S. Korea's GDP shrinks 0.4% in Q1, worse than previous estimate
- 5 years ago
More discouraging news for the already struggling South Korean economy... as it saw the largest quarterly fall in GDP in the first three months of this year... since the 2008 financial crisis.
Our business correspondent Kim Hyesung reports.
South Korea's GDP shrank zero-point-four percent in the January to March period compared to the previous quarter.
That's point one percent lower than the Bank of Korea's previous estimate released in April.
It's also the largest fall since the fourth quarter of 2008.
On-year, Korea's GDP grew 1-point-seven percent.
The central bank said construction investment and exports fared worse than estimated.
Local exports plunged more than three percent on a drop in shipments of semiconductors and LCDs amid on-going U.S.-China trade tensions and slowing global demand.
According to an OECD report, South Korea's exports saw the sharpest drop among the G20 countries, recording 139 billion U.S. dollars of exports in the first quarter, down seven percent on-quarter.
Construction investment shrank zero-point-eight percent as investment in residential building construction decreased.
Facilities investment dropped nine percent, driven by decreases in machinery and transportation equipment... the sharpest fall in about a decade.
Private consumption went up slightly by point-one percent, and government consumption increased point-four percent on increased healthcare benefits.
Real gross national income fell by zero-point-three percent on-quarter to 383 billion dollars.
The Bank of Korea said to reach its growth target of two-point-five percent, the local economy will have to expand around 1-point-three percent in the second quarter, and zero-point-nine percent each for the remaining two quarters.
Kim Hyesung, Arirang News.
Our business correspondent Kim Hyesung reports.
South Korea's GDP shrank zero-point-four percent in the January to March period compared to the previous quarter.
That's point one percent lower than the Bank of Korea's previous estimate released in April.
It's also the largest fall since the fourth quarter of 2008.
On-year, Korea's GDP grew 1-point-seven percent.
The central bank said construction investment and exports fared worse than estimated.
Local exports plunged more than three percent on a drop in shipments of semiconductors and LCDs amid on-going U.S.-China trade tensions and slowing global demand.
According to an OECD report, South Korea's exports saw the sharpest drop among the G20 countries, recording 139 billion U.S. dollars of exports in the first quarter, down seven percent on-quarter.
Construction investment shrank zero-point-eight percent as investment in residential building construction decreased.
Facilities investment dropped nine percent, driven by decreases in machinery and transportation equipment... the sharpest fall in about a decade.
Private consumption went up slightly by point-one percent, and government consumption increased point-four percent on increased healthcare benefits.
Real gross national income fell by zero-point-three percent on-quarter to 383 billion dollars.
The Bank of Korea said to reach its growth target of two-point-five percent, the local economy will have to expand around 1-point-three percent in the second quarter, and zero-point-nine percent each for the remaining two quarters.
Kim Hyesung, Arirang News.