South Korea’s economy retreated in the second quarter of the year as weaker domestic demand clouded recovery prospects despite robust exports, South Korean central bank data showed Thursday.
The country’s real gross domestic product, a key measure of economic growth, contracted 0.2 percent on-quarter in the April-June period, according to preliminary data from the Bank of Korea (BOK), Yonhap reported.
The second-quarter figure compares with the 1.3 percent on-quarter expansion in the January-March period, which marked the highest since the fourth quarter in 2021, when the economy expanded 1.4 percent.
On a yearly basis, South Korea’s economy advanced 2.3 percent in the second quarter, slowing from 3.3 percent growth for the first quarter of the year.
The country’s exports climbed 0.9 percent in the second quarter, slowing from the previous quarter’s 1.8 percent gain, while imports rose 1.2 percent, shifting from a 0.4 percent dip the previous quarter.
Private spending contracted 0.2 percent on-quarter in
the April-June period, compared with a 1.3 percent advance the previous quarter, the central bank said.
For 2024, the bank expects the economy to rebound slightly, at 2.5 percent.
Source: Qatar News Agency