South Korea posts 0.6% growth in Q3 q/q, 2% y/y: BOK
- 6 years ago
Preliminary estimates from the Bank of Korea show the domestic economy grew at a slower pace than expected during the July to September period mostly due to shrinking investment.
Kim Hyesung reports.
South Korea's economy expanded zero-point-six percent on-quarter in the third quarter, on par with second quarter growth, contracting from a one percent expansion in the first.
The Bank of Korea says, compared to the same period last year, third quarter growth expanded by two percent, the slowest pace of growth in nine years.
"Exports and consumption led growth. Final consumption spending contributed zero-point-five percentage points and exports one-point-seven percentage points to GDP growth on-quarter. But construction and facilities investment's contribution to growth recorded a negative one percent and negative zero-point-four percent."
Exports expanded by three-point-nine percent in the July to September period thanks to semiconductor exports, while imports fell slightly due to a drop in machinery imports.
Private consumption went up on growing purchases of non-durable goods like cosmetic goods and clothes.
Government consumption rose one-point-six percent on higher spending in health insurance.
But construction investment fell by six-point-four percent, mainly due to tighter housing market regulations.... marking the sharpest fall since 1998.
Facilities investment also dropped by around five percent.
Gross domestic income edged up zero-point-two percent, a turnaround from second quarter's negative zero-point-eight percent.
The third quarter GDP growth data comes a week after the Bank of Korea lowered its growth forecast for this year by two-tenths of a percentage point to two-point-seven percent.
To achieve that target, the economy would have to post higher than zero-point-eight-two percent growth in the last quarter.
Kim Hyesung, Arirang News.
Kim Hyesung reports.
South Korea's economy expanded zero-point-six percent on-quarter in the third quarter, on par with second quarter growth, contracting from a one percent expansion in the first.
The Bank of Korea says, compared to the same period last year, third quarter growth expanded by two percent, the slowest pace of growth in nine years.
"Exports and consumption led growth. Final consumption spending contributed zero-point-five percentage points and exports one-point-seven percentage points to GDP growth on-quarter. But construction and facilities investment's contribution to growth recorded a negative one percent and negative zero-point-four percent."
Exports expanded by three-point-nine percent in the July to September period thanks to semiconductor exports, while imports fell slightly due to a drop in machinery imports.
Private consumption went up on growing purchases of non-durable goods like cosmetic goods and clothes.
Government consumption rose one-point-six percent on higher spending in health insurance.
But construction investment fell by six-point-four percent, mainly due to tighter housing market regulations.... marking the sharpest fall since 1998.
Facilities investment also dropped by around five percent.
Gross domestic income edged up zero-point-two percent, a turnaround from second quarter's negative zero-point-eight percent.
The third quarter GDP growth data comes a week after the Bank of Korea lowered its growth forecast for this year by two-tenths of a percentage point to two-point-seven percent.
To achieve that target, the economy would have to post higher than zero-point-eight-two percent growth in the last quarter.
Kim Hyesung, Arirang News.