lower 70 percent of the income bracket, a 20 percent increase from the lower
50 percent, and seniors, disabled, and basic social security recipients exempted from tax on
their savings.
There will be continuous efforts to improve the social security system so that those who
need support have to get support, while any moral hazard can be detected: business owners
employing 50 workers or less to be eligible for employment insurance, a large expansion
from 5 workers or less, and social security recipient information to be shared among
ministries to avoid dishonesty in receiving social security, emergency sensors installed in
living-alone senior houses, which work in case of fire, gas leak, and other emergent

Economic Bulletin

45

situations, to be expanded from 30,000 houses in 2010 to 52,000 in 2011. The center for
multicultural families to be increased from 159 centers in 2010 to 200 in 2011, where the
families get help in learning the Korean language, taking care of children, and finding jobs.
Illegal private lenders will be cracked down regularly and rewards will be given for reporting
such lenders.
3. Nurturing new growth engines to achieve sustainable growth
The 2011 policies focus on raising service sector competitiveness and promoting green and
other innovative technology development, the former as a way to find a balance between
exports and domestic demand, and the latter to secure future growth potential.
To raise service sector competitiveness, the government will remove entry barriers to health
care, broadcasting and communications, education, and energy industries in the first half of
2011, help provide new IT convergence services, review and improve the existing plans for
service sector development, and restructure the service sector to produce high-added-value.
To help restructure the service sector to become a high-value-added one, the government
will encourage convergence between industries, such as tourism and health care, consulting
and manufacturing, and technology and art. Under review are service industry-friendly taxes,
financial and R&D support, and a think tank exclusive for the service sector.
Green technologies will have unwavering support in 2011, but ways to more effectively
support them will be sought: All green technology- related government projects will be
reviewed to avoid multiple support for the same technologies. When green technologies
such as new renewable energies and water industries are exported to developing countries,
part of Official Development Assistance (ODA) is appropriated for green technology export
support. Key construction for the four river restoration project such as reservoir construction
will be completed in the first half of 2011, and water protection zones will be designated by
December 2011 to avoid improper development.
The government will evaluate the development of 17 government-designating new growth
engines, 6 green technologies, 6 innovative convergence technologies, and 5 high-valueadded technologies, and will differentiate R&D, financial and human resources support on
the basis of the evaluation. It will also give tax incentives to more technologies including
robot application, IT convergence and next generation LCD technologies. Public funds for
nurturing new growth engines will amount to 1,050 billion won in 2011.
4. Expanding overseas cooperation through FTAs and ODA
Korea will actively use FTAs in effect as well as pursue FTAs in negotiation, while providing
support to the industries affected by the trade deals. ODA will be increased from 1.3 trillion
won in 2010 to 1.6 trillion in 2011, with KSP reinforced and expanded as KSP demand from

46

December 2010

developing countries increase.
Korea will more actively finance plant and infrastructure exports to developing countries,
while promoting exports of agricultural technologies, which will lead to trade and investment
in related areas such as training and development cooperation. Korea will start bilateral
ministerial level talks with countries in Asia, Middle East and Africa, an expansion from those
with BRICs and UAE. Asian + 3 Macroeconomic Research Office (AMRO) will be launched in
the first half of 2011, which aims at facilitating the Chiang Mai Initiative, the regional financial
safety net, to take hold.

Economic Bulletin

47

Economic
News Briefing

Q3 GDP growth confirmed at 0.7% (Preliminary)
Korea’s real GDP expanded 0.7 percent from a quarter earlier (seasonally adjusted) in the
third quarter. This figure is the same as the advanced estimate released on October 27. On a
year-on-year basis, the GDP rose 4.4 percent in July-September compared to its earlier
estimate of 4.5 percent.
On the production side, the manufacturing sector was up 2.2 percent from the previous
quarter mainly due to the robustness of general machinery and transport equipment. On the
expenditure side, private consumption rose by 1.3 percent with increased expenditures on
durable and semi-durable goods.
Nominal gross national income (GNI) increased by 1.0 percent in the third quarter from the
previous quarter. Meanwhile, Korea’s real GNI expanded mere 0.2 percent as trading losses
increased with worsening terms of trade.
Meanwhile, the GDP growth rate for 2011 is expected to register 4.5 percent, the Bank of
Korea said on December 10. For 2012, GDP growth is likely to expand 4.7 percent. The bank
projected that the jobless rate will decline to 3.5 percent next year from 3.8 percent this
year. The year-on-year CPI growth is forecast to register 3.5 percent in 2011. Korea’s current
account surplus is expected to narrow to US$18 billion in 2011 from US$29 billion this year.

48

December 2010

<GDP by production and expenditure*>

(Percentage change from previous period)
20091

20101

Annual

Q1

GDP

0.2

0.2

2.4

3.2

0.2

2.1(8.1)

Agriculture, forestry and fishery

1.6

-0.1

-0.4

2.9

0.4

-4.9 (-1.9)

0.1 (-2.2) -3.50 (-7.5)

-1.6

-2.5

8.0

9.4

-1.7

4.2 (20.7)

5.2 (18.0)

2.2 (10.1)

Construction

1.9

4.4

1.2

-1.0

-0.6

1.9 (1.5)

-0.9 (-0.5)

0.6 (1.0)

Services

Manufacturing

3

Q2

Q3

Q4

Q1

Q2
2

1.4 (7.2)

Q3
0.7 (4.4)

1.0

0.3

1.0

0.9

0.9

1.6 (4.4)

0.1 (3.6)

0.1 (2.7)

Private consumption

0.2

0.3

3.3

1.7

0.4

0.7 (6.3)

0.8 (3.7)

1.3 (3.3)

Government consumption

5.0

2.9

0.7

0.0

-2.4

5.8 (3.8)

0.1 (3.2)

-0.7 (2.8)

-9.1

-10.5

9.0

10.8

5.3

2.4 (29.9)

9.1 (30.2)

5.5 (24.3)

Facility investment
Construction investment

4.4

5.9

1.8

-0.7

-0.1

1.3 (2.3)

-3.6 (-2.9)

1.3 (-2.1)

Goods exports4

0.0

-1.7

13.5

5.1

-1.5

3.7 (21.6)

7.0 (14.9)

1.9 (11.5)

Goods imports4

-7.9

-5.8

8.7

8.0

-1.3

5.1 (21.8)

9.5 (22.1)

2.1 (16.1)

Nominal Gross National Income

3.3

0.1

4.2

3.1

1.1

2.8 (11.3)

2.2 (9.3)

1.0 (7.1)

Real Gross National Income

1.5

-0.7

4.9

1.1

2.7

0.9 (8.9)

0.5 (5.4)

0.2 (4.3)

*At 2005 chained prices in seasonally adjusted terms
1. Preliminary
2. Percentage changes from the same period in the previous year in original terms
3. Wholesale & retail sales, hotels & restaurants, transportation & storage, communication services, financial & insurance services, real estate & renting, business
services, public administration, defense & social security, educational services, healthcare & social welfare services, entertainment, cultural & sports services
and other services are included.
4. FOB basis

Korea and US make progress in FTA
Korea and the US made substantial progress in the Korea-US Free Trade Agreement (KORUS
FTA) after four days of talks between top trade negotiators of Korea and the US. During the
meeting from November 30 to December 3, Trade ministers of Korea and the US reached an
agreement named “agreed elements”, which is expected to pave the way for the KORUS FTA
to officially take effect. The updates made on December 3 aimed at clarifying the 2007
Korea-US trade agreement.
Although Korea and the US signed the KORUS FTA on June 30, 2007, its ratification has
been delayed for more than three years. Under the 2007 FTA, nearly 95 percent of bilateral
trade in consumer and industrial products would become duty free within three years of the
date the FTA enters into force, and most remaining tariffs would be eliminated within 10
years. The supplemental agreement announced on December 3 showed a number of
improvements as follows:
Korea and the US agreed to completely remove tariffs on all passenger cars after the trade
pact comes into effect. Korea will immediately cut its tariff on US auto imports from 8 percent
to 4 percent and fully eliminate the tariff in the fifth year of the implementation, while the US
will maintain its tax on Korean cars at 2.5 percent until the fifth year of the implementation. In
addition, as many as 25,000 cars per US automaker will be considered safety-compliant when

Economic Bulletin

49

imported into Korea provided they meet US federal safety standards. A special safeguard for
motor vehicles is also added to the agreement. The special auto safeguard is available for 10
years beyond the full elimination of tariffs for each Korean auto product.
Meanwhile, the two countries agreed to extend the deadline for the removal of tariffs on US
pork to 2016. On pharmaceuticals, Korea and the US agreed to extend the time period for
fulfilling obligations related to patents from 18 months to three years. They also agreed to
lengthen the L-1 visa validation period for Korean workers residing in the US to five years.
Currently, Korean workers are required to extend their L-1 visas every three years.

OECD raises 2010 growth outlook for Korea
The Organization for International Cooperation and Development (OECD) raised the 2010
growth outlook for Korea to 6.2 percent from the previous projection of 5.8 percent, in its
biannual Economic Outlook report released on November 18. The growth forecast for 2011,
however, was lowered to 4.3 percent from 4.7 percent. After reaching a 7.3 percent annual
rate during the first half of 2010, growth has slowed, in line with other countries in Asia. The
Paris-based agency pointed out that although Korea’s strong recovery from the 2008 global
recession slowed in the latter half of 2010, double-digit export growth and buoyant domestic
demand are projected to boost growth to around 5 percent by late 2011.

The National Assembly passes 2011 budget bill
On December 8, the National Assembly approved next year’s budget bill of 309.1 trillion
won. Compared to the initial proposal by the government, the total revenue is slashed by 0.2
trillion won to record 314.4 trillion won while the total expenditure is cut by 0.5 trillion won
to stand at 309.1 trillion won. The fiscal balance is expected to improve 0.7 percentage
points from -2.7 percent of GDP in 2010 to -2.0 percent in 2011. The national debt will be
decreased by 0.8 percentage points to 35.1 percent of GDP in 2011 from 36.1 percent of 2010.
Fewer amounts of national bonds to supplement the general account will be issued in 2011,
as 21.0 trillion won of the bonds are planned to be on the market in 2011 compared with 29.3
trillion won of 2010.

50

December 2010

<2011 budget bill>

(Trillion won, %)
2010
(A)

2011

Changes

Initial
Final
proposal (B) budget bill (C)

(C-B)

(C-A)

%

Total revenue

290.8

314.6

314.4

-0.2

23.6

8.1

Total expenditure

292.8

309.6

309.1

-0.5

16.2

5.5

Operational budget balance

-30.1

-25.3

-25.0

0.3

5.1

(Percentage to GDP)

(-2.7)

(-2.0)

(-2.0)

(-)

(0.7%p)

National debt

407.2

436.8

435.5

-1.3

28.3

(Percentage to GDP)

(36.1)

(35.2)

(35.1)

(-0.1%p)

(-1.0%p)

29.3

22.0

21.0

-1.0

-8.3

Amount of national bonds to supplement the
general account (Net increase)

6.9

The National Assembly’s Strategy and Finance Committee approves tax reform plan
The 2010 tax reform plan was approved by the National Assembly’s Strategy and Finance
Committee on December 7, and will be presented at the plenary session of the National
Assembly for final approval before being implemented on January 1, 2011. After the
Committee’s revision of the tax reform plan, government tax revenue has been adjusted to
1.3 trillion won from the original 1.9 trillion won.
According to the Committee, the Temporary Investment Tax Credit, which was originally
planned to be switched to the Job Creation Investment Tax Credit, has been extended by
another year. However, the tax deduction rate, which is currently at 7 percent, will now vary
by region and business scale: 5 percent for small- and medium-sized enterprises (SMEs) and
4 percent for big businesses in the Seoul metropolitan area. The Job Creation Investment Tax
Credit, which was presented as an alternative to the Temporary Investment Tax Credit,
would lower the tax deduction rate to 1 percent.
The Committee revised and approved amendment bills for the Personal Income Tax Law and
the Corporation Tax Law as well. The bills will re-impose a 14 percent withholding tax on
interest income on bonds that foreigners buy, as well as a 20 percent capital gains tax. A
flexible tax rate will be applied, and the withholding tax rate can be lowered to as low as zero
when the need arises to urgently stabilize financial markets. Thus, for interest income, the
tax rate will vary from 14 percent to zero, and for capital gains it will range from 20 percent to
zero. The revised law will come into force on January 1, 2011, and will not apply to interest
income and capital gains acquired before November 12. According to the Ministry of Strategy
and Finance, the revised law is expected to reduce systemic risks in the Korean economy by
restraining the excessive inflow of short-term bond capital and reducing the volatility of the
financial market. Meanwhile, revisions on laws regarding inheritance and gift tax, added
value tax, special excise tax and others were also approved by the Committee.

Economic Bulletin

51

Korea hopes to be the 7th largest exporter by 2015
Korea aims to rank as the world’s 7th largest exporter by 2015, said the Ministry of
Knowledge Economy on November 30 on occasion of the country’s 47th Trade Day. To
achieve the ambitious target, the Ministry suggested three preemptive measures to counter
changes in the global trade environment: first, expanding market penetration in emerging
countries; second, enhancing the competitiveness of small- and medium-sized enterprises
(SMEs); and third, establishing advanced infrastructure for trade.
Meanwhile, President Lee Myung-bak urged Korea to seek new trade policies to cope with a
rapidly changing trade environment. In the celebratory speech to mark the 47th Trade Day,
President Lee stressed the importance of newly emerging countries as the center of world
trade. In addition, the president declared that Korea will further foster SMEs to raise the
proportion of SMEs in Korea’s total exports to 40 percent from the current level of 30 percent.

Korea publishes a book on 60-year history of Korean economy
The Korean Economy: Six Decades of Growth and Development, a book on the history of
economic development in Korea which discusses numerous factors behind Korea’s
economic success, was published on December 2. The five-volume book is the result of an
ambitious project steered by the Committee for the Sixty-Year History of the Korean
Economy and involves various research institutions including Korea Development Institute
(KDI). The work is grouped into five areas: general economic policies, industrial growth,
external economic relations, territorial development, and social policies. It is expected to be
a valuable source for other developing countries that want to catch up with advanced
economies in a short period of time as Korea did, and will also serve as a tool for charting
Korea’s future path in the face of new challenges. An English version, which is in a
condensed and revised form, is also available.
For the English version, please visit http://www.kdi.re.kr/kdi_eng

52

December 2010

Statistical
Appendices
Tables & Figures
1. National accounts
2. Production, shipment and inventory
3. Production capacity and operation ratio
4. Consumer goods sales index
5. Consumer goods shipment index and consumer sentiment index
6. Machinery orders received, domestic machinery shipment,
and estimated facility investment index
7. Value of construction completed and domestic construction orders received
8. Composite indices of business cycle indicators and BSI
9. Balance of payments (I)
10. Balance of payments (II)
11. Prices
12. Employment
13. Financial indicators
14. Monetary indicators
15. Exchange rates

Economic Bulletin

53

1. National accounts
(year-on-year change, %, chained 2005 year prices)
Real GDP
Period

2003
2004
2005
2006
2007
2008
2009P

Gross fixed capital formation

Final
consumption
expenditure

Agri., fores.
& fisheries

Manufacturing

2.8
4.6
4.0
5.2
5.1
2.3
0.2

-5.4
9.1
1.3
1.5
4.0
5.6
1.6

5.4
10.0
6.2
8.1
7.2
2.9
-1.6

0.5
1.0
4.6
5.1
5.1
2.0
1.3

Construction

Facilities

4.4
2.1
1.9
3.4
4.2
-1.9
-0.2

8.5
1.3
-0.4
0.5
1.4
-2.8
4.4

-1.5
3.8
5.3
8.2
9.3
-1.0
-9.1

2003

I
II
III
IV

3.5
1.8
2.0
3.9

0.7
-1.6
-9.6
-8.0

5.4
3.1
4.3
8.5

2.0
0.3
0.0
-0.4

5.1
4.7
2.8
5.0

8.2
8.4
8.3
9.0

2.9
-0.7
-5.8
-2.2

2004

I
II
III
IV

5.2
5.9
4.8
2.7

8.2
7.6
8.3
11.6

10.9
12.9
10.4
6.2

-0.1
1.3
1.0
1.8

2.3
4.9
3.1
-1.4

5.3
4.2
1.2
-3.5

-0.6
6.4
7.7
1.8

2005

I
II
III
IV

2.7
3.4
4.5
5.1

0.4
4.8
3.8
-3.1

4.8
3.9
6.7
9.3

2.7
4.7
5.9
4.9

-0.3
1.8
1.5
3.9

-3.1
0.9
-0.3
0.3

3.4
2.8
4.1
10.8

2006

I
II
III
IV

6.1
5.1
5.0
4.6

3.9
-0.3
-1.4
4.2

9.4
9.1
8.7
5.4

5.8
4.9
4.6
5.1

3.8
0.1
4.0
5.7

1.9
-4.2
-0.5
5.1

7.2
8.0
12.0
5.7

2007

I
II
III
IV

4.5
5.3
4.9
5.7

1.6
7.0
8.2
-0.7

4.5
7.2
6.3
10.2

5.1
5.4
5.3
4.7

7.3
5.7
1.5
3.1

4.4
2.0
-0.2
0.4

12.6
13.0
4.0
8.0

2008

I
II
III
IV

5.5
4.4
3.3
-3.3

7.8
4.6
4.3
6.5

8.9
8.3
5.3
-9.4

4.3
3.0
2.4
-1.7

-0.6
0.6
2.1
-8.7

-2.5
-0.5
0.4
-7.7

2.8
2.0
5.3
-13.3

2009P

I
II
III
IV

-4.3
-2.2
1.0
6.0

1.5
-1.3
3.3
2.8

-13.6
-7.2
1.7
13.0

-2.0
0.7
1.7
4.7

-7.4
-2.3
0.4
7.1

2.8
5.1
4.4
5.0

-23.1
-17.3
-7.0
13.3

2010P

I
II
III

8.1
7.2
4.4

-1.9
-2.2
-7.5

20.7
18.0
10.1

5.7
3.6
3.2

11.4
6.4
6.6

2.3
-2.9
-2.3

29.9
30.2
24.3

P: Preliminary
Source: The Bank of Korea

54

December 2010

Growth rate by economic activity

Growth rate by expenditure on GDP

Economic Bulletin

55

2. Production, shipment and inventory See graphs 6-1, 6-3, 7-1, 7-2 & 7-3
(constant prices, 2005 = 100)

Period

2008
2009

Production
index

Y-o-Y
change (%)

Shipment
index

Y-o-Y
change (%)

Inventory
index

Y-o-Y
change (%)

Service
production
index

Y-o-Y
change (%)

119.8
118.9

3.4
-0.8

118.3
116.3

2.6
-1.7

125.5
115.5

7.1
-8.0

116.1
118.4

3.6
2.0

2008

I
II
III
IV

121.9
125.5
119.6
112.4

11.2
9.2
5.9
-11.0

119.8
123.0
118.0
112.4

9.3
6.8
5.5
-9.9

123.6
133.2
132.0
125.5

8.4
16.3
17.1
7.1

114.0
116.0
116.4
118.1

6.8
4.3
3.4
0.0

2009

I
II
III
IV

102.8
117.8
124.7
130.5

-15.7
-6.1
4.3
16.2

101.9
115.9
120.5
126.8

-14.9
-5.8
2.1
12.8

115.9
110.6
113.3
115.5

-6.2
-16.9
-14.2
-8.0

113.7
118.8
118.6
122.5

-0.3
2.4
1.9
3.7

2010

I
II
IIIP

129.3
140.8
139.5

25.8
19.5
11.9

124.1
135.8
134.1

21.8
17.2
11.3

123.6
127.9
134.2

6.6
15.6
18.4

120.2
123.6
121.3

5.7
4.0
2.3

2008

1
2
3
4
5
6
7
8
9
10
11
12

126.3
111.1
128.3
126.5
126.5
123.5
123.4
116.2
119.1
126.7
110.3
100.0

12.0
10.9
10.9
11.2
9.2
7.3
8.9
2.2
6.7
-1.5
-13.6
-18.4

121.9
109.9
127.6
124.8
123.7
120.5
121.6
114.7
117.6
124.2
109.8
103.2

10.5
8.1
9.2
8.9
6.6
4.9
8.0
2.0
6.3
-1.7
-12.9
-15.1

123.9
124.3
123.6
124.6
128.7
133.1
132.4
132.1
132.0
134.7
133.2
125.5

4.5
7.5
8.4
11.4
12.7
16.2
14.5
14.3
17.1
17.1
15.9
7.1

114.3
109.6
118.1
116.1
116.7
115.1
117.4
114.2
117.5
118.9
113.3
122.2

8.0
6.6
6.0
6.1
4.1
2.7
4.7
1.2
4.2
3.1
-2.0
-1.0

2009

1
2
3
4
5
6
7
8
9
10
11
12

93.8
99.8
114.7
116.1
115.0
122.2
124.3
117.4
132.3
127.0
130.3
134.2

-25.7
-10.2
-10.6
-8.2
-9.1
-1.1
0.7
1.0
11.1
0.2
18.1
34.2

93.1
99.4
113.3
114.7
112.8
120.1
120.0
113.5
127.9
123.4
126.8
130.2

-23.6
-9.6
-11.2
-8.1
-8.8
-0.3
-1.3
-1.0
8.8
-0.6
15.5
26.2

123.7
117.6
115.9
112.4
111.4
110.6
112.3
112.8
113.3
112.6
113.7
115.5

-0.2
-5.4
-6.2
-9.8
-13.4
-16.9
-15.2
-14.6
-14.2
-16.4
-14.6
-8.0

112.4
109.5
119.2
119.9
118.5
118.0
118.1
115.5
122.3
118.3
118.1
131.0

-1.7
-0.1
0.9
3.3
1.5
2.5
0.6
1.1
4.1
-0.5
4.2
7.2

2010

1
2
3
4
5
6
7
8
9P
10P

128.5
118.7
140.7
139.4
139.9
143.2
143.7
137.3
137.5
144.1

37.0
18.9
22.7
20.1
21.7
17.2
15.6
17.0
3.9
13.5

123.0
113.7
135.6
134.9
134.2
138.2
137.1
132.4
132.7
140.0

32.1
14.4
19.7
17.6
19.0
15.1
14.3
16.7
3.8
13.5

119.2
122.5
123.6
124.6
127.9
127.9
132.8
134.1
134.2
133.6

-3.6
4.2
6.6
10.9
14.8
15.6
18.3
18.9
18.4
18.7

117.3
117.5
125.8
124.4
122.9
123.5
121.9
120.3
121.2
121.8

4.4
7.3
5.5
3.8
3.7
4.7
3.2
4.2
-0.9
3.0

P: Preliminary
Source: Statistics Korea

56

December 2010

3. Production capacity and operation ratio See graph 6-2

Period

Y-o-Y
change (%)

Operation
ratio index
(2005=100)

Y-o-Y
change (%)

Average
operation
ratio (%)

115.3
118.9

5.1
3.1

97.2
93.5

-3.2
-3.8

77.5
74.6

Production
capacity index
(2005=100)

2008
2009
2008

I
II
III
IV

113.8
115.1
116.0
116.4

5.9
6.3
5.3
3.4

99.3
103.1
95.5
91.1

2.2
0.5
-0.7
-13.6

81.5
80.8
78.3
69.6

2009

I
II
III
IV

116.8
117.8
119.7
121.1

2.6
2.3
3.2
4.0

81.4
94.6
97.8
100.3

-18.0
-8.2
2.4
10.1

66.9
74.2
78.8
78.4

2010

I
II
IIIP

122.7
124.6
127.5

5.1
5.8
6.5

97.7
106.5
100.8

20.0
12.6
3.1

80.5
83.0
82.6

2008 1
2
3
4
5
6
7
8
9
10
11
12

113.8
113.8
113.9
114.3
115.4
115.7
115.7
116.0
116.2
116.3
116.3
116.7

6.2
5.9
5.8
5.9
6.7
6.2
5.5
5.3
4.9
3.6
3.4
3.3

103.2
89.5
105.1
104.7
103.3
101.2
99.8
92.2
94.5
104.1
89.4
79.7

3.4
1.5
1.4
3.2
-0.6
-1.3
1.5
-4.6
0.7
-4.8
-16.8
-20.1

82.1
80.6
81.7
82.1
80.1
80.1
79.3
78.3
77.3
76.9
69.1
62.8

2009 1
2
3
4
5
6
7
8
9
10
11
12

116.8
116.7
117.0
117.6
117.6
118.3
119.1
119.5
120.4
120.6
120.8
121.9

2.6
2.5
2.7
2.9
1.9
2.2
2.9
3.0
3.6
3.7
3.9
4.5

73.5
79.5
91.1
93.4
92.6
97.9
98.6
91.1
103.6
99.1
100.6
101.1

-28.8
-11.2
-13.3
-10.8
-10.4
-3.3
-1.2
-1.2
9.6
-4.8
12.5
26.9

62.8
67.7
70.3
72.4
73.6
76.6
78.7
77.7
79.9
77.3
78.2
79.6

2010 1
2
3
4
5
6
7
8
9P
10P

122.1
122.4
123.6
123.8
124.8
125.1
126.7
127.7
128.2
128.3

4.5
4.9
5.6
5.3
6.1
5.7
6.4
6.9
6.5
6.4

97.4
88.4
107.2
106.6
104.8
108.2
106.8
97.8
97.9
107.3

32.5
11.2
17.7
14.1
13.2
10.5
8.3
7.4
-5.5
8.3

78.9
80.3
82.4
82.2
82.8
84.0
84.8
81.5
81.5
79.5

P: Preliminary
Source: Statistics Korea

Economic Bulletin

57

4. Consumer goods sales index See graphs 2-2, 2-3, 2-4 & 2-5
(constant prices, 2005 = 100)

Period

2008
2009

Consumer
goods
sales
index

Y-o-Y
change (%)

Durable
goods

Y-o-Y
change (%)

Semi-durable
goods

Y-o-Y
change (%)

Non-durable
goods

Y-o-Y
change (%)

110.6
113.5

1.1
2.6

126.4
136.7

1.6
8.1

104.9
105.2

-3.0
0.3

110.0
111.3

1.4
1.2

2008

I
Il
III
IV

111.5
111.7
108.8
110.4

4.5
2.9
1.4
-4.2

129.9
134.1
125.8
115.7

8.7
8.0
-0.1
-9.6

103.6
107.2
94.0
115.0

4.0
-2.7
0.3
-10.7

109.2
108.8
112.3
109.5

2.3
1.3
1.5
0.2

2009

I
II
III
IV

106.3
113.4
111.9
122.3

-4.7
1.5
2.8
10.8

114.4
141.8
135.7
154.9

-11.9
5.7
7.9
33.9

102.0
106.6
93.3
118.9

-1.5
-0.6
-0.7
3.4

107.7
109.3
114.4
114.0

-1.4
0.5
1.9
4.1

2010

I
II
IIIP

116.8
118.9
120.1

9.9
4.9
7.3

148.1
149.4
158.3

29.5
5.4
16.7

104.8
114.0
100.0

2.7
6.9
7.2

111.3
113.1
117.7

3.3
3.5
2.9

2008 1
2
3
4
5
6
7
8
9
10
11
12

111.7
107.3
115.4
113.4
115.1
106.5
109.6
106.2
110.7
109.7
108.9
112.7

5.4
3.5
4.6
6.3
3.3
-0.7
4.2
2.2
-1.8
-3.3
-4.6
-4.8

128.3
117.8
143.6
139.1
136.0
127.1
140.7
121.5
115.2
123.9
108.9
114.4

8.1
6.1
11.4
15.6
7.9
0.6
7.9
-4.7
-3.8
-0.5
-15.3
-12.5

104.4
97.8
108.5
108.5
112.1
100.9
97.6
86.2
98.1
111.6
120.3
113.1

6.7
7.2
-1.3
-2.8
-3.7
-1.8
3.5
8.8
-8.9
-10.1
-7.7
-14.3

108.8
108.4
110.5
109.5
112.3
104.5
106.1
112.0
118.8
106.6
107.7
114.3

4.3
0.6
2.2
4.5
2.0
-2.7
1.0
2.0
1.6
-2.2
1.2
1.5

2009 1
2
3
4
5
6
7
8
9
10
11
12

108.5
100.9
109.4
108.6
117.0
114.6
110.9
106.7
118.1
120.4
119.5
127.0

-2.9
-6.0
-5.2
-4.2
1.7
7.6
1.2
0.5
6.7
9.8
9.7
12.7

103.9
115.8
123.6
123.7
144.0
157.8
138.3
122.7
146.0
144.7
153.2
166.8

-19.0
-1.7
-13.9
-11.1
5.9
24.2
-1.7
1.0
26.7
16.8
40.7
45.8

102.6
96.1
107.4
108.3
112.1
99.4
94.3
85.6
100.1
114.9
120.7
121.2

-1.7
-1.7
-1.0
-0.2
0.0
-1.5
-3.4
-0.7
2.0
3.0
0.3
7.2

114.8
99.0
109.2
107.1
113.0
107.8
111.1
112.9
119.1
116.8
109.3
116.0

5.5
-8.7
-1.2
-2.2
0.6
3.2
4.7
0.8
0.3
9.6
1.5
1.5

2010

116.0
114.1
120.2
116.5
121.3
118.9
120.5
116.6
123.3
125.4

6.9
13.1
9.9
7.3
3.7
3.8
8.7
9.3
4.5
4.2

145.6
140.1
158.6
144.1
146.7
157.5
163.8
154.3
156.9
165.2

40.1
21.0
28.3
16.5
1.9
-0.2
18.4
25.8
7.5
14.2

107.3
98.6
108.5
112.7
120.5
108.9
103.1
89.6
107.3
129.4

4.6
2.6
1.0
4.1
7.5
9.6
9.3
4.7
7.2
12.6

108.8
112.2
112.8
110.6
116.2
112.4
114.9
116.5
121.6
111.3

-5.2
13.3
3.3
3.3
2.8
4.3
3.4
3.1
2.1
-4.7

1
2
3
4
5
6
7
8
9P
10P

P: Preliminary
Source: Statistics Korea

58

December 2010

5. Consumer goods shipment index and consumer sentiment index
See graph 2-6

Period

2008
2009

Domestic consumer
goods shipment index
(2005=100)
Y-o-Y
change (%)

Durable
goods

Y-o-Y
change (%)

Non-durable
goods

Y-o-Y
change (%)

Consumer
sentiment index

114.8
115.5

1.6
0.6

126.8
133.9

1.8
5.6

109.9
108.1

1.4
-1.6

-

2008

I
II
III
IV

117.5
115.7
113.8
111.9

5.8
4.2
2.2
-5.7

133.3
136.5
123.0
114.4

11.3
11.4
0.1
-13.9

111.1
107.4
110.1
111.0

3.3
0.9
3.2
-1.8

-

2009

I
II
III
IV

106.7
114.1
118.8
122.5

-9.2
-1.4
4.4
9.5

112.7
138.0
138.0
147.0

-15.5
1.1
12.2
28.5

104.3
104.5
111.1
112.6

-6.1
-2.7
0.9
1.4

-

2010

I
II
III

117.6
119.2
120.7

10.2
4.5
1.6

136.1
139.7
139.1

20.8
1.2
0.8

110.2
111.0
113.3

5.7
6.2
2.0

-

2008 1
2
3
4
5
6
7
8
9
10
11
12

125.4
106.5
120.6
119.8
115.7
111.7
117.8
111.7
112.0
119.7
107.0
109.1

9.1
2.1
5.7
7.3
2.4
2.9
7.4
-1.1
0.6
-1.6
-9.3
-6.3

132.6
123.1
144.2
144.2
136.9
128.5
134.3
118.6
116.1
127.7
111.0
104.4

12.4
8.3
12.8
20.3
9.3
5.0
8.0
-5.1
-2.8
-6.4
-15.8
-19.8

122.5
99.8
111.1
110.1
107.2
105.0
111.1
108.9
110.3
116.6
105.4
111.0

7.8
-0.7
2.3
1.7
-0.7
2.0
6.9
0.7
2.1
0.8
-6.2
0.1

84
96
96
88
84
81

2009 1
2
3
4
5
6
7
8
9
10
11
12

106.4
102.7
110.9
111.3
112.7
118.2
118.1
110.0
128.2
120.2
118.8
128.4

-15.2
-3.6
-8.0
-7.1
-2.6
5.8
0.3
-1.5
14.5
0.4
11.0
17.7

98.6
115.1
124.4
119.1
138.9
156.1
144.3
124.6
145.0
138.8
146.0
156.1

-25.6
-6.5
-13.7
-17.4
1.5
21.5
7.4
5.1
24.9
8.7
31.5
49.5

109.5
97.7
105.6
108.2
102.2
103.0
107.7
104.2
121.5
112.7
107.9
117.3

-10.6
-2.1
-5.0
-1.7
-4.7
-1.9
-3.1
-4.3
10.2
-3.3
2.4
5.7

84
85
84
98
105
106
109
114
114
117
113
113

2010 1
2
3
4
5
6
7
8
9
10
11

122.3
109.5
121.0
119.5
116.3
121.9
121.3
119.1
121.8
126.1
-

14.9
6.6
9.1
7.4
3.2
3.1
2.7
8.3
-5.0
4.9
-

135.5
129.1
143.8
135.2
135.5
148.5
146.1
134.0
137.3
145.9
-

37.4
12.2
15.6
13.5
-2.4
-4.9
1.2
7.5
-5.3
5.1
-

117.0
101.7
111.9
113.2
108.7
111.2
111.3
113.2
115.5
118.2
-

6.8
4.1
6.0
4.6
6.4
8.0
3.3
8.6
-4.9
4.9
-

113
111
110
110
111
112
112
110
109
108
110

Source: Statistics Korea & The Bank of Korea

Economic Bulletin

59

6. Machinery orders received, domestic machinery shipment
and estimated facility investment index See graph 3-2
Domestic machinery orders received
excluding ship (billion won, constant prices)
Period

2009

Estimated
facility investment
index
(2005=100)

Domestic
machinery
shipment
excluding ship
(2005=100)

Total

Public

Private

20,718

3,735

16,983

9,111

109.3

110.4

Manufacturing

2009

I
ll
III
IV

5,033
4,942
5,591
5,152

932
696
1,345
763

4,101
4,246
4,246
4,389

1,992
2,212
2,321
2,586

97.0
110.4
107.7
122.2

98.7
112.7
107.5
122.6

2010

I
ll
IIIP

5,563
6,136
5,549

525
409
374

5,038
5,727
5,175

2,956
3,509
3,012

121.7
137.5
137.5

119.6
148.1
140.0

2009 7
8
9
10
11
12

2,494
1,340
1,757
1,541
1,942
1,669

1,073
71
200
84
433
246

1,421
1,268
1,557
1,458
1,509
1,422

754
653
914
836
941
810

101.9
100.7
120.4
112.4
121.4
132.9

107.5
98.2
116.8
109.1
116.3
142.3

2010

1,752
1,630
2,181
1,823
2,168
2,145
2,017
1,697
1,835
1,727

169
107
249
127
122
160
105
102
167
99

1,583
1,523
1,932
1,696
2,046
1,986
1,912
1,595
1,668
1,628

1,010
880
1,065
1,053
1,331
1,125
1,070
911
1,031
966

107.6
114.5
142.9
131.9
133.0
147.6
136.4
141.4
134.7
123.9

111.6
105.7
141.5
143.1
145.7
155.4
144.0
137.2
138.8
135.6

1
2
3
4
5
6
7
8
9P
10P

Y-o-Y change (%)
2009

-11.8

61.7

-19.9

-27.2

-8.2

-5.2

2009

I
ll
III
IV

-35.5
-17.7
3.4
20.0

150.8
29.9
280.2
-27.2

-44.8
-22.3
-16.0
35.2

-59.1
-27.6
-19.4
51.5

-18.3
-12.9
-9.9
10.0

-12.7
-8.0
-6.4
6.4

2010

I
ll
IIIP

10.5
24.2
-0.7

-43.7
-41.2
-72.2

22.9
34.9
21.9

48.4
58.6
29.8

25.5
24.5
27.7

21.2
31.4
30.2

2009 7
8
9
10
11
12

6.1
-19.6
26.5
-7.9
56.2
21.2

498.5
-17.4
127.5
-79.0
110.1
-44.5

-34.6
-19.7
19.7
14.3
45.5
52.4

-38.1
-30.7
27.3
16.5
74.6
79.5

-18.3
-15.6
5.3
-0.5
10.1
20.8

-10.9
-9.9
1.6
-5.3
4.0
20.1

2010

11.2
-3.1
22.9
25.1
57.5
1.8
-19.1
26.6
4.5
12.1

-27.1
-79.4
37.2
39.0
26.8
-68.6
-90.2
42.5
-16.2
18.5

17.8
30.9
21.3
24.2
59.8
24.1
34.6
25.8
7.1
11.7

41.4
65.7
42.7
57.0
102.3
27.3
42.0
39.6
12.7
15.6

20.9
19.5
34.7
25.6
24.3
23.9
33.9
40.4
11.9
10.2

31.0
8.1
25.1
29.0
39.8
26.3
34.0
39.6
18.8
24.3

1
2
3
4
5
6
7
8
9P
10P

P: Preliminary
Source: Statistics Korea

60

December 2010

7. Value of construction completed and domestic construction
orders received See graphs 4-2 & 4-3

(current prices, billion won)

Period

Type of order

Private

Public

Private

32,393

52,562

107,011

50,771

51,914

Public

89,863

2009

Type of order

Domestic
construction
orders received
(total)

Value of
construction
completed
(total)

2009

I
ll
llI
lV

19,130
23,628
22,106
25,000

6,570
8,665
7,875
9,284

11,544
13,577
13,029
14,412

18,104
26,392
19,719
42,795

9,219
17,747
8,826
14,980

8,263
7,760
9,971
25,920

2010

I
ll
llIP

20,066
24,196
22,737

7,317
9,171
8,181

11,870
14,011
13,497

16,848
24,649
18,737

7,646
6,746
6,648

8,335
16,453
11,249

2009

7
8
9
10
11
12

6,988
6,719
8,398
7,301
8,060
9,639

2,362
2,427
3,085
2,585
2,780
3,919

4,252
3,929
4,848
4,354
4,854
5,204

6,009
4,660
9,050
10,570
14,538
17,688

3,314
1,756
3,756
4,700
5,101
5,179

2,398
2,807
4,766
5,616
8,853
11,451

2010

1
2
3
4
5
6
7
8
9P
10P

6,414
6,051
7,602
7,355
7,784
9,057
7,635
7,420
7,682
7,117

2,222
2,236
2,859
2,623
2,858
3,690
2,798
2,610
2,774
2,714

3,924
3,589
4,357
4,473
4,564
4,973
4,495
4,488
4,514
4,054

6,643
4,615
5,590
6,418
8,354
9,877
7,346
4,010
7,381
4,274

2,286
2,109
3,252
1,735
1,613
3,398
3,830
1,251
1,567
1,173

4,074
2,163
2,099
4,356
6,521
5,576
3,315
2,640
5,293
2,989

Y-o-Y change (%)
2009

3.3

21.2

-5.7

3.0

60.9

-21.9

2009

I
ll
llI
lV

4.3
6.4
-1.2
3.7

24.5
31.9
21.3
10.7

-5.3
-5.9
-11.8
0.4

-12.0
-1.1
7.6
11.6

33.1
182.9
78.9
11.6

-37.3
-60.2
-14.3
17.3

2010

I
ll
llIP

4.9
2.4
2.9

11.4
5.8
3.9

2.8
3.2
3.6

-6.9
-6.6
-5.0

-17.1
-62.0
-24.7

0.9
112.0
12.8

2009

7
8
9
10
11
12

-2.8
-8.2
6.8
-5.9
3.2
12.9

16.6
14.1
31.9
3.5
8.1
18.3

-11.6
-18.9
-5.4
-10.1
1.7
9.8

-1.8
-27.0
55.3
28.8
78.8
-19.6

135.8
6.7
99.6
90.8
63.3
-33.9

-42.7
-36.6
57.4
16.2
92.5
-9.6

2010

1
2
3
4
5
6
7
8
9P
10P

5.8
-0.8
9.2
-1.1
7.8
1.0
9.3
10.4
-8.5
-2.5

3.4
9.6
20.1
-0.5
10.0
7.5
18.4
7.5
-10.1
5.0

8.3
-4.3
4.5
1.3
8.5
0.4
5.7
14.2
-6.9
-6.9

17.1
-6.7
-25.3
-14.6
16.8
-15.8
22.2
-13.9
-18.4
-59.6

-14.7
-23.5
-14.0
-69.8
-63.6
-55.1
15.6
-28.8
-58.3
-75.1

49.4
4.7
-39.5
192.8
151.2
51.7
38.2
-5.9
11.1
-46.8

P: Preliminary
Source: Statistics Korea

Economic Bulletin

61

8. Composite indices of business cycle indicators and BSI
See graphs 13-1, 13-2 & 13-3

Y-o-Y
change (%)

Coincident
index
(2005=100)

Cycle of
coincident
index
(2005=100)

BSI (results)

BSI (prospects)

109.1
110.0
110.4
111.1
111.4
112.3
113.3
114.0
114.7
115.4
116.2
116.6

5.3
5.8
5.8
6.0
5.8
6.2
6.7
7.0
7.1
7.2
7.4
7.2

110.7
111.1
111.7
112.3
112.9
113.8
114.7
115.5
115.7
116.2
116.9
118.0

101.3
101.3
101.4
101.5
101.6
101.9
102.4
102.6
102.3
102.4
102.6
103.1

85.6
87.5
109.4
105.8
104.1
100.2
95.8
94.4
101.5
108.3
106.0
98.9

96.5
93.4
112.3
107.7
110.9
105.6
99.3
102.5
111.8
116.3
112.4
103.4

2008 1
2
3
4
5
6
7
8
9
10
11
12

116.3
115.6
115.2
115.1
115.1
114.6
114.0
113.8
113.6
112.7
111.1
110.4

6.3
5.0
3.9
3.2
2.6
1.5
0.5
-0.1
-0.7
-1.8
-3.4
-4.2

119.1
119.3
119.7
119.7
119.9
119.7
119.9
120.2
120.5
120.3
118.7
116.0

103.6
103.4
103.3
102.8
102.6
102.0
101.8
101.6
101.4
100.8
99.1
96.4

95.2
95.6
101.1
101.7
98.1
79.1
80.8
83.1
76.8
64.6
53.7
52.4

103.0
94.8
102.1
98.1
104.7
95.3
83.2
80.8
98.3
84.9
63.7
55.0

2009 1
2
3
4
5
6
7
8
9
10
11
12

110.8
112.2
113.5
115.4
117.6
120.3
122.1
123.2
123.9
124.7
126.1
127.0

-3.9
-2.6
-1.4
0.4
2.7
5.5
7.6
8.8
9.6
10.3
11.3
11.6

113.7
113.9
115.3
117.3
118.4
120.5
121.8
122.8
123.6
124.1
124.7
125.2

94.1
93.9
94.6
95.9
96.3
97.7
98.3
98.7
98.9
98.9
99.0
98.9

58.1
62.4
89.0
93.7
100.9
96.6
98.5
96.0
110.5
107.5
103.8
104.8

52.0
66.0
76.1
86.7
103.8
100.2
98.7
99.8
117.0
116.5
109.0
105.9

2010 1
2
3
4
5
6
7
8
9
10
11

127.4
127.1
127.3
127.1
127.7
128.2
129.3
129.6
129.6
128.7
-

11.3
10.3
9.7
8.6
7.9
7.1
6.8
5.9
4.9
3.4
-

126.2
127.7
128.9
130.1
131.0
132.0
133.2
133.6
133.0
131.8
-

99.3
100.0
100.6
101.1
101.4
101.7
102.2
102.1
101.2
99.9
-

99.2
98.7
113.1
108.9
111.9
109.4
105.0
98.6
104.1
104.3
-

103.1
102.3
116.2
111.2
113.4
108.9
107.3
100.7
111.1
113.1
107.1

Period

Leading
index
(2005=100)

2007 1
2
3
4
5
6
7
8
9
10
11
12

Source: Statistics Korea & The Federation of Korean Industries

62

December 2010

9. Balance of payments (I) See graphs 5-1, 5-2, 5-3, 10-1 & 10-2
(million US$)

Period

2008
2009 P

Current
balance

Goods
trade
balance

Exports

-5,776.3
42,667.6

5,669.1
56,127.6

Imports

Services
trade
balance

Income
trade
balance

Current
transfers

432,922.3
373,584.4

427,253.2
317,456.8

-16,671.5
-17,202.7

5,900.0
4,553.6

-673.9
-810.9

2008

I
II
III
IV

-4,866.4
-411.5
-8,329.7
7,831.3

-1,375.4
5,526.4
-3,230.5
4,748.6

102,961.2
118,051.3
116,966.7
94,943.1

104,336.6
112,524.9
120,197.2
90,194.5

-4,936.9
-4,460.5
-5,837.8
-1,436.3

1,979.7
-521.1
1,503.3
2,938.1

-533.8
-956.3
-764.7
1,580.9

2009P

I
II
III
IV

8,618.2
13,097.4
10,395.5
10,556.5

8,308.8
17,576.0
14,702.5
15,540.3

78,176.9
89,680.9
98,686.7
107,039.9

69,868.1
72,104.9
83,984.2
91,499.6

-1,926.2
-4,167.7
-5,334.5
-5,774.3

922.3
292.7
1,690.7
1,647.9

1,313.3
-603.6
-663.2
-857.4

2010P

I
II
III

1,335.2
10,337.9
11,956.7

7,434.7
15,710.4
16,535.9

103,630.6
120,708.6
121,915.8

96,195.9
104,998.2
105,379.9

-6,041.0
-4,165.9
-5,244.5

756.0
-753.5
1,555.1

-814.5
-453.1
-889.8

2008

1
2
3
4
5
6
7
8
9
10
11
12

-2,343.6
-2,372.0
-150.8
-1,578.8
-566.7
1,734.0
-2,433.9
-4,676.2
-1,219.6
4,644.8
2,408.2
778.3

-935.1
-524.2
83.9
1,733.1
367.0
3,426.3
487.2
-2,926.8
-790.9
2,102.2
1,230.4
1,416.0

34,445.6
31,567.9
36,947.7
39,062.4
38,394.7
40,594.2
42,237.5
36,506.8
38,222.4
38,026.7
29,504.0
27,412.4

35,380.7
32,092.1
36,863.8
37,329.3
38,027.7
37,167.9
41,750.3
39,433.6
39,013.3
35,924.5
28,273.6
25,996.4

-1,957.3
-2,205.7
-773.9
-1,072.9
-1,215.3
-2,172.3
-2,719.6
-1,962.9
-1,155.3
180.5
-70.0
-1,546.8

840.3
792.3
347.1
-1,914.2
563.5
829.6
350.0
427.4
725.9
1,590.6
757.4
590.1

-291.5
-434.4
192.1
-324.8
-281.9
-349.6
-551.5
-213.9
0.7
771.5
490.4
319.0

2009P 1
2
3
4
5
6
7
8
9
10
11
12

-1,612.3
3,585.8
6,644.7
4,274.1
3,442.6
5,380.7
4,419.5
1,922.1
4,053.9
4,757.3
4,277.7
1,521.5

-1,762.2
3,100.1
6,970.9
6,105.2
4,872.3
6,598.5
6,114.5
3,319.5
5,268.5
5,675.1
5,842.3
4,022.9

22,511.2
25,260.2
30,405.5
30,244.4
27,881.1
31,555.4
33,522.2
30,242.6
34,921.9
35,886.4
34,807.8
36,345.7

24,273.4
22,160.1
23,434.6
24,139.2
23,008.8
24,956.9
27,407.7
26,923.1
29,653.4
30,211.3
28,965.5
32,322.8

-710.5
-540.4
-675.3
-1,117.3
-1,524.4
-1,526.0
-1,898.0
-1,803.4
-1,633.1
-1,312.6
-1,662.7
-2,799.0

596.4
510.5
-184.6
-803.1
389.6
706.2
511.1
617.7
561.9
559.4
390.0
698.5

264.0
515.6
533.7
89.3
-294.9
-398.0
-308.1
-211.7
-143.4
-164.6
-291.9
-400.9

2010 P 1
2
3
4
5
6
7
8
9
10

-630.8
167.6
1,798.4
1,421.6
3,818.4
5,097.9
5,817.3
2,185.7
3,953.7
5,372.7

1,376.4
1,557.9
4,500.4
5,124.4
4,171.4
6,414.6
7,160.4
3,806.5
5,569.0
6,542.7

32,080.5
31,987.1
39,563.0
40,457.5
38,657.1
41,594.0
42,899.3
38,763.8
40,252.7
42,906.3

30,704.1
30,429.2
35,062.6
35,333.1
34,485.7
35,179.4
35,738.9
34,957.3
34,683.7
36,363.6

-2,164.4
-1,777.9
-2,098.7
-1,850.8
-642.7
-1,672.4
-1,497.0
-1,783.7
-1,963.8
-1,685.1

465.4
547.9
-257.3
-1.378.3
298.3
326.5
437.3
608.8
509.0
756.0

-308.2
-160.3
-346.0
-473.7
-8.6
29.2
-283.4
-445.8
-160.5
-240.9

P: Preliminary
Source: The Bank of Korea & Korea Customs Service

Economic Bulletin

63

10. Balance of payments (II) See graph 10-3
(million US$)
Changes in
reserve
assets

Capital &
financial
account

Direct
investment

Portfolio
investment

Financial
derivative

-50,083.6
26,447.9

-15,632.6
-9,065.8

-2,405.6
50,681.6

-14,769.9
-5,538.1

-17,384.8
-10,817.1

109.3
1,187.3

56,446.0
-69,061.1

-586.1
-54.4

I
ll
III
IV

1,990.3
-3,160.7
-6,286.4
-42,626.8

-5,781.5
-4,140.0
-3,661.1
-2,050.0

-4,401.5
8,356.7
-9,421.3
3,060.5

-1,249.5
-1,240.7
-3,550.4
-8,729.3

13,533.2
-5,909.9
10,564.1
-35,572.2

-110.4
-226.8
-217.7
664.2

3,850.0
5,717.7
12,883.1
33,995.2

-973.9
-2,145.5
1,733.0
800.3

2009P I
II
III
IV

-1,399.2
8,682.0
14,399.1
4,766.0

-2,045.4
-172.1
-2,137.6
-4,710.7

3,532.3
16,740.2
19,914.7
10,494.4

-4,893.6
-614.9
-1,296.5
1,266.9

1,282.5
-7,566.0
-2,258.0
-2,275.6

725.0
294.8
176.5
-9.0

-9,017.4
-19,541.8
-23,886.9
-16,615.0

1,798.4
-2,237.6
-907.7
1,292.5

2010P I
II
III

5,713.7
-4,714.0
-27.8

-2,645.7
-2,235.2
-6,747.9

10,547.5
6,789.0
14,496.2

407.9
-1,144.7
-360.1

-2,420.4
-8,150.2
-7,447.1

-175.6
27.1
31.1

-6,863.3
-5,600.2
-10,411.5

-185.6
-23.7
-1,517.4

2008 1
2
3
4
5
6
7
8
9
10
11
12

1,171.9
202.3
616.1
-835.4
-113.8
-2,211.5
-6,014.3
5,113.2
-5,385.3
-23,462.3
-13,488.5
-5,676.0

-3,002.7
-90.9
-2,687.9
-2,561.0
-683.4
-895.6
-1,465.4
-1,428.7
-767.0
-978.9
-615.2
-455.9

-949.8
-3,144.5
-307.2
4,093.1
9,168.1
-4,904.5
-7,025.3
-343.4
-2,052.6
5,004.0
-2,524.0
580.5

-130.4
-298.1
-821.0
-560.3
-627.6
-52.8
-551.2
-69.3
-2,929.9
-3,888.3
-1,347.1
-3,493.9

5,313.5
3,750.7
4,469.0
-1,720.5
-7,921.8
3,732.4
3,204.5
7,062.4
297.2
-23,952.6
-9,215.7
-2,403.9

-58.7
-14.9
-36.8
-86.7
-49.1
-91.0
-176.9
-107.8
67.0
353.5
213.5
97.2

1,436.1
1,703.1
710.8
2,411.3
2,264.6
1,041.8
9,171.4
-1,215.2
4,926.9
19,988.1
10,904.2
3,102.9

-264.4
466.6
-1,176.1
2.9
-1,584.1
-564.3
-723.2
778.2
1,678.0
-1,170.6
176.1
1,794.8

2009P 1
2
3
4
5
6
7
8
9
10
11
12

4,655.2
-3,216.5
-2,837.9
2,193.3
6,707.8
-219.1
2,200.5
5,296.9
6,901.7
1,582.9
1,544.2
1,638.9

-538.7
-785.8
-720.9
112.4
-574.5
290.0
-1,323.9
-276.1
-537.6
-509.0
-2,835.0
-1,366.7

5,678.8
161.4
-2,307.9
7,133.0
4,263.5
5,343.7
7,940.1
4,063.5
7,911.1
6,130.5
3,389.4
974.5

-248.5
-2,312.2
-2,323.9
-679.8
1,341.1
-1,276.2
-272.7
-721.0
-302.8
-572.9
848.7
991.1

-379.9
-609.6
2,272.0
-4,532.5
1,586.6
-4,620.1
-4,379.0
2,177.0
-56.0
-3,477.9
193.9
1,008.4

143.5
338.7
242.8
160.2
91.1
43.5
236.0
53.5
-113.0
12.2
-52.8
31.6

-4,488.6
-1,260.0
-3,268.8
-5,444.1
-10,248.6
-3,849.1
-5,573.6
-7,095.2
-11,218.1
-7,966.2
-5,637.4
-3,011.4

1,445.7
890.7
-538.0
-1,023.3
98.2
-1,312.5
-1,046.4
-123.8
262.5
1,626.0
-184.5
-149.0

2010 P 1
2
3
4
5
6
7
8
9
10

4,631.0
-433.0
1,515.7
8,557.3
-12,037.5
-1,233.8
201.2
-395.8
166.8
-3,957.4

-1,679.9
-763.5
-202.3
-1.216.1
-548.7
-470.4
-1,899.6
-1,249.5
-3,598.8
-6,130.5

316.0
2,442.1
7,789.4
5,496.5
-592.6
1,885.1
8,676.4
1,413.6
4,406.2
7,447.3

49.8
254.5
103.6
-250.2
-445.5
-449.0
-80.0
92.6
-372.7
-100.6

6,015.1
-2,322.9
-6,112.6
4,647.6
-10,522.0
-2,245.8
-6,495.4
-517.9
-241.3
-5,125.5

-70.0
-43.2
-62.4
-120.5
101.3
46.3
-0.2
57.9
-26.6
-48.1

-5,250.9
714.7
-2,327.1
-9,290.2
7,083.3
-3,393.3
-6,020.9
-1,511.0
-2,879.6
-2,658.6

1,250.7
-449.3
-987.0
-688.7
1,135.8
-470.8
2.4
-278.9
-1,240.9
1,243.3

Period

2008
2009P
2010P
2008

P: Preliminary
Source: The Bank of Korea

64

December 2010

Capital transfers
Other
& acquisition of
investment non-financial
assets

Errors and
omissions

11. Prices See graphs 11-1, 11-2 & 11-3
(2005 = 100)
Producer prices
(2005=100)

Consumer prices

Export & import prices

Period
All Items

Commodity

Service

Core

All items

Commodity

Export

Import

2008
2009

109.7
112.8

109.9
113.6

109.6
112.2

108.6
112.5

111.1
110.9

112.5
111.9

109.5
109.2

143.7
137.7

2008 7
8
9
10
11
12

111.2
111.0
111.1
111.0
110.7
110.7

112.9
112.2
112.1
111.7
110.3
110.2

110.1
110.3
110.4
110.6
110.9
111.0

109.2
109.4
109.9
110.1
110.4
110.9

115.5
115.2
114.8
114.4
111.8
109.9

118.1
117.6
117.0
116.7
113.3
110.9

112.1
110.5
115.6
124.5
120.4
115.0

156.8
149.9
153.4
159.7
149.1
140.6

2009 1
2
3
4
5
6
7
8
9
10
11
12

110.8
111.6
112.4
112.7
112.7
112.6
113.0
113.4
113.5
113.2
113.4
113.8

110.4
112.1
113.3
113.8
113.6
113.3
113.9
114.5
114.6
113.9
114.2
115.0

111.1
111.2
111.8
112.0
112.0
112.1
112.5
112.7
112.7
112.8
112.9
113.0

111.1
111.5
112.0
112.2
112.4
112.5
112.7
112.8
112.9
113.0
113.2
113.3

109.6
110.3
110.8
111.0
110.1
109.8
111.1
111.7
111.8
110.9
111.3
111.9

110.4
111.5
112.1
112.1
111.0
110.5
112.1
112.9
113.0
111.8
112.5
113.1

111.1
116.5
118.4
112.2
106.3
108.3
109.0
109.3
107.3
104.0
104.3
105.1

138.1
143.5
145.4
134.1
130.0
136.7
136.6
139.5
136.8
135.3
137.9
138.6

2010 1
2
3
4
5
6
7
8
9
10
11

114.2
114.6
115.0
115.6
115.7
115.5
115.9
116.3
117.6
117.8
117.1

115.6
116.1
116.9
118.1
118.1
117.6
118.3
119.0
121.8
122.1
120.4

113.3
113.6
113.8
114.0
114.1
114.2
114.4
114.6
114.9
115.0
114.9

112.7
113.0
113.7
114.6
115.2
114.8
114.9
115.2
116.3
116.4
116.7

113.9
114.5
115.3
116.4
117.1
116.6
116.7
117.1
118.6
118.6
118.9

103.5
104.7
104.0
103.8
106.7
109.9
109.4
107.4
106.9
105.0
-

136.9
137.6
139.2
140.9
144.7
147.6
147.0
147.4
147.4
146.1
-

2008
2009

4.7
2.8

6.2
3.4

3.7
2.4

113.4
113.6
113.7
113.9
114.2
114.4
114.6
114.8
115.1
115.1
115.2
Y-o-Y change (%)
4.2
3.6

8.6
-0.2

10.8
-0.5

21.8
-0.2

36.2
-4.1

2008 7
8
9
10
11
12

5.9
5.6
5.1
4.8
4.5
4.1

9.3
8.4
7.1
6.3
5.1
4.4

3.9
4.0
3.9
3.9
4.1
4.0

4.6
4.7
5.1
5.2
5.3
5.6

12.5
12.3
11.3
10.7
7.8
5.6

16.1
15.6
14.4
14.0
9.9
6.9

25.1
21.9
27.4
38.6
31.5
25.0

50.6
42.6
42.6
47.1
32.0
22.4

2009 1
2
3
4
5
6
7
8
9
10
11
12

3.7
4.1
3.9
3.6
2.7
2.0
1.6
2.2
2.2
2.0
2.4
2.8

3.9
5.2
5.8
5.2
3.3
1.6
0.9
2.0
2.2
2.0
3.5
4.4

3.7
3.4
2.7
2.6
2.3
2.2
2.2
2.2
2.1
2.0
1.8
1.8

5.2
5.2
4.5
4.2
3.9
3.5
3.2
3.1
2.7
2.6
2.5
2.2

4.7
4.4
3.5
1.5
-1.3
-3.1
3.8
-3.0
-2.6
-3.1
-0.4
1.8

5.7
5.5
4.3
1.6
-1.9
-4.3
-5.1
-4.0
-3.4
-4.2
-0.7
2.0

18.6
22.9
17.4
7.7
-4.1
-3.3
-2.7
-1.1
-7.2
-16.5
-13.4
-8.6

16.7
18.0
10.6
-1.8
-13.9
-11.9
-12.9
-7.0
-10.8
-15.3
-7.5
-1.4

2010 1
2
3
4
5
6
7
8
9
10
11

3.1
2.7
2.3
2.6
2.7
2.6
2.6
2.6
3.6
4.1
3.3

4.7
3.6
3.2
3.8
4.0
3.8
3.9
3.9
6.3
7.2
5.4

2.0
2.2
1.8
1.8
1.9
1.9
1.7
1.7
2.0
2.0
1.8

2.1
1.9
1.5
1.5
1.6
1.7
1.7
1.8
1.9
1.9
1.8

2.8
2.4
2.6
3.2
4.6
4.6
3.4
3.1
4.0
5.0
4.9

3.2
2.7
2.9
3.8
5.5
5.5
4.1
3.7
5.0
6.1
5.7

-6.9
-10.2
-12.2
-6.7
0.4
1.5
0.3
-1.7
-0.4
1.0
-

-0.9
-4.1
-4.3
5.1
11.3
8.0
7.5
5.7
7.8
8.1
-

Source: The Bank of Korea

Economic Bulletin

65

12. Employment See graphs 8-1, 8-2 & 8-3
Wage workers (thous.)

Economically active persons (thous.)
Period

Employed persons (thous.)

Unemployment (%)
Regular

Temporary

Daily

All industry Manufacturing S.O.C&service
2009

24,394

23,506

3,836

17,998

3.6

16,454

9,390

5,101

1,963

2009 1
2
3
4
5
6
7
8
9
10
11
12

23,709
23,667
24,062
24,456
24,658
24,927
24,756
24,525
24,630
24,655
24,625
24,063

22,861
22,742
23,110
23,524
23,720
23,967
23,828
23,620
23,805
23,856
23,806
23,229

3,895
3,842
3,813
3,846
3,846
3,836
3,802
3,761
3,810
3,858
3,855
3,872

17,663
17,539
17,701
17,899
18,016
18,251
18,210
18,048
18,155
18,130
18,267
18,104

3.6
3.9
4.0
3.8
3.8
3.9
3.7
3.7
3.4
3.2
3.3
3.5

16,053
15,953
16,076
16,353
16,484
16,736
16,589
16,479
16,687
16,690
16,790
16,555

9,102
9,194
9,174
9,227
9,316
9,340
9,383
9,472
9,606
9,628
9,603
9,632

4,982
4,862
4,941
5,051
5,076
5,281
5,255
5,117
5,151
5,170
5,256
5,074

1,969
1,897
1,961
2,076
2,092
2,115
1,952
1,890
1,931
1,892
1,931
4,860

2010 1
2
3
4
5
6
7
8
9
10

24,082
24,035
24,382
24,858
25,099
25,158
25,232
24,863
24,911
25,004

22,865
22,867
23,377
23,924
24,306
24,280
24,301
24,005
24,054
24,172

3,924
3,886
3,924
3,991
4,036
4,017
4,040
4,058
4,062
4,098

17,796
17,762
18,047
18,285
18,499
18,422
18,489
18,175
18,216
18,264

5.0
4.9
4.1
3.8
3.2
3.5
3.7
3.3
3.4
3.3

16,297
16,282
16,617
16,994
17,255
17,193
17,228
17,048
17,103
17,178

9,712
9,786
9,926
10,011
10,078
10,089
10,107
10,151
10,217
10,280

4,860
4,838
4,976
5,147
5,223
5,165
5,215
5,122
5,106
5,089

1,725
1,657
1,714
1,836
1,953
1,938
1,905
1,775
1,780
1,809

Y-o-Y change (%)
2009

0.2

-0.3

-3.2

0.5

-

1.5

4.3

0.4

-7.4

2009 1
2
3
4
5
6
7
8
9
10
11
12

-0.1
-0.2
-0.2
-0.2
-0.1
0.8
0.3
0.6
0.7
0.3
0.2
0.1

-0.4
-0.6
-0.8
-0.8
-0.9
0.0
-0.3
0.0
0.3
0.0
0.0
-0.1

-3.2
-4.4
-4.7
-3.9
-3.5
-3.9
-4.3
-3.5
-3.0
-2.2
-1.1
-0.4

0.1
0.2
-0.2
-0.2
-0.2
1.0
0.7
1.0
1.1
0.7
1.0
0.9

-

0.1
0.7
0.5
0.6
0.5
2.1
1.4
2.3
2.9
2.3
2.5
2.3

3.3
4.4
3.1
3.7
3.4
3.3
3.6
4.0
5.1
5.4
5.4
6.2

-2.6
-3.8
-1.6
-1.5
-1.7
2.9
1.8
3.0
2.7
2.7
3.7
-0.2

-6.3
-4.1
-5.4
-7.2
-6.2
-4.5
-9.1
-6.7
-6.5
-11.7
-12.0
-9.3

2010 1
2
3
4
5
6
7
8
9
10

1.6
1.6
1.3
1.6
1.8
0.9
1.9
1.3
1.1
1.4

0.0
0.5
1.2
1.7
2.5
1.3
2.0
1.6
1.0
1.3

0.8
1.2
2.9
3.8
4.9
4.7
6.2
7.9
6.6
6.2

0.8
1.3
2.0
2.2
2.7
0.9
1.5
0.7
0.3
0.7

-

1.5
2.1
3.4
3.9
4.7
2.7
3.9
3.5
2.5
2.9

6.7
6.4
8.2
8.5
8.2
8.0
7.7
7.2
6.4
6.8

-2.4
-0.5
0.7
1.9
2.9
-2.2
-0.8
0.1
-0.9
-1.6

-12.4
-12.6
-12.6
-11.5
-6.6
-8.4
-2.4
-6.1
-7.8
-4.4

Source: Statistics Korea

66

December 2010

13. Financial indicators See graphs 9-1 & 9-4
(period average)
Yields (%)

Stock

Period
Call rate
(1 day)

CD
(91 days)

Corporate bonds
(3 years, AA-)

Treasury bonds
(3 years)

Treasury bonds
(5 years)

KOSPI
(end-period)

2006 1
2
3
4
5
6
7
8
9
10
11
12

3.7
3.9
4.0
4.0
4.0
4.2
4.2
4.4
4.5
4.5
4.5
4.5

4.2
4.3
4.3
4.3
4.4
4.5
4.6
4.7
4.6
4.6
4.6
4.8

5.5
5.3
5.3
5.2
5.1
5.2
5.2
5.1
5.0
4.9
5.1
5.2

5.0
4.9
4.9
5.0
4.8
4.9
4.9
4.8
4.7
4.6
4.7
4.8

5.3
5.0
5.1
5.2
4.9
5.0
5.0
4.8
4.8
4.7
4.8
4.9

1,399.80
1,371.60
1,359.60
1,419.70
1,371.70
1,295.70
1,297.80
1,352.70
1,371.40
1,364.60
1,432.20
1,434.50

2007 1
2
3
4
5
6
7
8
9
10
11
12

4.6
4.6
4.6
4.7
4.6
4.5
4.7
4.9
5.0
5.0
5.0
5.0

4.9
5.0
4.9
5.0
5.0
5.0
5.1
5.2
5.3
5.3
5.4
5.7

5.3
5.3
5.2
5.3
5.5
5.6
5.8
5.7
5.9
6.0
6.2
6.7

5.0
4.9
4.8
4.9
5.1
5.2
5.4
5.3
5.4
5.4
5.5
5.9

5.0
4.9
4.8
5.0
5.1
5.4
5.4
5.3
5.4
5.5
5.6
5.9

1,360.20
1,417.30
1,452.60
1,542.24
1,700.91
1,743.60
1,933.27
1,873.24
1,946.48
2,064.95
1,906.00
1,897.10

2008 1
2
3
4
5
6
7
8
9
10
11
12

5.0
5.0
5.0
5.0
5.0
5.0
5.0
5.2
5.2
4.9
4.0
3.3

5.8
5.3
5.3
5.4
5.4
5.4
5.5
5.8
5.8
6.0
5.6
4.7

6.6
6.3
6.1
5.9
6.2
6.7
7.0
7.1
7.5
8.0
8.6
8.4

5.4
5.1
5.2
5.0
5.3
5.7
6.0
5.8
5.8
5.1
5.0
4.0

5.5
5.1
5.2
5.0
5.4
5.8
6.0
5.8
5.8
5.2
5.2
4.3

1,624.68
1,711.62
1,703.99
1,825.47
1,852.02
1,674.92
1,594.67
1,474.24
1,448.06
1,113.06
1,076.07
1,124.47

2009 1
2
3
4
5
6
7
8
9
10
11
12

2.4
2.1
1.8
1.8
1.9
1.9
1.9
2.0
2.0
2.0
2.0
2.0

3.2
2.7
2.5
2.4
2.4
2.4
2.4
2.5
2.6
2.8
2.8
2.8

7.3
7.1
6.1
5.7
5.2
5.2
5.5
5.7
5.6
5.6
5.4
5.4

3.4
3.8
3.7
3.8
3.8
4.1
4.1
4.4
4.4
4.5
4.3
4.2

4.0
4.6
4.5
4.4
4.5
4.7
4.6
4.9
4.9
4.9
4.8
4.8

1,162.11
1,063.03
1,206.26
1,369.40
1,395.89
1,390.07
1,577.29
1,591.85
1,673.14
1,580.69
1,555.60
1,682.77

2010 1
2
3
4
5
6
7
8
9
10
11

2.0
2.0
2.0
2.0
2.0
2.0
2.2
2.3
2.3
2.3
2.4

2.9
2.9
2.8
2.5
2.5
2.5
2.6
2.6
2.7
2.7
2.7

5.4
5.3
5.0
4.7
4.5
4.7
4.8
4.7
4.4
4.1
4.2

4.3
4.2
3.9
3.8
3.7
3.8
3.9
3.7
3.5
3.2
3.4

4.8
4.8
4.5
4.4
4.4
4.4
4.5
4.3
3.9
3.7
4.0

1,602.43
1,594.58
1,692.85
1,741.56
1,641.25
1,698.29
1,759.33
1,742.75
1,872.81
1,882.95
1,904.63

Source: The Bank of Korea

Economic Bulletin

67

14. Monetary indicators See graph 9-5
(period average)

Period

(billion won)

Reserve money

M1

M2

Lf

2008
2009

52,272.8
61,739.6

307,273.6
357,344.1

1,367,713.4
1,508,550.4

1,794,841.2
1,937,336.0

2009 1
2
3
4
5
6
7
8
9
10
11
12

64,040.6
63,061.7
65,669.5
61,379.9
60,082.5
59,530.3
59,420.2
60,570.3
59,650.3
63,681.7
61,154.5
62,633.2

331,358.0
334,521.7
342,777.0
350,446.0
355,922.0
362,111.3
363,421.4
361,012.4
367,070.3
371,531.7
370,979.7
376,977.3

1,440,275.8
1,457,931.3
1,470,443.1
1,482,009.7
1,491,542.7
1,501,898.3
1,512,822.5
1,524,879.7
1,535,279.8
1,551,319.5
1,564,175.8
1,570,027.1

1,868,843.3
1,879,102.7
1,889,071.5
1,897,923.7
1,913,084.5
1,925,418.1
1,940,223.0
1,956,130.6
1,972,408.5
1,990,372.5
2,000,503.6
2,014,950.4

2010 1
2
3
4
5
6
7
8
9
10

65,054.7
66,563.8
65,643.6
64,274.7
67,835.1
66,250.8
66,958.2
67,318.7
70,266.5
69,905.0

381,218.2
387,858.6
386,015.4
388,174.7
394,880.2
400,132.8
403,785.1
400,882.5
403,413.5
405,000.1

1,574,215.8
1,595,403.8
1,607,896.1
1,621,176.9
1,630,904.7
1,647,981.2
1,653,057.5
1,653,907.2
1,659,400.1
1,669,376.6

2,019,563.5
2,041,164.1
2,056,233.7
2,069,616.1
2,084,007.4
2,104,724.0
2,111,649.2
2,113.039.3
2,123.558.2
2,134,129.5

Y-o-Y change (%)
2008
2009

7.7
18.1

-1.8
16.3

14.3
10.3

11.9
7.9

2009 1
2
3
4
5
6
7
8
9
10
11
12

27.4
20.0
32.5
21.1
19.0
16.1
17.4
16.5
11.9
20.2
12.7
5.6

8.3
9.8
14.3
17.4
17.0
18.5
18.5
18.5
19.5
19.6
17.3
16.4

12.0
11.4
11.1
10.6
9.9
9.6
9.7
10.0
10.0
10.5
9.7
9.3

9.2
8.8
8.4
7.7
7.3
7.0
7.7
8.0
7.7
7.8
7.6
8.1

2010 1
2
3
4
5
6
7
8
9
10

1.6
5.6
0.0
4.7
12.9
11.3
12.7
11.1
17.8
9.8

15.0
15.9
12.6
10.8
10.9
10.5
11.1
11.0
10.2
9.0

9.3
9.4
9.3
9.4
9.3
9.7
9.3
8.5
8.1
7.6

8.1
8.6
8.8
9.0
8.9
9.3
8.8
8.0
7.7
7.2

Source: The Bank of Korea

68

December 2010

15. Exchange rates See graphs 9-2 & 9-3

/US$

/100¥

/Euro

Period
End-period

Average

End-period

Average

End-period

Average

2008
2009

1,257.5
1,167.6

1,102.6
1,276.4

1,393.9
1,262.8

1,076.6
1,363.1

1,776.2
1,674.3

1,606.8
1,774.4

2009 1
2
3
4
5
6
7
8
9
10
11
12

1,368.5
1,516.4
1,377.1
1,348.0
1,272.9
1,284.7
1,240.5
1,244.9
1,188.7
1,200.6
1,167.4
1,167.6

1,346.1
1,429.5
1,462.0
1,341.9
1,258.7
1,261.4
1,264.0
1,238.4
1,219.2
1,175.3
1,164.2
1,166.5

1,521.0
1,541.1
1,414.8
1,382.9
1,314.1
1,336.3
1,299.2
1,332.8
1,318.8
1,312.6
1,348.3
1,262.8

1,487.2
1,546.1
1,495.7
1,356.2
1,304.5
1,305.5
1,338.1
1,304.3
1,332.4
1,300.8
1,304.4
1,300.8

1,768.7
1,930.1
1,816.4
1,786.8
1,772.7
1,809.3
1,745.9
1,779.1
1,734.3
1,781.3
1,751.7
1,674.3

1,793.8
1,829.9
1,904.0
1,771.6
1,719.1
1,767.8
1,778.8
1,776.3
1,774.2
1,742.9
1,736.6
1,703.7

2010 1
2
3
4
5
6
7
8
9
10
11

1,156.5
1,158.4
1,130.8
1,115.5
1,200.2
1,210.3
1,187.2
1,189.1
1,142.0
1,126.6
1,157.3

1,138.8
1,157.1
1,137.6
1,117.1
1,163.1
1,212.3
1,207.3
1,179.9
1,167.0
1,123.4
1,126.2

1,287.0
1,299.3
1,217.7
1,186.8
1,318.5
1,364.6
1,370.0
1,406.0
1,363.3
1,390.7
1,373.4

1,248.3
1,281.7
1,255.8
1,195.3
1,265.2
1,333.6
1,377.7
1,380.2
1,384.2
1,371.1
1,366.6

1,614.6
1,569.2
1,518.2
1,479.3
1,474.2
1,475.4
1,552.4
1,505.9
1,556.0
1,569.3
1,518.3

1,627.5
1,584.5
1,544.9
1,501.7
1,460.7
1,480.9
1,540.3
1,523.3
1,518.7
1,559.6
1,541.3

Y-o-Y change (%)
2008
2009

34.0
-7.1

18.7
15.8

67.3
-9.4

36.3
26.6

28.6
-5.7

26.2
10.4

2009 1
2
3
4
5
6
7
8
9
10
11
12

45.0
61.8
38.9
34.8
23.4
23.1
23.0
15.1
0.1
-7.0
-21.3
-7.1

42.8
51.3
49.2
36.0
21.4
22.5
24.0
18.9
7.9
-11.4
-16.2
-15.1

71.1
73.2
41.5
43.8
34.5
36.1
39.3
34.9
15.3
0.5
-13.2
-9.4

70.4
75.6
53.8
40.9
31.2
35.6
40.2
36.9
25.6
-2.0
-9.1
-13.5

26.1
35.6
16.1
14.8
10.8
9.9
11.1
11.9
1.6
7.0
-8.4
-5.7

29.4
31.1
25.3
13.9
6.5
10.4
10.7
13.1
9.0
-1.3
-1.8
-7.7

2010 1
2
3
4
5
6
7
8
9
10
11

-15.5
-23.6
-17.9
-17.2
-5.7
-5.8
-4.3
-4.5
-3.9
-6.2
-0.9

-15.4
-19.1
-22.2
-16.8
-7.6
-3.9
-4.5
-4.7
-4.3
-4.4
-3.3

-15.4
-15.7
-13.9
-14.2
0.3
2.1
5.4
5.5
3.4
5.9
1.9

-16.1
-17.1
-16.0
-11.9
-3.0
2.2
3.0
5.8
3.9
5.4
4.8

-8.7
-18.7
-16.4
-17.2
-16.8
-18.5
-11.1
-15.4
-10.3
-11.9
-13.3

-9.3
-13.4
-18.9
-15.2
-15.0
-16.2
-13.4
-13.8
-14.4
-10.5
-11.2

Source: The Bank of Korea

Economic Bulletin

69

Editor-in-Chief
Yoon, Yeo-Kwon (MOSF)
Editorial Board
Kim, Young-Min (MOSF)
Shim, Jae-Hak (KDI)
Lee, In-Sook (KDI)
Coordinators
Kim, Dae-Hyun (MOSF)
Cho, Hyun-Joo (KDI)
Editors
Cho, Eun-Hyung (MOSF)
Kang, Ji-Eun (KDI)
Lee, Ji-Youn (KDI)

Useful Internet Websites
Economy-related Websites Recommended

Ministry of Strategy and Finance
http://english.mosf.go.kr
Ministry of Knowledge Economy
http://www.mke.go.kr/language/eng
Financial Services Commission
http://www.fsc.go.kr/eng
Financial Supervisory Service
http://english.fss.or.kr
Fair Trade Commission
http://eng.ftc.go.kr
Ministry of Labor
http://english.molab.go.kr/english
The Bank of Korea
http://www.bok.or.kr
Statistics Korea
http://kostat.go.kr

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