Corona 19 shocked the Korean economy in the second quarter of this year by more than 3% from the first quarter.
The Bank of Korea announced today (on the 23rd) that the real GDP growth rate (breaking news) in the second quarter of this year was -3.3% compared to the previous quarter.
In addition to the first quarter (-1.3%), it was not only negative growth for two consecutive quarters, but -3.3% was the lowest in 22 years and 3 months since the first quarter of 1998 (-6.8%) during the foreign exchange crisis.
It grew by -2.9% compared to the same period last year.
This is the lowest level in 21 years and 6 months since the fourth quarter of 1998 (-3.8%).
Exports, the main pillar of our economy, were hit by the global economic downturn following Corona19.
Exports plunged 16.6%, the lowest level in 56 years and 6 months since the fourth quarter of 1963 (-24%).
Imports also fell 7.4%, mainly on crude oil.
Facility investment and construction investment also decreased by 2.9% and 1.3%, respectively, as investment in transportation equipment and building construction contracted.
However, private consumption increased 1.4% mainly from durable goods (cars, home appliances, etc.), thanks to the national emergency disaster subsidy and individual consumption tax cuts.
Government consumption also increased by 1% with increased spending on goods.
Looking at production by industry, manufacturing and agriculture, forestry and fisheries decreased by 9.7%, and service industry decreased by 1.1% due to sluggish wholesale, retail, lodging, and transportation industries.
Real gross income (GDI) also reversed, but thanks to improved trade conditions, the decline (-2%) was smaller than the real GDP growth rate (-3.3%).
'Corona shock' Q2 growth rate -3.3%… Lowest in 22 years
2020-07-22T23:51:23.238Z
Corona 19 shocked the Korean economy in the second quarter of this year by more than 3% from the first quarter. The Bank of Korea announced today that real gross domestic product in the second quarter of this year was -3.3% compared to the previous quarter.
Source: sbskr