<Anchor>



Another statistic that shows that the economy is difficult these days has come out.

The current account, including exports and imports, which are the major pillars of our economy, turned into a deficit for the first time in two years.

Exports increased from last year thanks to mostly good things, including semiconductors and steel, but the problem was imports.

This is because the price of raw materials, mainly oil, has risen so much.

As the prices of raw materials and food soar internationally, not only Korea but the whole world are struggling to keep up with the soaring prices.

In order to tighten the money chain, the US has already raised interest rates, and even Europe, which had been holding out to the end, declared a base rate hike for the first time in 11 years.



By Jung Young-tae, staff reporter.



<Reporter>



Drivers shocked by oil price rise again in a week,



[Amy Kersha/British driver: Where is our money disappearing?

I think I'm already tightening my belt enough.]



Citizens surprised by the daily soaring food prices,



[Matthew Gray/Salisbury resident, UK: The prices of things in the store have doubled, tripled, or more.

It's so hard to cut down on what you eat.] It's



all a global phenomenon.



Europe is also suffering record inflation as energy and food prices rise and supply chain disruptions worsen in the aftermath of the Ukraine war.



In the end, the European Central Bank (ECB) decided to raise its benchmark interest rate for the first time in 11 years.



The base rate, which had been 0% since March 2016, was to be raised by 0.25%p next month, suggesting a larger increase in September.



[Christine Lagarde/President of the European Central Bank: (Last month) Inflation has risen considerably.

The main reasons are the soaring energy and food prices, as well as the effects of the war.]



The European Central Bank raised its inflation forecast for this year to 6.8% from 5.1%, while lowering its forecast for real economic growth from 3.7% to 2.8% .



Following the United States, Europe seems to be increasing the speed and intensity of tightening money lines, and the Bank of Korea also hinted at the possibility of an additional rate hike next month.



[Lee Chang-yong/Governor of the Bank of Korea: The difficulties of the vulnerable class may increase in the short term due to an interest rate hike, but if the timing is missed and inflation spreads further, the damage can be even greater.]



Amid growing concerns about global tightening, the US Indices, major European stock markets, and the KOSPI index fell all at once.



(Video editing: Yonghwa Jung)