201604

Page 1

ISSN 2287-7266

Republic of Korea

eb.kdi.re.kr

Vol.38 No.4 April 2016

conomic u l l e t i n

The Green Book: Current Economic Trends Policy Issue Government to Lift Regulations in order to Accelerate the Development of Local Growth Engines Government to improve job matching while increasing support effectiveness Revision to Duty Free Shop Licenses Focuses on Improving Competitiveness

Economic News Briefing Government to Improve Financial Support for New Growth Engines FDI Rises 19% in Q1 New York IR Reaffirms Korean Economy’s Strong Fundamentals Korea Grows 2.6% in 2015

Statistical Appendices April 2016

02



02 The Green Book: Current Economic Trends Overview

03

01. External economic situation

04

02. Private consumption

08

03. Facility investment

11

04. Construction investment

13

05. Exports and imports

15

06. Mining and manufacturing production

18

07. Service sector activity

20

08. Employment

22

09. Financial markets

26

9.1 Stock market

26

9.2 Exchange rate

27

9.3 Bond market

27

9.4 Money supply & money market

28

10. Balance of payments

30

11. Prices

32

11.1 Consumer prices

32

11.2 International oil and commodity prices

34

12. Real estate market

37

12.1 Housing market

37

12.2 Land market

39

13. Composite indices of business cycle indicators

contents

42

44 Policy Issue government to lift regulations in order to accelerate the development of local growth engines government to improve job matching while increasing support effectiveness revision to duty free shop licenses focuses on improving competitiveness

49 Economic News Briefing Government to improve financial support for new growth engines Measures to promote consumer goods exports announced FDI rises 19% in Q1 Government unveils three-track corporate restructuring plan New York IR reaffirms Korean economy’s strong fundamentals Korea proposes G20 closely cooperate to deal with reflexivity Government posts 8.7 tn won surplus in 2015 Korea grows 2.6% in 2015 (preliminary)

53 Statistical Appendices

Editor-in-Chief Kim Joo-Hoon (KDI) Jung Moo-kyung (MOSF) Editorial Board Jung Yeu-Jin (MOSF) Lee Yong-Soo (KDI) Lee Jae-Yeal (KDI) Coordinators Kim Dae-Hyun (MOSF) Lee Ji-Youn (KDI) Editors Jeon Aram (MOSF) Kim Hanul (MOSF) Kang Ji-Eun (KDI)


The Green Book: Current Economic Trends Overview

01. External economic situation

02. Private consumption 03. Facility investment 04. Construction investment 05. Exports and imports 06. Mining and manufacturing production 07. Service sector activity 08. Employment 09. Financial markets 10. Balance of payments 11. Prices 12. Real estate market 13. Composite indices of business cycle indicators 05

The Green Book : Current Economic Trends


Overview

The economy is recovering from a slowdown seen early in the year as production rebounded backed by exports which posted a slower fall compared with the previous months. Meanwhile, domestic consumption failed to pick up from the previous month’s fall. The economy added jobs at a slower rate in February, from 339,000 jobs year-on-year in the previous month to 223,000 jobs, due to a high base effect and as the job survey was conducted just after the Lunar New Year’s holiday when employment usually hits the lowest of the year. Consumer prices rose at a slower rate year-on-year in March, from 1.3 percent in the previous month to 1.0 percent, due to low petroleum product prices. Mining and manufacturing production rebounded in February from a 2.1 percent fall to a 3.3 percent rise, the highest in six years and five months, backed by strong exports (in volume) and growing demand for semiconductors following the release of new mobile phone models. In February, service output turned positive from a 1.3 percent fall to a 0.3 percent increase compared with the previous month, while retail sales failed to rebound, down 1.8 percent. Year-on-year, the two indexes improved 2.6 percent and 3.1 percent, respectively. Facility investment continued to decline in February, down 6.8 percent month-on-month, due to weak machinery investment and transportation equipment. Construction completed improved for the third consecutive month, up 1.7 percent, as both building construction and civil engineering works increased. The cyclical indicator of the coincident composite index and the cyclical indicator of the leading composite index both declined in February, each down 0.1 points. Exports continued to fall amid low international oil prices, but at a slower rate in March, from a 12.2 percent fall year-on-year in the previous month to an 8.2 percent decline, backed by strong mobile phones and steel products. In March, stock prices rose backed by foreign investors’ net purchase of Korean shares, while interest rates stayed stable. The Korean won appreciated against both the US dollar and Japanese yen. Both housing prices and Jeonse (lump-sum deposits with no monthly payments) prices stayed stable in March, as housing prices remained unchanged and the Jeonse prices grew at a slower rate, up 0.1 percent. The Korean economy has shown signs of recovery, helped by improving exports, policies to stimulate the economy, such as the extension of the luxury sales tax cut, and growing economic confidence. However delayed global economic recovery and international financial market volatility are posing risks. In order to maintain recovery momentum, the government will continue to implement its measures aimed at promoting economic innovation and structural reform, encouraging investment and accelerating job creation.

April 2016

06


The government will closely monitor internal and external economic developments as well as examine uncertainties and their possible impact on domestic financial markets, and will be prepared to make appropriate responses if necessary.

1. External economic situation

The global economic recovery remained weak, as Japan, the eurozone, China and other emerging economies continued to struggle, while US economic recovery slowed.

US

The US economy grew 1.4 percent (annualized q-o-q) in the fourth quarter, while retail sales continued to decline despite an improving labor market. Industrial production fell 0.5 percent month-on-month in February due to a weak energy sector, while the ISM Manufacturing Index for March rose above the base (50) for the first time in six months, posting 51.8. ISM Manufacturing Index (base=50) 51.9 (Jul 2015) → 51.0 (Aug) → 50.0 (Sep) → 49.4 (Oct) → 48.4 (Nov) → 48.0 (Dec) → 48.2 (Jan 2016) → 49.5 (Feb) → 51.8 (Mar)

Retail sales fell 0.1 percent month-on-month in February, declining for the second straight month, while the University of Michigan Consumer Sentiment Index continued to fall. University of Michigan Consumer Sentiment Index (1966=100) 93.1 (Jul 2015) → 91.9 (Aug) → 87.2 (Sep) → 90.0 (Oct) → 91.3 (Nov) → 92.6 (Dec) → 92.0 (Jan 2016) → 91.7 (Feb) → 91.0 (Mar) Conference Board Consumer Confidence Index (1985=100) 91.0 (Jul 2015) → 101.3 (Aug) → 102.6 (Sep) → 99.1 (Oct) → 92.6 (Nov) → 96.3 (Dec) → 97.8 (Jan 2016) → 94.0 (Feb) → 96.2 (Mar)

Existing home sales fell 7.1 percent month-on-month in February affected by a slump in the stock market in January and a blizzard on the east coast at the beginning of the year, while new home sales rose 2.0 percent. Case-Shiller Home Price Index (y-o-y, %) 4.8 (Jun 2015) → 4.9 (Jul) → 5.0 (Aug) → 5.3 (Sep) → 5.4 (Oct) → 5.7 (Nov) → 5.7 (Dec) → 5.8 (Jan 2016)

07

The Green Book : Current Economic Trends


New home sales (m-o-m, %) 1.0 (May 2015) → -8.6 (Jun) → 6.6 (Jul) → 1.4 (Aug) → -9.9 (Sep) → 5.0 (Oct) → 6.5 (Nov) → 5.7 (Dec) → -7.0 (Jan 2016) → 2.0 (Feb)

The unemployment rate rose to 5.0 percent in March as the labor force participation rate increased, while nonfarm payrolls grew by 215,000 jobs, rising by more than 200,000 jobs for the second straight month. Labor force participation rate (%) 62.6 (Jun 2015) → 62.6 (Jul) → 62.6 (Aug) → 62.4 (Sep) → 62.5 (Oct) → 62.5 (Nov) → 62.6 (Dec) → 62.7 (Jan 2016) → 62.9 (Feb) → 63.0 (Mar) Nonfarm payroll increase (m-o-m, thousands) 150 (Aug 2015) → 149 (Sep) → 295 (Oct) → 280 (Nov) → 271 (Dec) → 168 (Jan 2016) → 245 (Feb) → 215 (Mar)

(Percentage change from previous period)

2013

2014

Real GDP1

1.5

2.4

Q4 2.1

- Personal consumption expenditure

1.7

2.7

4.3

Annual Annual

Annual

2.4

Q1 0.6

3.1

1.8

2015 Q2 Q3 3.9 2.0

Q4 1.4

Dec -

3.6

2.4

-

3.0

2016 Jan Feb -

-

- Nonresidential fixed investment

3.0

6.2

0.7

2.9

1.6

4.1

2.6

-2.1

-

-

-

- Residential fixed investment

9.5

1.8

10.0

5.8

10.1

9.3

8.2

10.1

-

-

-

Industrial production

1.9

2.9

0.9

0.3

-0.5

-0.7

0.4

-0.8

-0.4

0.6

-0.5

Retail sales

3.9

3.9

0.6

2.2

-0.9

1.4

1.1

0.3

0.3

-0.4

-0.1

Existing home sales

9.1

-3.1

1.8

6.3

-0.7

4.6

2.3

-3.8

12.1

0.4

-7.1

Unemployment rate²

7.4

6.2

5.7

5.3

5.5

5.2

5.2

5.0

5.0

4.9

4.9

Consumer prices (y-o-y)

1.5

1.6

1.2

0.1

-0.1

0.0

0.1

0.4

0.7

1.4

1.0

1. Annualized rate (%) 2. Seasonally adjusted (%) Sources: US Department of Commerce, Bloomberg

US GDP growth and industrial production 10 8

Sources: US Department of Commerce, Federal Reserve Board

(%)

6 4 2 0 -2 -4 -6 -8 -10 2006.Q1

2007.Q1

GDP (q-o-q, annualized rate)

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Industrial production (q-o-q)

April 2016

08


US nonfarm payroll growth and unemployment rate Source: US Department of Labor 800

(thousands)

12

(%)

600 10 400 200

8

0 6 -200 -400

4

-600 2 -800 -1,000

0

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

US nonfarm payroll growth (m-o-m, left)

2015.1

2016.1

Unemployment rate (right)

China

China’s major indicators continued to slow down in February while exports declined 25.4 percent, the most in six years and nine months due to the Lunar New Year holiday. However, the manufacturing PMI for March rose above the base (50) for the first time in eight months. Manufacturing PMI (base=50) 50.2 (Jun 2015) → 50.0 (Jul) → 49.7 (Aug) → 49.8 (Sep) → 49.8 (Oct) → 49.6 (Nov) → 49.7 (Dec) → 49.4 (Jan 2016) → 49.0 (Feb) → 50.2 (Mar)

The Chinese government released on March 16 the outline for its 13th Five-Year Plan and 2016 economic policies.

China’s GDP growth and fixed asset investment 16

Source: China National Bureau of Statistics

(%)

(%)

60

14

50

12

40

10

30

8

20

6

10 0

4 2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

GDP (y-o-y, left)

09

The Green Book : Current Economic Trends

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Fixed asset investment (accumulated, y-o-y, right)


(Percentage change from same period in previous year)

2013

2014

Real GDP Industrial production Fixed asset investment (accumulated, nominal) Retail sales (nominal) Exports Consumer prices1 Producer prices1

6.9 6.1

Q2 7.0 6.3

2016

7.7 9.7

7.3 8.3

Q4 7.3 7.6

19.6

15.7

15.7

10.7

13.5

11.4

10.3

10.0

10.2

10.0

-

10.2

13.1 8.6 2.6 -1.9

12.0 5.5 2.0 -1.9

11.7 8.6 1.5 -2.7

10.0 -2.5 1.4 -5.2

10.6 4.7 1.2 -4.6

10.2 -2.1 1.4 -4.8

10.7 -5.9 1.7 -5.7

11.1 -5.0 1.5 -5.9

11.2 -6.8 1.5 -5.9

11.1 -1.4 1.6 -5.9

-11.2 1.8 -5.3

10.2 -25.4 2.3 -4.9

Annual Annual

Q1 7.0 6.4

2015 Q3

Annual

6.9 5.9

Q4 6.8 5.9

Nov 6.2

Dec 5.9

Jan -

Feb 5.4

1. Quarterly change: average of monthly change Source: China National Bureau of Statistics

Japan

The Japanese economy slowed in December as major economic indicators fell, and stock prices plunged as the yen continued to gain strength despite additional monetary easing. The Bank of Japan decided to introduce negative interest rates at a monetary policy meeting in January. Consumer prices rose 0.2 percent year-on-year in December, staying below 1 percent for the ninth consecutive month. (Percentage change from previous period)

2013

2014

Annual Annual

Real GDP Industrial production Retail sales Exports (y-o-y) Consumer prices (y-o-y)

1.4 -0.6 1.2 9.5 0.4

-0.0 2.1 1.7 4.8 2.7

Q4 0.5 0.8 1.0 9.1 2.6

Annual

0.5 0.8 -0.4 3.5 0.8

Q1 1.1 1.6 -1.7 9.0 2.3

Q2 -0.4 -1.4 0.2 6.7 0.5

2015 Q3 0.3 -1.2 1.0 3.7 0.1

2016 Q4 -0.3 0.6 -0.2 -4.6 0.3

Nov -0.9 -2.2 -3.4 0.3

Dec -1.7 -0.2 -8.0 0.2

Jan 3.7 -0.4 -12.9 0.0

Feb -6.2 -2.3 -4.0 0.3

Sources: Japan's Cabinet Office, Ministry of Economy, Trade and Industry, Ministry of Finance, Statistics Bureau of Japan

Japan’s GDP growth and industrial production 6

Sources: Japan's Cabinet Office, Ministry of Economy, Trade and Industry

(%)

(%)

4

25 20 15 10

2

5 0

0

-5 -2

-10 -15

-4

-20 -6

-25

2006.Q1

2007.Q1

GDP (q-o-q, left)

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Industrial production (q-o-q, right)

April 2016

10


Eurozone

The eurozone economy showed signs of recovery as industrial production rebounded, backed by strong German production, and leading indicators improved. However, concerns over deflation continue and exports fell in January. Manufacturing PMI (base=50) 52.4 (Jul 2015) → 52.3 (Aug) → 52.0 (Sep) → 52.3 (Oct) → 52.8 (Nov) → 53.2 (Dec) → 52.3 (Jan 2016) → 51.2 (Feb) → 51.6 (Mar)

(Percentage change from previous period)

2013

2014

2015

Real GDP

-0.3

0.9

Q4 0.4

Industrial production

-0.6

0.9

0.6

Annual

Annual

2016

1.6

Q1 0.6

Q2 0.4

Q3 0.3

Q4 0.3

Dec -

Jan -

Feb -

1.5

0.9

0.1

0.2

-0.4

-0.5

2.1

-

Annual

Retail sales

-0.8

1.2

0.9

3.0

0.9

0.5

1.1

1.1

0.6

0.3

0.2

Exports (y-o-y)

1.0

2.2

4.4

5.3

5.6

8.2

4.4

3.3

4.0

-1.8

-

Consumer prices (y-o-y)

1.4

0.4

0.3

0.0

-0.3

0.2

0.1

0.2

0.2

0.3

-0.2

Sources: Eurostat, Bloomberg

Eurozone’s GDP growth and industrial production 3

Source: Eurostat

(%)

(%)

2

10 8 6 4

1

2 0

0

-2 -1

-4 -6

-2

-8 -3

-10

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

GDP (q-o-q, left)

2. Private consumption

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Industrial production (q-o-q, right)

Private consumption in the fourth quarter of 2015 (preliminary GDP) grew 1.4 percent compared to the previous quarter and rose 3.3 percent compared to a year ago.

11

The Green Book : Current Economic Trends


(Percentage change from previous period)

Private consumption² (y-o-y)

2013 Annual Q3 1.9 1.1 1.9

Q4 0.6 2.2

Annual

1.7 -

2014 Q2 -0.3 1.7

Q1 0.4 2.8

Q3 0.7 1.4

Q4 0.3 1.1

Annual¹

2.2 -

Q1¹ 0.8 1.5

2015 Q2¹ -0.1 1.7

Q3¹ 1.1 2.2

Q4¹ 1.4 3.3

1. Preliminary 2. National accounts Source: Bank of Korea

Retail sales in February fell 1.8 percent month-on-month, despite strong durable goods sales (up 3.6%), such as automobiles, as sales of semi-durable goods (down 2.1%), such as clothing, and sales of nondurable goods (down 4.4%), such as groceries, both decreased. Year-on-year, the index rose 3.1 percent.

Private consumption 12

Source: Bank of Korea (national accounts)

(%)

10 8 6 4 2 0 -2 -4 -6 2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

Private consumption (q-o-q)

Retail sales 20

2015.Q1

Private consumption (y-o-y)

Source: Statistics Korea (industrial activity trends)

(%)

15

10

5

0

-5 -10 2006.1

2007.1

Retail sales (m-o-m)

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

Retail sales (y-o-y)

April 2016

12


(Percentage change from previous period)

2014 Annual Annual Q3 1.4

2015 -

Q1 1.0

Q2 0.7

Q3 1.3

Q4 3.1

Dec 0.1

2016 Jan¹ Feb¹ -1.3 -1.8

3.9

2.2

3.4

3.6

6.1

4.0

4.6

2013

Retail sales (y-o-y)

0.7

2.0

2.0

Q4 0.3

Annual

2.4

3.1

- Durable goods

0.3

5.1

3.2

0.4

10.2

4.3

0.8

2.0

8.2

2.9

-13.5

3.6

· Automobiles

2.1

16.4

5.1

0.3

21.3

7.0

5.4

3.5

11.2

11.5

-27.7

7.9

- Semi-durable goods3

2.1

-0.8

3.9

-2.3

-1.2

-2.0

-1.0

1.8

2.8

-2.1

0.1

-2.1

- Nondurable goods4

0.4

1.6

-0.8

1.3

2.5

0.6

1.2

0.7

0.3

-0.6

5.7

-4.4

2

1. Preliminary 2. Durable goods: Automobiles, electronic appliances, furniture, telecommunications devices, etc. 3. Semi-durable goods: Clothing, footwear, etc. 4. Nondurable goods: Food, medicine, cosmetics, fuel, tobacco, etc. Source: Statistics Korea

Private consumption is expected to improve in March, led by strong domestic sales of cars and sales at department stores.

Retail sales by type 60

Source: Statistics Korea (industrial activity trends)

(y-o-y, %)

50 40 30 20 10 0 -10 -20 -30 2006.1

2007.1

2008.1

2009.1

2010.1

Durable goods

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

Nondurable goods

Semi-durable goods

(percentage change from same preriod in previous year)

Aug Credit card use

Sep

2015 Oct

Nov

Dec

Jan

2016 Feb

Mar

10.3

14.8

13.1

9.8

8.5

15.8

14.2

13.9

Department store sales

1.2

14.1

17.4

4.1

-3.8

9.6

-0.1

4.8

Large discount store sales

-4.8

10.0

1.6

-0.6

-2.1

13.4

-5.4

-1.4

Domestic sales of gasoline and diesel

10.8

10.4

10.0

4.8

4.3

8.5

-1.1

-0.7

Domestic sales of cars

14.9

15.5

22.7

16.3

17.7

-4.5

9.0

18.9

Sources: Credit Finance Association of Korea, Korea National Oil Corporation, Korea Automobile Manufacturers Association, data provided by retail industries

13

The Green Book : Current Economic Trends


3. Facility investment

Facility investment (preliminary GDP) rose 0.5 percent quarter-on-quarter and 3.9 percent year-on-year in the fourth quarter of 2015. 2013 Annual Annual

Facility investment²

-0.8

(y-o-y)

6.0

(Percentage change from previous period)

Q1

2014 Q2

Q3

Q4

Annual¹

Q1¹

2015 Q2¹

Q3¹

Q4¹

-1.1

1.3

0.3

3.5

5.3

0.5

0.8

1.8

0.5

-

-

7.4

7.9

4.4

4.4

-

5.8

5.1

6.7

3.9

- Machinery

-2.3

5.0

-2.9

0.9

0.9

5.2

2.1

0.1

-2.9

0.8

-3.0

- Transportation equipment

3.1

8.3

3.5

2.2

-1.0

-0.4

12.5

1.5

9.3

3.7

7.4

1. Preliminary 2. National accounts Source: Bank of Korea

Facility investment

Source: Bank of Korea (national accounts)

40 (%) 30

20

10

0

-10

-20

-30 2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

Facility investment (q-o-q)

2015.Q1

Facility investment (y-o-y)

The facility investment index in February fell 6.8 percent month-on-month as both machinery and transportation equipment investment declined. The index fell 7.5 percent year-on-year. (Percentage change from previous period)

Facility investment index (y-o-y)

2013

2014

Annual

Annual

-0.8

5.2

2015 Annual 6.3

Q1 -0.2

2016

-2.2

Q3 5.2

Q2

Q4 -1.2

Dec 3.7

Jan1 -6.5

Feb1 -6.8

-

-

-

9.2

4.5

10.2

1.6

-1.3

-6.0

-7.5

- Machinery

-2.1

3.9

2.9

-0.1

-6.0

0.7

-2.6

-3.4

-2.7

-3.4

- Transportation equipment

2.8

8.8

14.9

-1.0

8.8

16.5

1.0

20.1

-12.1

-15.0

1. Preliminary Source: Statistics Korea

April 2016

14


Facility investment by type Source: Bank of Korea (national accounts) 50

(y-o-y, %)

40 30 20 10 0 -10 -20 -30 2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Transportation equipment

Machinery

Facility investment is expected to increase as business sentiment has been improving and domestic sales of cars have been strong backed by the extension of the luxury sales tax cut. However, weak machinery imports may have a negative impact.

Business survey index for manufacturing sector (prospects, Bank of Korea) 67 (Jul 2015) → 70 (Aug) → 71 (Sep) → 70 (Oct) → 70 (Nov) → 69 (Dec) → 68 (Jan 2016) → 66 (Feb) → 66 (Mar) → 70 (Apr) Domestic sales of cars (y-o-y, %) 15.5 (Sep 2015) → 22.7 (Oct) → 16.3 (Nov) → 17.7 (Dec) → -4.5 (Jan 2016) → 9.0 (Feb) → 18.9 (Mar)

Leading indicators of facility investment Sources: Statistics Korea (machinery orders), Korea International Trade Association (machinery imports) 10

(trillion won)

(y-o-y, %)

9

70 60 50 40

8

30 7

20 10

6

0 5

-10 -20

4

-30 3

-40

2

-50

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

Machinery orders (left)

15

The Green Book : Current Economic Trends

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Machinery imports (right)


(Percentage change from same period in previous year)

2013

2014

2015

Annual Annual Annual

Domestic machinery orders

6.6

(q-o-q, m-o-m) - Public

14.8

Q1 -3.0

-3.6 -

Q2

14.9

Q3 -27.1

Q4 6.9

Dec 35.5

2016 Jan¹ Feb¹ -24.1 21.8

-

-

-0.1

8.6

-10.0

9.2

23.0

-30.3

35.5

20.5

94.2

-61.7

-66.9

61.7

-85.3

-19.8

113.6

-40.7

80.9

- Private

5.1

4.8

10.0

11.4

12.5

4.7

10.8

29.1

-23.2

17.0

Machinery imports

1.1

5.8

0.3

8.5

-1.1

2.3

-6.4

-9.0

-3.5

-17.2

Average manufacturing operation ratio

76.5

76.1

74.3

74.3

74.3

74.9

73.6

73.8

72.3

73.5

Facility investment adjustment pressure²

-0.9

-1.4

-1.8

-2.8

-2.8

-1.2

-0.6

-2.4

-2.3

1.8

1. Preliminary 2. Production growth rate minus production capacity growth rate in the manufacturing sector (%p) Sources: Statistics Korea, Korea International Trade Association

4. Construction investment

Construction investment in the fourth quarter of 2015 (preliminary GDP) fell 2.4 percent quarter-onquarter and rose 8.3 percent year-on-year. (Percentage change from previous period)

2013 1.1

Q1 3.3

2014 Q2 1.0

Q3 -0.3

Q4 1.4

Annual Annual

Construction investment²

5.5

(y-o-y)

3.9

Q1¹ 5.5

2015 Q2¹ 1.8

Q3¹ 3.3

Q4¹ -2.4

Annual¹

-

-

4.1

0.2

2.3

-1.5

-

0.7

1.4

5.5

8.3

- Building construction

11.2

6.3

2.7

3.6

2.2

-4.9

6.3

2.5

4.9

5.6

0.3

- Civil engineering works

-2.5

-7.3

4.5

-3.0

-6.1

-4.7

-7.3

11.4

-3.8

-1.4

-8.0

1. Preliminary 2. National accounts Source: Bank of Korea

Construction investment

Source: Bank of Korea (national accounts)

15 (%) 10

5

0

-5

-10 2006.Q1

2007.Q1

2008.Q1

Construction investment (q-o-q)

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

Construction investment (y-o-y)

April 2016

16


The value of construction completed (constant) in February rose 1.7 percent month-on-month as both civil engineering works and building construction increased. The index rose 9.8 percent year-on-year.

Construction investment by type Source: Bank of Korea (national accounts) 40

(y-o-y, %)

30 20 10 0 -10 -20 -30 2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

Residential buildings

Building construction

2015.Q1

Civil engineering works

(Percentage change from previous period)

Construction completed (constant) (y-o-y) - Building construction - Civil engineering works

2013

2014

Annual

Annual

10.2 15.1 4.4

-0.7 7.8 -12.3

2015 Annual 2.3 6.0 -3.8

Q1 4.1 -2.0 4.4 3.7

Q3 6.4 5.9 9.5 0.9

Q2

-2.1 -3.9 -0.7 -4.4

Q4 0.0 8.0 2.6 -5.0

Dec 7.5 12.7 2.7 18.1

2016 Jan1 Feb1 0.7 1.7 9.5 9.8 4.8 2.1 -6.9 0.8

1. Preliminary Source: Statistics Korea

Construction investment is expected to increase given rising apartment presales and strong shipments of intermediate building materials. Apartment presales (thousands, Real Estate 114) 64 (Oct 2015) → 76 (Nov) → 58 (Dec) → 8 (Jan 2016) → 9 (Feb) → 39 (Mar) Domestic shipments of cement (million tons) 4.38 (Oct 2015) → 4.18 (Nov) → 4.61 (Dec) → 3.01 (Jan 2016) → 2.89 (Feb) → 5.50 (Mar) (Percentage change from same period in previous year)

2013

2014

2015

Annual Annual Annual

Construction orders (current value) (q-o-q, m-o-m) - Building construction - Civil engineering works Building permits²

-12.9 -10.2 -18.2 -7.3

16.3 24.5 -4.4 11.2

48.2 50.1 42.9 34.3

1. Preliminary 2. Floor area Sources: Statistics Korea, Ministry of Land, Infrastructure and Transport

17

The Green Book : Current Economic Trends

Q1 57.4 47.4 89.5 1.7 11.0

Q2

49.1 11.6 49.3 48.3 25.1

Q3 50.4 21.3 42.5 83.6 57.0

Q4 40.1 -26.6 37.8 45.9 40.4

Dec 12.0 -33.8 -6.2 53.4 34.5

2016 Jan1 Feb1 -3.5 85.3 19.9 44.6 -16.7 132.8 43.6 0.2 26.8 27.8


Leading indicators of construction investment Sources: Statistics Korea (construction orders), Ministry of Land, Infrastructure and Transport (building permit area) 300 (y-o-y, %) 250 200 150 100 50 0 -50 -100 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Construction orders

Building permit area

5. Exports and imports

Exports declined 8.2 percent (preliminary) year-on-year to US $42.98 billion in March. Export fall decelerated for the second consecutive month in March, despite low oil prices (US $55 → US $35 per barrel, y-o-y) and weak vessels (US $3.6 billion → US $2.6 billion, y-o-y), backed by strong mobile phones and steel products. Export growth by region (y-o-y, %) 12.7 (EU), 13.5 (Vietnam), 11.7 (India), -3.7 (US), -3.6 (Japan), -12.2 (China), -22.4 (Middle East), -32.6 (Latin America) Export growth by item (y-o-y, %) 19.9 (mobile phones), 14.7 (steel products), -1.5 (semiconductors), -5.7 (automobiles), -9.0 (petroleum & petrochemical products), -10.3 (machinery), -28.9 (vessels) (US $ billion)

2013 Exports (y-o-y, %) Average daily exports

2014

2015

Annual

Annual

Annual

Q1

Q2

Q3

Q4

559.63

572.66

526.76

133.40

135.10

128.23

130.02

Mar 46.82

2016 Jan 36.58

2.1

2.3

-8.0

-3.0

-7.3

-9.5

-12.0

-4.6

-18.9

-12.2

-8.2

-13.1

2.05

2.11

1.93

2.01

1.99

1.87

1.86

1.95

1.63

1.82

1.79

1.74

36.41

Mar1 42.98

115.97

Feb

Q11

1. Preliminary Source: Korea Customs Service

April 2016

18


Export volumes turned negative in March from an 11.3 percent increase in the previous month to a 1.9 percent fall. Average daily exports, an indicator adjusted to days worked, declined 8.2 percent year-on-year to US $1.79 billion in March. Average daily export growth (US $ billion) -13.3 (Aug 2015) → -10.6 (Sep) → -16.0 (Oct) → -7.0 (Nov) → -14.3 (Dec) → -15.3 (Jan 2016) → -16.6 (Feb) → -8.2 (Mar)

Exports by item 160 140

Sources: Korea Customs Service, Ministry of Trade, Industry and Energy (export and import trends)

(y-o-y, %)

120 100 80 60 40 20 0 -20 -40 -60 -80 2006.1

2007.1

2008.1

2009.1

Export growth rate

2010.1

2011.1

2012.1

Semiconductors

2013.1

2014.1

2015.1

Automobiles

2016.1

Steel

Imports in March (preliminary) fell 13.8 percent year-on-year to US $33.16 billion. Imports fell at a slower pace in March compared with the previous month (down 14.6% → 13.8%) as capital and consumer goods imports declined at a slower rate while commodities fell at a faster rate. Import growth by category (Feb → Mar, y-o-y, %) -23.1 → -24.3 (commodities), -6.2 → -3.6 (capital goods), -3.9 → -1.5 (consumer goods) (US $ billion)

2013

2014

Annual

Annual

Annual

Q1

Q2

Q3

Q4

Mar

Jan

Feb

Mar1

Q11

515.59

525.51

436.50

111.77

110.50

107.96

106.27

38.49

31.41

29.02

33.16

93.59

(y-o-y, %)

-0.8

1.9

-16.9

-15.6

-15.6

-18.7

-17.8

-15.5

-20.0

-14.6

-13.8

-16.3

Average daily imports

1.89

1.94

1.60

1.68

1.62

1.58

1.52

1.60

1.40

1.45

1.38

1.41

Imports

2015

1. Preliminary Source: Korea Customs Service

19

The Green Book : Current Economic Trends

2016


Imports by category

Sources: Korea Customs Service, Ministry of Trade, Industry and Energy (export and import trends)

100 (y-o-y, %) 80 60 40 20 0 -20 -40 -60 -80 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

Import growth rate

2012.1

2013.1

2014.1

2015.1

Commodities

2016.1

Capital goods

The trade balance (preliminary) posted a surplus of US $9.82 billion in March, staying in the black for the 50th consecutive month. Surpluses increased compared with the previous month. (US $ billion)

2013

2014

Annual

Annual

Annual

Q1

Q2

Q3

Q4

Mar

Jan

Feb

Mar1

Q11

44.05

47.15

90.26

21.63

24.61

20.28

23.74

7.47

5.18

7.38

9.82

22.38

Trade balance

2015

2016

1. Preliminary Source: Korea Customs Service

Exports and imports

Sources: Korea Customs Service, Ministry of Trade, Industry and Energy (export and import trends)

60 (US $ billion) 50

40

30

20

10

0

-10 2006.1

2007.1

Trade balance

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Exports

2016.1

Imports

April 2016

20


6. Mining and manufacturing production

Mining and manufacturing production rose 3.3 percent month-on-month in February due to strong semiconductors and processed metals, despite decreases in electronic parts and electrical equipment. Compared to the same period of the previous year, the index increased 2.4 percent.

Industrial production Source: Statistics Korea (industrial activity trends) 50

(%)

40 30 20 10 0 -10 -20 -30 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2015.1

2014.1

Industrial production (m-o-m)

2016.1

Industrial production (y-o-y)

(Percentage change from previous period)

2014

2015

2016

-

Q1 -0.3

Q2 -0.5

Q3 1.7

Q4 -0.9

Dec 0.6

Jan1 -2.1

Feb¹ 3.3

0.2

-0.6

-1.1

-1.3

-0.1

-0.1

-2.1

-2.2

2.4

-

-

-0.3

-0.5

1.7

-0.7

0.7

-2.4

3.4

Mining and (y-o-y) manufacturing Shipment activity² - Domestic consumption

0.3

-0.6

-1.2

-1.3

-0.3

0.1

-1.8

-2.3

2.3

0.1

-0.2

-0.7

-0.4

2.1

-0.5

1.0

-4.1

-2.5

0.4

0.4

0.4

0.5

1.5

-0.4

0.8

-2.6

1.0

- Exports

-0.3

-1.0

-2.0

-1.5

2.7

-0.5

1.2

-5.9

4.4

Inventory³

-2.5

2.8

3.0

2.3

2.6

-5.4

-3.3

2.1

2.1

Manufacturing Average operation ratio (%) indicators Production capacity (y-o-y)

76.2

74.3

74.3

74.3

74.9

73.6

73.8

72.3

73.5

1.7

1.2

1.6

1.5

0.9

0.7

0.5

0.3

0.5

Mining (q-o-q, m-o-m) (y-o-y) Manufacturing (q-o-q, m-o-m)

Annual

Annual

-

1. Preliminary 2. Including mining, manufacturing and electricity & gas industry 3. End-period Source: Statistics Korea

Compared to the previous month, production of semiconductors (up 19.6%), processed metals (up 12.5%) and refined petroleum (up 3.8%) rose, while electronic parts (down 1.9%) and electrical equipment (down 2.4%) fell.

21

The Green Book : Current Economic Trends


Compared to a year ago, production of semiconductors (up 33.7%), chemical products (up 6.3%) and refined petroleum (up 7.7%) rose, while electronic parts (down 12.2%), mechanical equipment (down 8.4%) and communications equipment (down 21.4%) declined. The manufacturing inventory-shipment ratio fell 0.5 percentage points month-on-month to 128.0 percent as inventories rose 2.1 percent and shipments increased 2.5 percent.

Inventories of semiconductors (up 31.3%), refined petroleum (up 8.0%) and automobiles (up 2.3%) rose, while electronic parts (down 8.7%), mechanical equipment (down 4.3%) and electrical equipment (down 4.9%) declined. Shipments of automobiles (up 6.7%), processed metals (up 9.2%) and primary metals (up 3.8%) rose, while communications equipment (down 7.5%), other transportation equipment (down 1.9%) and clothing & fur (down 4.6%) fell.

Shipment and inventory

Source: Statistics Korea (industrial activity trends)

10 (m-o-m, %) 8 6 4 2 0 -2 -4 -6 -8 -10 -12 2006.1

2007.1

Shipment growth

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Inventory growth

The average operation ratio of the manufacturing sector improved 1.2 percentage points month-onmonth to 73.5 percent. The mining and manufacturing production for March will likely post an increase given that domestic sales of cars have been strong and the release of new mobile phone models has boosted the manufacturing of related products. However, there is a chance that production has been adjusted due to a recent increase in inventory.

April 2016

22


Average manufacturing operation ratio

Source: Statistics Korea (industrial activity trends)

90 (%)

80

70

60

50 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

7. Service sector activity

Service output in February increased 0.3 percent month-on-month and 2.6 percent year-on-year. Membership organizations & personal services (up 6.8%, m-o-m), financial & insurance services (up 1.0%, m-o-m), publishing & communications services (up 0.7%, m-o-m) and healthcare & social welfare services (up 0.9%, m-o-m) increased. Meanwhile, wholesale & retail (down 1.1%, m-o-m), real estate & renting (down 6.0%, m-o-m) and professional, scientific & technical services (down 3.8%, m-o-m) continued to decrease. (Percentage change from previous period)

Weight Service activity index 100.0 - Wholesale & retail 21.6 - Transportation services 8.5 - Hotels & restaurants 7.2 - Publishing & communications services 8.4 - Financial & insurance services 14.7 - Real estate & renting 5.3 - Professional, scientific & technical services 5.6 - Business services 3.3 - Education services 10.9 - Healthcare & social welfare services 7.5 - Entertainment, cultural & sports services 2.9 - Membership organizations & personal services 3.6 - Sewerage & waste management 0.6

2013 1.5 0.1 1.0 0.5 2.2 0.5 2.5 3.3 2.1 0.8 5.2 -0.7 6.1 -0.4

1. Preliminary Source: Statistics Korea

23

2014

Annual Annual Q4

The Green Book : Current Economic Trends

2.3 0.4 1.7 1.5 2.0 5.2 6.2 2.3 2.5 1.3 6.3 -1.0 -0.5 1.0

0.8 -0.4 1.8 -1.7 -0.4 3.3 4.3 2.9 0.8 -0.4 2.2 -2.3 -1.9 3.6

Annual

2.8 1.7 1.4 -2.0 -0.6 9.0 8.1 -0.4 3.9 0.9 6.2 1.1 -0.5 7.2

Q1 0.5 0.7 -0.2 -0.6 -1.9 1.6 -0.8 -2.9 2.3 1.0 1.9 1.5 0.7 0.6

2015 Q2 Q3 0.5 1.2 0.3 0.9 -2.6 1.9 -3.4 2.1 -0.5 3.0 3.8 1.2 6.4 0.9 -0.1 1.6 0.4 -1.0 -0.6 0.0 0.0 1.4 -2.5 1.0 1.6 -0.2 3.6 4.6

2016 Q4 Dec Jan1 Feb1 1.2 1.2 -1.3 0.3 2.2 0.2 -0.8 -1.1 1.9 2.0 0.1 2.5 0.8 -1.0 0.6 0.3 1.1 3.1 -3.8 0.7 -0.4 1.1 0.5 1.0 -0.5 1.5 -1.4 -6.0 0.3 3.4 -4.9 -3.8 3.4 1.2 -2.4 1.0 1.0 0.9 -0.9 0.1 3.1 0.6 -1.2 0.9 3.2 5.1 -7.6 3.9 -2.7 -0.2 -1.8 6.8 -4.6 5.9 -5.1 -0.3


Service sector activity

Source: Statistics Korea (industrial activity trends)

15 (%) 10 5 0 -5 -10 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

Service sector activity (m-o-m)

Wholesale & retail 20

2015.1

2016.01

Service sector activity (y-o-y)

Source: Statistics Korea (industrial activity trends)

(%)

15 10 5 0 -5 -10 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

Wholesale & retail (m-o-m)

Wholesale & retail (y-o-y)

February 2016 service output by business 14

Transportation services Total index

Publishing & communications services

Real estate & renting

2 -2 -6

Source: Statistics Korea (industrial activity trends)

(y-o-y, %)

10 6

2016.1

2015.1

Wholesale & retail

Hotels & restaurants

Financial & insurance services

Health & social welfare services

Professional, scientific & technical services

Membership organizations & personal services

Education services Business services

Entertainment, cultural & sports services

Sewerage & waste management

-10

The service output outlook for March is positive, despite falling average daily stock transactions, as domestic sales of cars increased. Average daily stock transactions (trillion won) 9.8 (May 2015) → 10.1 (Jun) → 11.2 (Jul) → 8.9 (Aug) → 8.1 (Sep) → 8.7 (Oct) → 8.3 (Nov) → 7.1 (Dec) → 8.3 (Jan 2016) → 7.8 (Feb) → 7.5 (Mar)

April 2016

24


8. Employment

The number of workers on payroll in February increased by 223,000 from a year earlier to 25,420,000, and the employment rate rose 0.1 percentage points to 65.0 percent. By industry, manufacturing and services continued to lead employment growth. By employment status, permanent workers continued to drive employment growth, while temporary and daily workers fell at a faster pace, and self-employed workers kept decreasing.

Number of persons employed and employment growth 1,200

Source: Statistics Korea (employment trends)

(thousands)

(millions)

1,000

28 27

800

26

600 25 400 24 200 23

0

22

-200

21

-400 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

Employment growth (y-o-y, left)

2013.1

2014.1

2015.1

2016.1

Number of employed (seasonally adjusted, right)

Employment rate Source: Statistics Korea (employment trends) 64 63 62

(%)

61 60 59 58 57 56 55 2006.1

2007.1

2008.1

2009.1

2010.1

Original data

25

The Green Book : Current Economic Trends

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

Seasonally adjusted rate


Employment by industry

Source: Statistics Korea (employment trends)

(%)

100

80

60

71.1 71.2 70.6 69.7 69.4 69.3 69.6 69.7 69.6 69.5 69.8 70.8 71.5 71.4 70.8 70.2 70.0 69.9 69.9 70.2 70.2 70.1 70.6 71.2 71.5 71.5

40 6.8

6.7

6.8

6.9

7.1

7.1

7.1

7.1

7.1

7.0

7.2

7.2

7.0

6.9

7.0

7.1

7.1

7.1

7.1

7.0

7.0

6.9

7.0

7.1

7.0

6.8

20 17.3 17.2 17.0 16.7 16.8 16.8 16.8 16.7 16.8 16.8 16.8 17.4 17.6 17.6 17.3 17.2 17.0 17.1 17.2 17.2 17.2 17.4 17.3 17.6 17.9 17.9 0 4.4 4.5 2014.1 2

5.3

6.1

6.4

6.5

6.2

6.2

6.2

6.2

5.8

3

4

5

6

7

8

9

10

11

Services

4.2 3.9 4.1 12 2015.1 2

Construction

5.5

5.9

5.9

5.8

5.7

5.7

5.6

5.1

4

5

6

7

8

9

10

11

Manufacturing

2011 2012 2013

4.0 3.6 3.8 12 2016.1 2

Agriculture, forestry & fisheries

2014

Annual Annual Annual Annual Q3

Number of employed (millions)

4.9 3

Q4 Annual Q1

2015 Q2 Q3

Q4

Feb

2016 Jan Feb

24.24 24.68 25.07 25.60 25.93 25.77 25.94 25.27 26.10 26.24 26.14 25.20 25.45 25.42

Employment rate (%)

59.1 59.4 59.5 60.2 60.9 60.4 60.6 59.0 60.7 60.9 60.5 58.8 58.8 58.7

(Seasonally adjusted)

59.1 59.4 59.5 60.2 60.3 60.3 60.3 60.5 59.9 60.3 60.5 60.7 60.5 60.5

Employment growth (y-o-y, thousands)

415

437

386

533

517

422

337

354

308

310

376

376

339

223

(Excluding agriculture, forestry & fisheries)

440

451

394

601

638

531

444

441

435

419

482

463

414

284

- Manufacturing

63

14

79

146

194

129

156

139

147

164

176

159

145

108

- Construction

-2

22

-19

42

57

72

27

72

44

11

-19

68

17

-6

- Services

386

416

318

424

403

336

250

222

235

234

309

231

241

176

- Agriculture, forestry & fisheries

-25

-14

-8

-87 -127 -115 -106

-87

-74

-61

3.7

(%) 3.8

-68 -121 -109 -107

Source: Statistics Korea

Employment by status of workers Source: Statistics Korea (employment trends) 100 4.2

80

4.3

4.6

4.8

5.0

5.0

5.0

5.0

4.9

4.9

4.7

4.1

4.0

4.1

4.3

4.5

4.6

4.7

4.7

4.6

4.6

4.6

4.4

3.9

22.1 22.0 22.3 22.2 22.1 22.1 22.1 22.4 22.2 22.1 21.9 21.5 21.5 21.5 21.9 21.8 21.8 21.6 21.5 21.5 21.3 21.2 21.0 20.8 20.9 20.9 6.3

6.0

5.7

6.0

6.1

6.1

6.0

5.8

6.1

6.2

6.4

6.2

6.0

6.0

5.7

6.2

6.5

6.2

6.1

5.9

5.9

5.8

5.7

5.9

5.7

5.5

19.8 19.3 19.2 60 19.2 19.4 19.6 19.7 19.7 19.5 20.1 19.7 19.8 19.7 19.7 19.7 19.5 19.4 19.5 19.4 19.3 19.5 19.7 19.5 19.7 19.8 20.2

40

20

0

48.3 48.2 47.8 47.3 47.1 47.2 46.8 47.0 47.1 47.2 47.3 48.5 49.0 49.0 48.5 48.1 47.8 47.9 48.0 48.5 48.6 48.7 48.7 49.7 50.4 50.6

2014.1 2

3

4

Unpaid family workers

5

6

7

8

9

10

Self-employed workers

11

12 2015.1 2

Daily workers

3

4

5

6

7

8

Temporary workers

9

10

11

12 2016.1 2

Permanent workers

April 2016

26


2014

2011 2012 2013

Annual Annual Annual Annual Q3

Q4 Annual Q1

2015 Q2 Q3

Q4

Feb

2016 Jan Feb

Employment growth (y-o-y, thousands)

415

437

386

533

517

422

337

354

308

310

376

376

339

223

- Wage workers

427

315

483

548

519

476

487

442

422

521

565

465

471

376

路 Permanent workers

575

436

615

443

333

355

432

355

332

505

536

383

509

496

路 Temporary workers

-78

-2

-96

140

226

141

54

82

3

1

129

62

19

-9

路 Daily workers

-70

-120

-37

-35

-40

-20

1

4

87

15

-100

20

-56

-111

-11

121

-97

-15

-3

-54

-151

-88

-114 -211 -189

-89

-132 -154

1

124

-67

1

19

7

-89

-49

-37

-136 -135

-59

-84

-98

- Male

238

234

186

266

268

196

132

141

145

111

132

144

131

60

- Female

177

203

200

267

249

226

205

213

163

199

244

232

208

163

- 15 to 29

-35

-36

-50

77

102

56

68

32

90

50

100

30

25

18

- 30 to 39

-47

-31

-21

-21

-7

-29

-38

-1

-56

-60

-36

18

10

-44

- Nonwage workers 路 Self-employed workers

- 40 to 49

57

11

22

38

15

4

-14

-47

-15

1

7

-48

-4

15

- 50 to 59

291

270

254

239

215

190

149

177

138

145

135

183

115

77

- 60 or more

149

222

181

200

192

201

172

192

150

174

169

193

194

158

Source: Statistics Korea

The number of unemployed persons in February was up 114,000 year-on-year to 1,317,000, and the unemployment rate rose 0.3 percentage points year-on-year to 4.9 percent. The economically inactive population in February increased 111,000 from a year earlier to 16,540,000, while the labor force participation rate rose 0.2 percentage points year-on-year to 61.8 percent. The number of those economically inactive due to education (down 133,000, y-o-y) and childcare (down 104,000, y-o-y) decreased, while those due to rest (up 143,000, y-o-y) increased. 2011 2012 2013 Annual Annual Annual Annual

2014 Q3

Q4 Annual Q1

2015 Q2 Q3

Q4

Feb

2016 Jan Feb

Number of unemployed (thousands)

855

820

807

937

884

854

Unemployment growth (y-o-y, thousands)

-65

-35

-13

137

107

121

40

58

65

45

-9

24

-1

114

- Male

-48

-26

-6

49

37

59

24

25

42

31

-3

15

-1

73

- Female

-17

-9

-7

80

70

63

16

32

23

14

-6

10

0

42

Unemployment rate (%)

3.4

3.2

3.1

3.5

3.3

3.2

3.6

4.1

3.8

3.4

3.1

4.6

3.7

4.9

976 1,089 1,042 929

845 1,203 988

1,317

(Seasonally adjusted)

3.4

3.2

3.1

3.5

3.5

3.5

3.6

3.7

3.8

3.6

3.4

3.9

3.5

4.1

- 15 to 29

7.6

7.5

8.0

9.0

8.6

8.3

9.2

10.3

9.9

8.4

8.0

11.1

9.5

12.5

- 30 to 39

3.4

3.0

3.0

3.1

3.0

2.8

3.1

3.1

3.3

3.0

2.9

3.3

2.7

3.4

- 40 to 49

2.1

2.0

2.0

2.2

2.1

2.1

2.3

2.4

2.5

2.3

2.0

2.5

2.1

2.7

- 50 to 59

2.1

2.1

1.9

2.2

2.1

2.2

2.4

2.6

2.6

2.4

1.9

2.8

2.4

2.6

- 60 or more

2.6

2.4

1.8

2.3

1.5

1.6

2.5

4.1

2.2

2.0

2.1

5.6

3.7

6.2

Source: Statistics Korea

27

The Green Book : Current Economic Trends


Unemployment rate 6

Source: Statistics Korea (employment trends)

(%)

5

4

3

2 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Original data

Seasonally adjusted rate

Labor force participation rate 65

Source: Statistics Korea (employment trends)

(%)

64 63 62 61 60 59 58 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Original data

Seasonally adjusted rate

2011 2012 2013

2014

Annual Annual Annual Annual Q3

Economically inactive population (millions)

2016.1

Q4 Annual Q1

2015 Q2 Q3

Q4

Feb

2016 Jan Feb

15.95 16.08 16.22 15.98 15.76 16.07 16.11 16.47 15.84 15.92 16.19 16.43 16.81 16.54

Labor force participation rate (%)

61.1

61.3

61.5

62.4 63.0 62.4 62.6 61.5 63.2 63.0 62.5 61.6 61.1 61.8

(Seasonally adjusted)

61.1

61.3

61.5

62.4 62.5 62.4 62.6 62.8 62.3 62.5 62.6 63.1 62.7 63.0

Growth in economically inactive population (y-o-y, thousands)

112

128

141 -246 -222 -101

- Childcare - Housework

-5 101

-2 123

1 -39 -3 -131

-41 -99

-31 -67

128

72

150

162

128

83

125

111

8 -45

41 -91

50 -41

3 -19

-63 -29

24 -158 -104 -87 56 28

- Education

-51

-12

77

-81 -109

-72 -146 -141 -213 -112 -118 -142

-45 -133

- Old age - Rest

-45 182

148 -53

54 -7

93 -92

89 -15

180 78

91 -65

109 141

68 154

95 151

103 123

171 136

80 143

155 143

Source: Statistics Korea

April 2016

28


9. Financial markets 9.1 Stock market

The KOSPI rose 4.1 percent in March from 1,917 points to 1,996 points and the KOSDAQ climbed 4.3 percent from 652 points to 688 points backed by foreign portfolio investors̓ net purchase of Korean shares (-0.2 trillion won → 4.4 trillion won) amid eased global market volatility, which followed stabilizing oil prices and expansionary monetary policies in major economies. The European Central Bank (ECB) on March 10 cut its deposit rate by 10 basis points to minus 0.4 percent and expanded its quantitative easing program. The VIX index, a measure of expected volatility on the S&P 500 over the next 30 days, fell from 20.55 at the end of February to 13.95 at the end of March.

Stock prices 2,400

(monthly average)

2,200 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

KOSPI

2016.1

KOSDAQ

(Closing rate)

Feb 2016

KOSPI Mar 2016

Change1

Feb 2016

KOSDAQ Mar 2016

Change1

Stock price index (points)

1,916.7

1,995.9

82.2 (4.1%)

651.6

688.4

-36.8 (5.6%)

Market capitalization (trillion won)

1,213.2

1,265.0

51.8 (4.3%)

194.5

206.2

11.7 (6.0%)

4.6

4.4

-0.2 (-3.9%)

3.2

3.1

-0.1 (-1.9%)

31.9

32.6

0.7 (2.2%)

10.4

9.7

-0.7 (-6.7%)

Average daily trade value (trillion won) Foreign stock ownership (%, %p) 1. Change from the end of the previous month in March 2016 Source: Korea Exchange

29

The Green Book : Current Economic Trends


9.2 Exchange rate

The dollar-won exchange rate fell to 1,143.5 won in March due to the weak dollar and foreign investor’s net purchase of Korean shares. The dollar depreciated following the Fed’s dovish rate hike outlook at the March FOMC meeting. The 100 yen-won exchange rate fell to 1,018.6 won in March, despite the dollar-yen exchange rate falling to 112.3 yen from 112.9 yen, as the dollar depreciated more relative to the won than it did to the yen.

(Closing rate)

2010 Dec

2011 Dec

2012 Dec

2013 Dec

2014 Dec

2015 Dec

Feb

2016 Mar

Change1

Dollar-Won

1,134.8

1,151.8

1,070.6

1,055.4

1,099.3

100 Yen-Won

1,393.6

1,481.2

1,238.3

1,002.3

913.0

1,172.5

1,236.7

1,143.5

8.2

974.1

1,095.4

1,018.6

7.5

1. Appreciation from the end of the previous year in March 2016 (%); the exchange rate is based on the closing price at 3:00 p.m., local time.

Foreign exchange rates 1,800 (month-end, \) 1,600

1,400

1,200

1,000

800

600 2006.1

2007.1

2008.1

2009.1

Dollar-Won

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

100 Yen-Won

9.3 Bond market

In March, 3-year and 5-year Treasury bond yields edged down 1 basis point each to 1.44 percent and 1.55 percent, respectively. Treasury bond yields remained stable in March as the Bank of Korea kept its benchmark interest rate unchanged and the Fed maintained its accommodative monetary policy stances. The spread between 3-year and 10-year Treasury bond yields edged up 1.7 basis points.

April 2016

30


Interest rates 10

Source: Bank of Korea

(monthly average, yearly, %)

9 8 7 6 5 4 3 2 1

2006.1

2007.1

2008.1

2009.1

2010.1

Overnight call rate (daily)

2011.1

2012.1

2013.1

2014.1

3-yr Treasury bond yield

2015.1

2016.1

3-yr corporate bond yield

(Closing rate, %)

Call rate (1 day)

2010 Dec 2.51

2011 Dec 3.29

2012 Dec 2.77

2013 Dec 2.52

2014 Dec 2.03

2015 Dec 1.52

2016 Jan 1.50

Feb 1.52

Mar 1.53

Change1 1

CD (91 days)

2.80

3.55

2.89

2.66

2.13

1.67

1.65

1.63

1.61

-2

Treasury bonds (3 yrs)

3.38

3.34

2.82

2.86

2.10

1.66

1.56

1.45

1.44

-1

Corporate bonds (3 yrs)

4.27

4.21

3.29

3.29

2.43

2.11

2.04

1.94

1.93

-1

Treasury bonds (5 yrs)

4.08

3.46

2.97

3.23

2.28

1.81

1.70

1.56

1.55

-1

1. Basis point, changes from the previous month in March 2016

9.4 Money supply & money market

M2 (monthly average) in January increased 8.1 percent from a year earlier. Time deposits with a maturity of less than two years (up 10.5 trillion won, m-o-m), instant access deposits (up 7.9 trillion won, m-o-m) and demand deposits (up 3.0 trillion won, m-o-m) increased month-on-month. The increases were large due to households (up 8.4 trillion won, m-o-m) and other financial corporations (up 8.0 trillion won, m-o-m). (Percentage change from same period in previous year, average)

2010

2011

2012

2013

2014

Annual

Annual

Annual

Annual

Annual

Annual

M1²

11.8

6.6

3.8

9.5

10.9

M2

8.7

4.2

5.2

4.8

LfÂł

8.2

5.3

7.8

6.9

1. Balance at end January 2016, trillion won 2. M1 excluding corporate MMFs and individual MMFs while including CMAs 3. Liquidity aggregates of financial institutions (mostly identical with M3)

31

The Green Book : Current Economic Trends

18.6

2015 Nov 20.6

Dec 19.6

Jan 20.7

2016 Jan1 698.9

6.6

8.6

7.7

7.5

8.1

2,266.9

7.0

9.7

9.2

8.9

8.9

3,108.3


Total money supply Source: Bank of Korea 40

(y-o-y, monthly average balance, %)

30

20

10

0

-10 -20 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

Reserve money

2012.1

2013.1

2014.1

2015.1

2016.1

M1

Lf

Bank deposits in February increased 13.4 trillion won month-on-month after decreasing 2.9 trillion won in the previous month as instant access deposits surged due to inflows of Lunar New Year bonuses and corporate settlement funds. Asset management company (AMC) deposits jumped for two consecutive months due to inflows of banks’ short-term surplus funds.

Deposits in financial institutions 60

Source: Bank of Korea

(y-o-y, end of month balance, trillion won)

50 40 30 20 10 0 -10 -20 -30 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

(Change from the end of the previous period, trillion won)

Bank deposits AMC deposits

2009

2010

2011

2012

2013

2014

Annual

Annual

Annual

Annual

Annual

Annual

54.8 -27.6

36.9 -16.7

58.9 -16.6

37.0 18.8

41.0 17.7

115.4 42.4

2015 Annual Dec 100.3 20.7 44.4 -4.9

Jan -2.9 23.5

2016 Feb 13.4 11.6

Feb1 1,401.6 456.8

1. Balance at end February 2016

April 2016

32


10. Balance of payments

Korea’s current account (preliminary) in February 2016 posted a surplus of US $7.51 billion, staying in the black for 48 consecutive months. The goods account surplus stayed flat at US $7.9 billion in February as both exports and imports fell at a slower pace due to an increase in the number of days worked (up 1 day). Growth in goods exports (y-o-y, %) -17.3 (Jan 2016) → -9.3 (Feb) Growth in goods imports (y-o-y, %) -24.2 (Jan 2016) → -13.9 (Feb) Export growth by item (y-o-y, %, customs clearance basis) -12.2 (total), 8.1 (mobile phones), -12.8 (semiconductors), -4.5 (steel), -9.4 (automobiles), -46.3 (vessels), -26.4 (oil products) Import growth by category (y-o-y, %, customs clearance basis) -13.8 (total), -23.1 (commodities), -6.2 (capital goods), -3.9 (consumer goods)

Current account balance 15

Source: Bank of Korea (balance of payments trends)

(US $ billion)

10

5

0

-5 2006.1

2007.1

Goods account

2008.1

2009.1

2010.1

2011.1

Services account

2012.1

2013.1

2014.1

2015.1

2016.1

Current account

The services account deficit shrank month-on-month from US $1.93 billion to US $1.27 billion, even though the intellectual property rights account shifted to a deficit, as the other businesses account and the travel account improved. Services account (US $ billion, Jan → Feb) -0.60 → -0.35 (manufacturing), -0.16 → -0.04 (transportation), -0.89 → -0.50 (travel), 0.69 → 0.70 (construction), 0.02 → -0.58 (intellectual property rights), -1.04 → -0.51 (other businesses)

33

The Green Book : Current Economic Trends


Travel balance 4

Source: Bank of Korea (balance of payments trends)

(US $ billion)

3 2 1 -1 -2 -3 2006.1

2007.1

2008.1

2009.1

2010.1

Travel balance

2011.1

2012.1

2013.1

2014.1

2015.1

Travel revenue

2016.1

Travel payment

The primary income account deficit fell from US $1.25 billion to US $0.85 billion due to decreased dividend payments. The secondary income account went from a deficit of US $0.40 billion to a surplus of US $0.02 billion. (US $ billion)

2013 Current account

81.15

2014 Q3 84.37 20.66

- Goods balance

82.78

88.89 20.98

25.14 120.29 24.22

33.68 30.64 31.76

- Services balance

-6.50

-3.68

-0.46

-0.38 -15.71

-4.39

-3.09

-3.56

-4.67 -1.76

-1.93

-1.27

- Primary income balance

9.06

4.15

1.40

2.93

5.90

3.83

-1.56

2.73

0.90

1.04

1.25

0.85

- Secondary income balance

-4.19

-4.98

-1.25

-1.24

-4.61

-1.22

-1.11

-0.70

-1.58 -0.22

-0.40

0.02

Annual Annual

Q4 Annual1 Q11 26.45 105.87 22.44

2015 Q21 Q31 Q41 27.92 29.11 26.41

Feb1 6.08

2016 Jan1 Feb1 6.82 7.51

7.02

7.90

7.90

1. Preliminary Source: Bank of Korea

The capital and financial account saw an outflow of US $9.50 billion (preliminary) in February. Capital & financial account balance* (US $ billion) 5.18 (Feb 2015) → 9.99 (Jul) → 9.05 (Aug) → 10.54 (Sep) → 11.08 (Oct) → 8.72 (Nov) → 7.86 (Dec) → 6.48 (Jan 2016) → 9.50 (Feb) * Positive figures represent net outflows, and negative figures represent net inflows.

FDI shifted to a net outflow of US $1.55 billion from a net inflow of US $0.07 billion in the previous month as inbound FDI decreased (up US $0.47 billion → down US $0.04 billion) while Korean FDI increased at a faster pace (up US $0.40 billion → up US $1.51 billion). Net outflows of portfolio investment increased month-on-month from US $4.65 billion to US $6.20 billion as Korean investment in foreign shares increased (up US $0.13 billion → up US $2.94 billion) although foreign investment in Korean shares decreased at a slower pace (down US $4.53 → down US $3.26 billion). Net outflows of financial derivatives investment declined from US $1.21 billion to US $0.76 billion, while net outflows of other investment expanded from US $0.30 billion to US $2.56 billion.

April 2016

34


The current account surplus is expected to increase month-on-month in March as net exports expanded to US $9.82 billion.

Capital & financial account balance 15

Source: Bank of Korea (balance of payments trends)

(US $ billion)

10 5 0 -5 -10 -15 2006.1

2007.1

2008.1

Direct investment

2009.1

2010.1

2011.1

Portfolio investment

2012.1

2013.1

2014.1

Financial derivatives

2015.1

2016.1

Capital & financial account

11. Prices

11.1 Consumer prices

Consumer prices rose 1.0 percent year-on-year in March, a slower pace than the 1.3 percent of the previous month, as personal service price inflation decelerated, while oil product prices fell at a faster pace amid low international oil prices.

Consumer price inflation 7

Source: Statistics Korea (consumer price trends)

(%)

6 5 4 3 2 1 0 -1 2006.1

2007.1

2008.1

2009.1

2010.1

Consumer price inflation (m-o-m)

35

The Green Book : Current Economic Trends

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

Consumer price inflation (y-o-y)


Consumer price inflation

(%)

2015 May 0.5 0.3

Month-on-Month Year-on-Year

Jun 0.7 0.0

Jul 0.7 0.2

Aug 0.7 0.2

Sep 0.6 -0.2

Oct 0.9 0.0

Nov 1.0 -0.1

Dec 1.3 0.3

Jan 0.8 0.0

2016 Feb 1.3 0.8

Mar 1.0 -0.3

Source: Statistics Korea

Contribution to consumer price inflation 5

Source: Statistics Korea (consumer price trends)

(%p)

3

1

-1 2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

Agricultural, livestock & fishery products

Manufactured products

Housing rents

Public services

Personal services

Public utilities

Oil product prices fell 1.1 percent month-on-month. Year-on-year, the decline in oil product prices accelerated to 12.4 percent from 8.0 percent a month earlier, due to a high base effect from a year ago when oil product prices rose 3.9 percent month-on-month. Personal service prices increased 2.2 percent, a slower pace than the 2.4 percent of the previous month, due to a cut in school lunch payments in some districts.

Prices 16

Source: Statistics Korea (consumer price trends)

(y-o-y, %)

12 8 4 0 -4 -8 2006.1

2007.1

Consumer price inflation

2008.1

2009.1

2010.1

2011.1

Core inflation

2012.1

2013.1

2014.1

2015.1

2016.1

Producer price inflation

April 2016

36


Consumer price inflation in major sectors Total

Manufactured Agricultural, livestock Oil products & fishery products products -0.2 -8.0 5.6

Public utilities -8.0

Public services 2.2

Personal services 2.4

Housing rents 2.9

Fed (y-o-y, %)

1.3

Mar (y-o-y, %)

1.0

-0.9

-12.4

5.4

-8.0

2.1

2.2

2.9

-

-0.30

-0.52

0.40

-0.39

0.30

0.70

0.28

- Contribution (%p) Source: Statistics Korea

Core inflation, which excludes food and energy, stood at just under 2.0 percent. (percentage change from same period in previous year)

2015 Nov 2.4

Dec

Jan

2.1

Oct 2.3

2.4

1.7

2.5

2.6

2.7

2.8

1.9

Jun

Jul

Aug

Sep

Consumer prices excluding oil and agricultural products

2.0

2.0

2.1

Consumer prices excluding food and energy

2.2

2.5

2.5

2016 Feb Mar 1.8 1.7 2.0

1.9

Source: Statistics Korea

Consumer price inflation for basic necessities slowed significantly from 0.9 percent to 0.4 percent, due to low oil product prices and stabilizing prices of processed foods. Consumer price inflation for basic necessities (Feb → Mar, %) 3.0 → 2.5 (eating out), -8.0 → -12.4 (oil products), 0.8 → 0.5 (processed foods) (Percentage change from same period in previous year)

Consumer prices for basic necessities

May

Jun

Jul

-0.4

-0.1

-0.1

2015 Aug Sep -0.1 -0.2

Oct 0.1

Nov

Dec

0.1

0.6

Jan 0.2

2016 Feb 0.9

Mar 0.4

Source: Statistics Korea

11.2 International oil and commodity prices

International oil prices rose in March as oil producing countries discussed a production cut and US oil producers reduced their production. Dubai crude prices rose to US $37.4 per barrel on March 22 due to expectations that oil producing countries could agree to cut production, before edging down toward the end of the month and closing the month at US $35.1 per barrel. Dubai crude (US $/barrel) 31.6 (1st week Mar) → 35.3 (2nd week) → 35.9 (3rd week) → 36.9 (4th week) → 35.8 (5th week)

37

The Green Book : Current Economic Trends


International oil prices 160

Source: Korea National Oil Corporation

(US $/B)

140 120 100 80 60 40 20 0 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

Dubai crude

WTI

(US $/barrel, period average)

2015 Q2 60.5

2016

2013

2014

Annual

Annual

Annual

Dubai crude

105.2

96.6

50.7

Brent crude

108.7

99.4

53.6

55.1

63.5

51.3

44.7

35.2

31.9

33.5

39.8

WTI crude

98.0

92.9

48.8

48.6

58.0

46.5

42.2

33.7

31.8

30.6

38.0

Q1 51.9

Q3 49.9

Q4 40.8

Q1 30.5

Jan 26.9

Feb 28.9

Mar 35.2

Source: Korea PDS

Domestic gasoline prices inched up in March as a rebound in international oil prices was reflected with a time lag. Domestic gasoline prices (won/liter) 1,340.8 (1st week Mar) → 1,340.4 (2nd week) → 1,348.1 (3rd week) → 1,357.4 (4th week) → 1,361.8 (5th week) International gasoline prices (US $/barrel) 41.6 (3rd week Feb) → 41.8 (4th week) → 44.4 (1st week Mar) → 49.4 (2nd week) → 50.3 (3rd week) Dollar-won exchange rate (won) 1,216.1 (3rd week Feb) → 1,233.0 (4th week) → 1,232.1 (1st week Mar) → 1,207.0 (2nd week) → 1,187.9 (3rd week)

(Won/liter, period average)

2013 Annual

Annual

Annual

Gasoline prices 1,924.5

1,827.3

1,510.4

Q1 1,485.4

2015 Q2 1,543.2

Diesel prices

1,637.7

1,299.6

1,312.6

1,344.2

1,729.6

2014

2016 Q3 1,544.4

Q4 1,468.4

Q1 1,362.6

Jan 1,385.3

Feb 1,351.7

Mar 1,350.1

1,309.3

1,232.6

1,121.0

1,157.3

1,101.1

1,103.1

Source: Korea National Oil Corporation

April 2016

38


Dubai crude prices and import prices Source: Korea National Oil Corporation 160

(thousand won/B)

(US $/B)

160

140

140

120

120

100

100

80

80

60

60

40

40

20

20 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

Dubai crude (import prices, won, left)

2014.1

2015.1

2016.1

Dubai international prices (dollar, right)

International prices of wheat and corn stayed nearly unchanged, despite global demand slowing down, due to bad weather conditions. South Africa lowered its corn production forecast for 2016 to 7.1 million tons, the lowest since 2007, amid a prolonged drought in the country. International grain price increases in March (monthly average, m-o-m, %) 0.9 (wheat), 0.1 (corn), 2.2 (soybean)

International copper prices were up as London Metal Exchange’s copper inventory fell to 160.9 million tons, the lowest since 2014. International aluminum prices were down as China Hongqiao, the world’s largest aluminum producing company, announced its plan to increase production by 15.0 percent as it expects demand for aluminum to recover. Nonferrous metal price increases in March (monthly average, m-o-m, %) 7.6 (copper), 8.7 (tin), 4.7 (nickel), -0.5 (aluminum)

International commodity prices

Sources: Bloomberg (CRB), Bank of Korea (Reuters Index) * C RB demonstrates a futures price index of 21 commodities listed on the US Commodity Transaction Market, including beans and other crops, crude oil and jewelry. 4000

470 430

3000

390 350

2000

310 270

1000

230 190 150

0

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

CRB (left)

39

The Green Book : Current Economic Trends

2012.1

2013.1

2014.1

2015.1

2016.1

Reuters index (right)


(Period average)

2013 Reuters Index1 (sep 18,1931=100)

2,774

Q1

2015 Q2

Q3

Q4

Q1

Jan

Feb

Mar

2,368

2,394

2,287

2,269

2,115

2,147

2,067

2,132

2014

Annual Annual Annual

2,523

2,328

2016

1. A weighted average index of 17 major commodities Source: KOREA PDS

12. Real estate market 12.1 Housing market

Apartment prices nationwide remained unchanged month-on-month in March. Apartment prices stayed unchanged in the Seoul metropolitan area, which includes Seoul (up 0.01%), Gyeonggi Province (down 0.01%) and Incheon (up 0.01%). Apartment prices also remained unchanged in areas excluding the Seoul metropolitan area, which include the five metropolitan cities (up 0.00%) and the eight provinces (down 0.01%). Apartment price increases in five metropolitan cities (m-o-m, %) Busan (0.1), Daegu (-0.2), Gwangju (0.1), Daejeon (0.0), Ulsan (0.1)

Apartment sales prices by region

Source: Korea Appraisal Board

3

2

1

0

-1 2009.1

7

Nationwide

2010.1

7

2011.1

7

2012.1

7

Seoul metropolitan area

2013.1

7

2014.1

7

2015.1

7

2016.1

Areas excluding Seoul metropolitan area

April 2016

40


apartment prices

(Percentage change from previous period)

2010

2011

2012

2013

2014

Nationwide

1.9

6.9

0.0

0.3

1.7

3.5

2015 Nov 0.3 0.3

Seoul metropolitan area

-1.7

0.5

-3.0

-1.1

1.5

4.4

0.4

0.4

0.2

0.0

0.04

Seoul

-1.2

0.3

-2.9

-1.4

1.1

4.6

0.5

0.5

0.3

0.1

0.05

0.00

0.01

Gangnam¹

-1.0

0.3

-3.5

-1.1

1.2

5.2

0.5

0.5

0.3

0.0

0.03

-0.03

-0.02

Gangbuk²

-1.4

0.3

-2.3

-1.7

1.1

3.9

0.5

0.4

0.3

0.1

0.06

0.04

0.04

Areas excluding the Seoul

6.4

15.1

3.1

1.7

1.9

2.7

0.2

0.3

0.1

0.0

0.05

0.00

-0.01

Annual Annual Annual Annual Annual Annual

2016 Dec Annual Jan Feb 0.2 0.0 0.04 0.00

Oct

0.00

Mar 0.00 0.00

1. Upscale area of Southern Seoul 2. Northern Seoul Source: Korea Appraisal Board

Apartment rental prices nationwide rose 0.1 percent month-on-month in March. Rental prices rose 0.2 percent in the Seoul metropolitan area and 0.1 percent in regions excluding the Seoul metropolitan area. Apartment rental price increases in major districts in Seoul (m-o-m, %) Gangnam (0.2), Seocho (0.0), Songpa (0.0), Mapo (0.3), Guro (0.2), Dobong (0.2)

apartment rental prices

(Percentage change from previous period)

2010

2011

2012

2013

2014

Annual Annual Annual Annual Annual Annual

Nationwide

7.1

12.3

3.5

4.7

3.4

4.8

2015 Nov 0.4 0.4

Oct

2016 Dec Annual Jan Feb 0.3 0.4 0.1 0.1

Mar 0.1

Seoul metropolitan area

6.3

11.0

2.1

6.2

4.7

7.1

0.6

0.6

0.4

0.5

0.2

0.2

0.2

Seoul

6.4

10.8

2.1

6.6

3.6

7.2

0.6

0.7

0.5

0.5

0.2

0.1

0.1

Gangnam¹

7.6

11.1

2.4

6.7

3.3

7.9

0.5

0.7

0.5

0.5

0.3

0.1

0.1

Gangbuk²

5.1

10.6

1.8

6.4

3.8

6.5

0.8

0.8

0.5

0.5

0.2

0.2

0.1

Areas excluding the Seoul

9.2

14.5

4.6

3.3

2.2

2.8

0.2

0.3

0.2

0.2

0.1

0.1

0.1

1. Upscale area of Southern Seoul 2. Northern Seoul Source: Korea Appraisal Board

Apartment rental prices by region Source: Korea Appraisal Board 3

(m-o-m, %)

2

1

0

-1

-2 2009.1

7

Nationwide

41

2010.1

7

2001.1

7

2012.1

7

Seoul metropolitan area

The Green Book : Current Economic Trends

2013.1

7

2014.1

7

2015.1

7

2016.1

Areas excluding Seoul metropolitan area


Apartment sales transactions in February fell 5.0 percent to 59,265 transactions from 62,365 transactions in January and decreased 24.9 percent year-on-year from 78,864.

Apartment sales transactions 2010

2011

2012

2013

(Thousands)

2014

2015

2016

Annual1 Annual1 Annual1 Annual1 Annual1 Annual1 Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb

Nationwide

67

82

61

71

84

99

112 120 110 110 111

94

86

106

98

88

62

59

1. Monthly average Source: Ministry of Land, Infrastructure and Transport

Monthly apartment transaction volume

Source: Ministry of Land, Infrastructure and Transport

160 (thousands) 140

120

100

80

60

40

20 0 2009.1

7

2010.1

7

2011.1

Nationwide

7

2012.1

7

2013.1

7

Seoul metropolitan area

2014.1

7

2015.1

7

2016.1

Areas excluding Seoul metropolitan area

12.2 Land market

Land prices nationwide rose 0.17 percent month-on-month in February. Land prices increased 0.14 percent in the Seoul metropolitan area, led by Incheon (up 0.12%) and Gyeonggi Province (up 0.11%). Land price increases in Seoul metropolitan area (m-o-m, %) 0.20 (Jul 2015) → 0.18 (Aug) → 0.18 (Sep) → 0.21 (Oct) → 0.20 (Nov) → 0.20 (Dec) → 0.13 (Jan 2016) → 0.14 (Feb)

April 2016

42


Land prices increased 0.22 percent in areas excluding the Seoul metropolitan area, led by Gwangju (up 0.17%), Ulsan (up 0.15%) and Sejong (up 0.26%). Land price increases in areas excluding Seoul metropolitan area (m-o-m, %) 0.24 (Jul 2015) → 0.21 (Aug) → 0.22 (Sep) → 0.25 (Oct) → 0.32 (Nov) → 0.34 (Dec) → 0.24 (Jan 2016) → 0.22 (Feb)

Land prices

(Percentage change from previous period)

2009 2010 2011 2012 2013

2014

Nationwide

0.96

1.05

1.17

0.96

1.14

1.96

0.53 2.40

2015 2016 Q2 Q3 Q4 Annual Jan Feb 0.48 0.59 0.60 0.72 0.34 0.17 0.17

Seoul

1.40

0.53

0.97

0.38

1.21

2.66

0.67 2.69

0.57

Annual Annual Annual Annual Annual Annual Q4 Annual Q1

0.69 0.69 0.72 0.36 0.19 0.18

Gyeonggi

1.22

1.49

1.47

1.04

0.91

1.24

0.33 1.73

0.35

0.41 0.43 0.52 0.20 0.09 0.11

Incheon

1.99

1.43

0.66

0.46

0.87

1.35

0.40 1.95

0.37

0.53 0.54 0.50 0.22 0.10 0.12

Source: Korea Appraisal Board

Land prices by region

Source: Korea Appraisal Board

15 12 9 (%) 6 3 0 -3 -6 -9 -12 -15 -18 1996

1997

National average

1998

1999

2000

2001

2002

2003

2004

2005

Metropolitan city

2006

2007

2008

City

2009

2010

2011

2012

2013

2014

2015

County

There were 191,000 land transactions in February, down 7.7 percent from the previous month and 3.7 percent from a year ago (199,000). Land transactions nationwide decreased month-on-month led by Seoul (down 2.8%), Gyeonggi Province (down 8.8%), Busan (down 19.8%), Ulsan (down 11.0%), Sejong (down 53.6%) and Jeju (down 12.2%). Vacant land transactions, which accounted for 40.8 percent of total land transactions, recorded 78,000 in February, down 6.4 percent month-on-month and up 12.4 percent compared with a year ago (69,000).

43

The Green Book : Current Economic Trends


Land and consumer prices since 1970s 60

Source: Korea Appraisal Board

(y‐o‐y, %)

50 40 30 20 10 0 -10 -20 1975

1980

1985

1990

1995

2000

2005

2010

Land price inflation

Consumer price inflation

Land transactions 2010

2015

2011

(Land lots, thousands)

2012

2013

2014

2015

2016

Annual1 Annual1 Annual1 Annual1 Annual1 Annual1 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb

Nationwide 187

208

170

187

220

257

199 278 293 262 279 290 241 229 263 259 274 207 191

Seoul

16

18

13

17

22

30

21

Gyeonggi

41

43

33

37

46

58

43

62

66

60

65

62

56

58

63

Incheon

8

10

8

8

10

12

8

12

13

12

13

15

13

12

14

33

36

34

33

36

29

27

31

29

28

21

20

61

62

48

44

13

12

8

8

1. Monthly average Source: Korea Land & Housing Corporation

Land transaction volume 500,000

Source: Korea Appraisal Board

(thousand m²)

400,000

300,000

200,000

100,000

0 2006.1

2007.1

Seoul metropolitan area

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

Areas excluding Seoul metropolitan area

April 2016

44


13. Composite indices of business cycle indicators

Industrial output in February increased 0.8 percent month-on-month and 2.4 percent year-on-year. Output rose month-on-month in mining & manufacturing (up 3.3%), services (up 0.3%) and construction (up 1.7%), but fell in public administration (down 8.1%).

Index of all industry production 20

Source: Statistics Korea (industrial activity trends)

(%)

15 10 5 0 -5 -10 -15 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

Index of all industry production (m-o-m)

2015.1

2016.1

Index of all industry production (y-o-y)

2015 Jul

2016

Aug

Sep

Oct

Nov

Dec1

Jan1

Feb1

0.5 0.3

1.2 1.3

1.0 4.6

-0.8 2.5

-0.5 2.0

1.5 2.8

-1.5 1.7

0.8 2.4

125.8 0.5

126.8 0.8

128.0 0.9

128.8 0.6

129.1 0.2

129.6 0.4

129.7 0.1

130.1 0.3

99.6 0.1

100.0 0.4

100.6 0.6

100.9 0.3

100.7 -0.2

100.7 0.0

100.5 -0.2

100.4 -0.1

Leading composite index (2010=100) (m-o-m, %)

131.0 0.4

132.0 0.8

133.3 1.0

134.3 0.8

134.8 0.4

135.0 0.1

135.4 0.3

136.0 0.4

Cyclical indicator of leading composite index (m-o-m, p)

101.8 -0.1

102.0 0.2

102.5 0.5

102.8 0.3

102.6 -0.2

102.2 -0.4

102.0 -0.2

101.9 -0.1

Index of all industry production (m-o-m, %) (y-o-y, %) Coincident composite index (2010=100) (m-o-m, %) Cyclical indicator of coincident composite index (m-o-m, p)

1. Preliminary

The cyclical indicator of the coincident composite index was down 0.1 points month-on-month to 100.4. Three components of the coincident composite index, such as the value of construction completed and service output, increased, while three others, including retail sales and imports, decreased.

45

The Green Book : Current Economic Trends


Changes in components of the coincident composite index (February, m-o-m) value of construction completed (3.2%), service output (0.3%), mining & manufacturing production (0.6%), nonfarm payroll employment (0.0%), retail sales (-1.0%), imports (-1.7%), domestic shipments (-0.1%)

Cyclical indicator of coincident composite index 110

Source: Statistics Korea (industrial activity trends)

(points)

100

90 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

The cyclical indicator of the leading composite index fell 0.1 points month-on-month to 101.9. Three components of the leading composite index, including the ratio of export to import prices and the value of construction orders received, were up, while four others, such as the consumer expectations index and domestic shipments of machinery, were down. Changes in components of the leading composite index (February, m-o-m) ratio of export to import prices (0.7%), value of construction orders received (6.5%), international commodity prices (3.1%), inventory circulation indicator (0.0%p), ratio of job openings to job seekers (0.0%p), consumer expectations index (-2.6p), domestic shipments of machinery (-2.1%), KOSPI (-1.8%), spreads between long & short term interest rates (-0.09%p)

Cyclical indicator of leading composite index 110

Source: Statistics Korea (industrial activity trends)

(points)

100

90 2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

April 2016

2016.1

46


Policy Issue 1 Government to Lift Regulations in order to Accelerate the Development of Local Growth Engines

The government unveiled on March 24 its bill to promote local economies: the Special Act on Regulation Free Zones if passed by the National Assembly. The summary of the bill is as follows:

1. Who receives the support? The industries each local government has designated as its growth engines can receive the support offered by the Special Act on Regulation Free Zones, if the local government’s proposal to promote the industries is approved by the central government. Local governments need to identify their regulation free zones (the areas the special act intends to support) in their proposals, as well as the industries to be located in the zones. Local governments also need to identify deregulation they want to be given to their regulation free zones and show how they will promote private sector investment.

2. Deregulation bill The special act contains the list of rules to be lifted or relaxed, and employs the negative list approach for the rules not included in the list. Under the Special Act on Regulation Free Zones, uncertainties are reduced as businesses are noticed in advance if they will be subject to specific regulations. Businesses located in the regulation free zone will also receive regulatory exceptions regarding the approval of new technologies and products, which will accelerate the commercialization of those technologies and products. 47

Policy Issue


3. Industries to design their own benefits Under the Special Act on Regulation Free Zones, it is possible that each regulation free zone can choose benefits most fit for itself from the list of 73 deregulation items, and the government will offer tax and other financial support to promote investment in the regulation free zones.

4. Categories of the deregulation package: 73 items Benefits given to all regulation free zones - Provide fast track patent examination - Allow businesses to use public properties if they deal with zone-specific growth engines - Lower the minimum equity holding required to establish research enterprises1 from 20 percent of the total equity capital to 10 percent - Provide tax and other financial support

Industry-specific benefits - Newly developed biomedical products to be given fast track examination, which will accelerate the commercialization of the products - Self-driving cars to be test-operated if permitted by local authorities -F uel cell buses to be test-operated, and regulations applying to the building of infrastructure needed for the commercial operation of the bus to be eased - Ease zoning regulations to promote the construction of tourist accommodations - Ease regulations on public land use to promote the coastal and marine tourism as well as solar power generation - Encourage the private sector to participate in new electricity markets, such as the negawatt market and clean electricity markets - Ease regulations applying to the production and sales of cosmetics - Promote bio-agriculture by extending the period of public land use in the Saemangeum area and allowing farming by commissioned farmers2 as well as the leasing of farmland - Allow the use of carbon fibers in the manufacturing of farming machine parts - Encourage more vocational high schools to provide education related to unmanned aerial vehicles and provide airspace which is used exclusively for the test operation of unmanned aerial vehicles - Promote high tech industries, such as the aerospace industry, IoT and high-tech sensors

Benefits related to location - Reduce time taken to get a land development approval - Ease construction regulations regarding environment protection, land use and floor ratios - Allow the private sector to draw up a public transportation transfer system which covers railways, roads, ports, airports and the nation’s other transportation infrastructure 1. Research enterprises are established by research institutes which want to commercialize technologies or products they developed, and are given tax benefits specific to those enterprises. 2. Currently only farmers are allowed to run farms.

April 2016

48


Policy Issue 2 government to improve job matching while increasing support effectiveness

The government unveiled on April 27 a new round of measures to increase jobs for young adults and women, which focuses on improving job matching and increasing the effectiveness of the current employment support.

Government to work for successful job matches - Regularly hold small-scale job matching meetings at the 17 Employment Zones of the Creative Economy Innovation Centers located nationwide: Only one or two companies will participate in the meeting, where all of the job seekers can be given opportunities to be interviewed. This will lead to far more successful job matches. Over 200 meetings will be held annually. - Promote recruitment into new growth engines, such as energy, tourism and financial industries: The government will continue to support new growth engines through regulatory reform and investment promotion, while at the same time help develop workforce the industries need by strengthening job training programs. Over 60 industry specific job matching meetings1 will be held in 2016. - Improve access to labor market information: Existing systems and databases will be integrated into one portal that can provide all round services from job search to small business operation, while public employment centers2 nationwide will provide integrated offline services from job match support to training.

Jobs for young adults - A total of 9,400 job training and internship opportunities to be made available in 17 public institutions and 16 large enterprises in 2016. These opportunities will act as a stepping stone to enter those companies or their associates as permanent employees. - Encourage universities to provide education that meets industrial needs: Enact the Industry-University 49

Policy Issue


Cooperation Act to accelerate the development of educational programs which will qualify students for better jobs. The government will give tax deductions as well as financial support to promote the development of these programs. - Encourage young adults to work for small- and medium-sized enterprises (SMEs) by providing those working for SMEs with financial support: A total of 10,000 young adults who have been working for SMEs for more than two years will be eligible for a special savings account designed to help build assets3. - Publicize the list of promising SMEs in May - Low-income young adults participating in government’s employment support programs to be eligible for extended student loan grace period and repayment period

Jobs for women - Encourage women to continue to work after having a baby: Maternity leave will be taken more flexibly and government support for substitute employees, which is given to SMEs, will be raised from 200,000 won per month to 300,000 won. - Promote returning to work after career breaks: The government will provide companies with 100 percent tax deduction for their social security insurance contributions which match woman returnees’. - Introduce an “individualized flexible working hours” system, in which female employees can plan their own flexible working hours according to their specific needs, such as childcare and education - Promote family-friendly workplaces children play at a workplace daycare center. the goverment's measures to increase jobs for young adults and women encourage women to continue working after having a baby.

1. Examples are job matching meetings to recruit tourism sector workforce, scheduled to be held in September, and energy sector workforce, scheduled to be held in October. 2. Examples are the Employment Zones of the Creative Economy Innovation Centers and Career Development Centers for the Creative Economy located at universities. 3. The government will contribute matching funds worth 2 folds of deposits made by young employees while the company will contribute the same amount of deposits as made by young employees.

April 2016

50


Policy Issue 3 Revision to Duty Free Shop Licenses Focuses on Improving Competitiveness

License period The government will allow duty free shop licenses to be extended from five years to 10 years in the second quarter of this year, and will also allow businesses to renew their duty free shop licenses1. This revision is aimed at creating a more predictable as well as stable business environment for duty free shop businesses.

License for new downtown duty free shops The government will announce whether to issue licenses for new downtown duty free shops as soon as possible. The decision will be made based on the market situation and the effect on tourism2.

Charges for the license The government will raise charges for duty free shop licenses from a single rate of 0.05 percent to a progressive rate ranging from 0.1 percent to 1.0 percent, and invest 50 percent of the total amount collected in the Tourism Promoting Fund. This investment will in turn contribute to a sales increase in duty free shops. New duty free shop charges Sales 200 billion won or less Over 200 billion won to 1 trillion won Over 1 trillion won

Charges Sales x 0.1 percent = A A + (Sales x 0.5 percent) = B B + (Sales x 1.0 percent)

1. The 5 year single-term license was introduced in 2013, replacing the 10 year one which can be renewed, but it turned out that a shorter period discourages investment and leads to worries over weakening competitiveness. 2. So far the downtown duty free shop license has been issued on the basis of the previous year’s sales data, including growth in foreign shoppers. Total sales in downtown duty free shops where the ratio of foreign shoppers is over 50 percent are counted, as well as growth in the number of foreign tourists in the district.

51

Policy Issue


Economic News Briefing

Government to improve financial support for new growth engines Measures to promote consumer goods exports announced FDI rises 19% in Q1 Government unveils three-track corporate restructuring plan New York IR reaffirms Korean economy’s strong fundamentals Korea proposes G20 closely cooperate to deal with reflexivity Government posts 8.7 tn won surplus in 2015 Korea grows 2.6% in 2015 (preliminary)


Government to improve financial support for new growth engines The government unveiled on March 31 a plan to improve financial support for new growth engines by making the process more efficient. Earlier this year, the government announced that 80 trillion won would be earmarked to support the development of new growth engines this year, out of which 49 trillion won will be in the form of loans, 23 trillion won in credit guarantees, and 8 trillion won as investment. The recently announced government plan aims to ensure that the 80 trillion won is allocated efficiently and effectively. A committee will be created and tasked with establishing guidelines for determining which industries will be designated as new growth engines and which companies will be eligible for financial support, while financial regulators will monitor the implementation of support programs and assess the performance of the companies that receive support.

Measures to promote consumer goods exports announced The Ministry of Trade, Industry and Energy announced on March 24 its plan to promote consumer goods as a new driver of export growth, which takes advantage of the growing popularity of the Korean pop culture and growing emerging markets. The government plans to step up marketing support for consumer goods companies by helping companies participate in trade fairs overseas and enter overseas markets. Large exhibitions promoting Korean food, beauty products and fashion will be held this year in China and Brazil. Other measures include lowering nontariff barriers, cracking down on counterfeit goods and providing loans to promising consumer goods companies.

FDI rises 19% in Q1 Foreign direct investment (FDI) in Korea totaled US $4.24 billion in the first quarter of 2016, up 19.3 percent from the same period of the previous year. By region, FDI from the EU (up 405.8%) and China (up 603.8%) increased, while FDI from the US (down 56.2%) and Japan (down 44.4%) decreased. By sector, FDI in manufacturing surged 226.1 percent year-on-year to US $1.26 billion, while FDI in services fell 0.6 percent to US $2.95 billion.

Government unveils three-track corporate restructuring plan The government released its plan to adopt a three-track approach to restructuring the steel, petrochemical, construction, shipbuilding and shipping industries on April 26. The first track will be followed by industries that are sensitive to current economic situations, on which basic directions for restructuring is set by a government consultative body before creditors carry out the restructuring of 53

Economic News Briefing


individual companies. The second track involves restructuring firms. According to the credit risk evaluation made by the restructuring firms, companies will either be pushed for normal business operation or for fast liquidation. The third track is for companies suffering from oversupply to follow. These companies will be urged to draw up their own restructuring plans, such as selling facilities or pursuing M&As.

New York IR reaffirms Korean economy’s strong fundamentals The Ministry of Strategy and Finance held an investor relations (IR) meeting in New York on April 13 to ensure Korean economy’s strong fundamentals at a time when the global economy faces delayed recovery and weak trade growth. Deputy Prime Minister Yoo Il Ho discussed the country’s strong macroeconomic performance indicators, healthy fiscal conditions, export boosting measures and growthfriendly policies before the over 200 financial professionals. The IR meeting also offered reassurance to the global investors as it eased uncertainties over the country’s exports and household debt.

Korea proposes G20 closely cooperate to deal with reflexivity At the G20 Finance Ministers and Central Bank Governors’ Meeting held in Washington D.C. on April 14-15, Deputy Prime Minister Yoo Il Ho emphasized the importance of preventing reflexivity in financial markets, which resulted in increased volatility even though economic fundamentals remained unchanged. Deputy Prime Minister Yoo also offered Korea’s full support for the G20 consensus that includes implementing growth-friendly fiscal policies instead of depending too much on unconventional monetary policies and promoting cooperation between the IMF and regional financing arrangements to strengthen the global financial safety net.

Government posts 8.7 tn won surplus in 2015 The government ran an 8.7 trillion won cumulative budget surplus in fiscal year 2015. The general and special accounts revenues amounted to 328.1 trillion won, while expenditures amounted to 319.4 trillion won. Surpluses excluding the carry-over from last year amounted to 2.8 trillion won in 2015, turning the year to a surplus for the first time in four years. The consolidated fiscal account posted a deficit of 0.2 trillion won, and excluding social security funds, the fiscal account registered a deficit of 38.0 trillion won. Compared to the 2015 budget plan, Korea ran less deficits in both the consolidated fiscal account and the consolidated fiscal account excluding social security funds, by 6.8 trillion won and 8.6 trillion won, respectively. Central government debt was 556.5 trillion won in 2015, and total government debt including local governments was 590.5 trillion won. April 2016

54


Korea grows 2.6% in 2015 (preliminary) Korea’s real gross domestic product (GDP) expanded 2.6 percent in 2015 compared to the previous year as private and government investment increased and construction investment growth expanded, while exports and investment in intellectual property slowed down. On the production side, agriculture, forestry & fisheries contracted 1.5 percent mainly due to drought. Manufacturing expanded 1.3 percent and services grew 2.8 percent. Construction rose 3.0 percent, led by residential building construction. On the expenditure side, private consumption increased 2.2 percent, while government consumption rose 3.4 percent. Construction investment expanded 3.9 percent, while facility investment rose 5.3 percent. Investment in intellectual property grew 1.5 percent, while exports and imports increased 0.8 percent and 3.2 percent, respectively. Real gross national income (GNI) rose 6.5 percent in 2015. Per capita GNI rose 4.6 percent to 30.94 million won, while per capita personal gross disposal income (PGDI) increased 4.7 percent to 17.57 million won.

GDP by production and expenditure* 2014

(Percentage change from previous period) 1

2015

Annual Annual

1

2

20151 (original)3

2015 (seasonally adjusted) Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

GDP

3.3

2.6

0.8

0.4

1.2

0.7

2.4

2.2

2.8

3.1

Agriculture, forestry & fisheries

3.6

-1.5

3.7

-11.0

4.7

-2.6

7.5

-4.0

-0.8

-5.0

Manufacturing

3.5

1.3

0.4

0.9

0.4

0.7

0.6

0.5

1.5

2.4

Construction

0.8

3.0

1.8

-0.1

5.5

0.7

-0.5

-1.0

4.8

7.5

Services

3.3

2.8

0.7

0.2

1.1

0.7

3.0

2.9

2.8

2.7

Private consumption

1.7

2.2

0.8

-0.1

1.1

1.4

1.5

1.7

2.2

3.3

Government consumption

3.0

3.4

0.5

0.9

1.3

1.0

3.2

3.3

3.0

3.9

Facility investment

6.0

5.3

0.5

0.8

1.8

0.5

5.8

5.1

6.7

3.9

Construction investment

1.1

3.9

5.5

1.8

3.3

-2.4

0.9

1.0

5.6

7.5

Intellectual property investment

5.4

1.5

1.7

-0.6

0.3

0.7

1.9

0.9

1.1

2.1

Exports

2.0

0.8

0.6

-0.1

-0.3

2.1

0.5

-0.4

0.5

2.5

Imports

1.5

3.2

0.9

0.4

1.4

3.2

2.1

1.6

3.1

6.1

GNI

3.4

6.5

4.0

0.0

1.5

0.0

7.5

5.8

7.5

5.5

4

*At 2010 chained prices 1. Preliminary 2. Percentage change from the previous quarter 3. Percentage change from the same period of the previous year 4. Wholesale & retail, hotels & restaurants, transportation & storage, communication services, financial & insurance services, real estate & renting, business services, public administration, defense & social security, education services, healthcare & social welfare services, entertainment, cultural & sports services and other services are included.

55

Economic News Briefing


Statistical Appendices

01. National accounts 02. Production, shipment and inventory 03. Production capacity and operation ratio 04. Consumer goods sales index 05. Consumer goods shipment index and consumer sentiment index 06. Machinery orders received and estimated facility investment index 07. Value of construction completed and domestic construction orders received 08. Composite indices of business cycle indicators and BSI 09. Balance of payments (I) 10. Balance of payments (II) 11. Prices 12. Employment 13. Financial indicators 14. Monetary indicators 15. Exchange rates


1. National accounts Period

Agri., fores. & fisheries

Manufacturing

Final consumption expenditure

Gross fixed capital formation Construction

Facilities

2008 2009 2010 2011 2012 2013 2014 2015p

2.8 0.7 6.5 3.7 2.3 2.9 3.3 2.6

5.6 3.2 -4.3 -2.0 -0.9 3.1 2.6 -1.5

3.7 -0.5 13.7 6.5 2.4 3.6 3.5 1.3

2.2 1.3 4.3 2.7 2.2 2.2 2.0 2.4

-0.9 0.3 5.5 0.8 -0.5 3.3 3.4 3.8

-2.7 3.5 -3.7 -3.4 -3.9 5.5 1.1 3.9

-0.2 -7.7 22.0 4.7 0.1 -0.8 6.0 5.3

2008 Ⅰ Ⅱ Ⅲ Ⅳ

5.5 4.1 3.9 -1.6

7.7 4.6 4.3 6.4

8.2 7.1 6.1 -5.3

4.7 3.1 2.4 -1.4

1.8 0.9 2.3 -7.0

-2.0 -0.7 0.2 -7.3

7.0 1.4 5.6 -13.0

2009 Ⅰ Ⅱ Ⅲ Ⅳ

-1.9 -1.1 0.9 4.8

2.5 0.0 5.0 5.0

-8.4 -5.7 1.6 10.4

-1.9 0.9 1.7 4.5

-5.4 -1.1 0.8 5.8

1.9 4.4 3.1 4.1

-19.4 -13.6 -5.9 9.5

2010 Ⅰ Ⅱ Ⅲ Ⅳ

7.3 7.4 5.4 6.0

0.0 -2.2 -7.8 -5.7

16.1 17.2 10.1 11.9

6.2 3.6 3.9 3.4

12.0 6.8 3.8 1.3

1.6 -4.8 -4.8 -5.1

27.6 28.8 20.6 12.9

2011 Ⅰ Ⅱ Ⅲ Ⅳ

4.9 3.6 3.3 3.0

-9.3 -2.5 -5.8 7.1

11.4 6.5 5.6 3.4

3.3 3.3 2.8 1.7

-0.7 2.5 1.7 -0.3

-8.2 -2.5 -2.2 -2.0

8.3 8.3 3.4 -0.9

2012 Ⅰ Ⅱ Ⅲ Ⅳ

2.5 2.4 2.1 2.2

0.1 -1.8 0.0 -1.3

2.7 2.8 2.0 2.0

2.2 1.3 2.7 2.7

6.2 -2.3 -0.9 -3.6

-0.2 -5.3 -2.6 -6.4

11.0 -1.9 -4.2 -3.8

2013 Ⅰ Ⅱ Ⅲ Ⅳ

2.1 2.7 3.2 3.5

-1.2 0.1 4.3 7.0

2.7 3.6 3.8 4.2

1.5 2.2 2.4 2.6

-3.2 4.2 4.9 6.5

1.2 8.9 7.5 3.5

-12.3 -3.2 2.3 11.7

2014 Ⅰ Ⅱ Ⅲ Ⅳ

3.9 3.5 3.4 2.7

5.9 4.5 2.7 2.4

4.7 4.7 3.1 1.8

2.9 1.8 2.0 1.6

6.1 3.6 3.6 0.8

4.5 0.3 2.3 -1.7

7.4 7.9 4.4 4.4

2015pⅠ Ⅱ Ⅱ Ⅳ

2.4 2.2 2.8 3.1

7.5 -4.0 -0.8 -5.0

0.6 0.5 1.5 2.4

1.9 2.1 2.4 3.4

2.6 2.2 5.1 5.4

0.9 1.0 5.6 7.5

5.8 5.1 6.7 3.9

p: Preliminary Source: Bank of Korea

57

(year-on-year change, %, chained 2010 year prices)

Real GDP

Statistical Appendices


2. Production, shipment and inventory Production index*

Period

Shipment index*

y-o-y change (%)

Inventory index*

y-o-y change (%)

(constant prices, 2010=100)

Service production index

y-o-y change (%)

y-o-y change (%)

2013 2014 2015

108.2 108.4 107.7

0.7 0.2 -0.6

108.1 108.0 107.8

0.8 -0.1 -0.2

130.7 127.4 131.2

4.4 -2.5 3.0

106.4 108.9 112.0

1.5 2.3 2.8

2013 Ⅰ Ⅱ Ⅲ Ⅳ

106.0 109.3 104.3 113.0

-0.6 0.4 0.6 2.2

106.1 109.4 104.5 112.2

-0.5 0.9 0.7 2.2

123.1 119.2 124.5 130.7

4.6 3.8 8.7 4.4

103.2 106.8 105.6 110.0

1.2 1.8 0.8 2.1

2014 Ⅰ Ⅱ Ⅲ Ⅳ

106.9 109.8 105.6 111.3

0.8 0.5 1.2 -1.5

106.6 109.3 104.9 111.3

0.5 -0.1 0.4 -0.8

129.6 128.2 129.0 127.4

5.3 7.6 3.6 -2.5

105.4 108.6 108.5 113.1

2.1 1.7 2.7 2.8

2015 Ⅰ Ⅱ Ⅲ Ⅳ

105.7 108.4 105.5 111.2

-1.1 -1.3 -0.1 -0.1

106.0 108.1 105.8 111.2

-0.6 -1.1 0.9 -0.1

132.2 134.0 137.7 131.2

2.0 4.5 6.7 3.0

108.2 111.5 111.6 116.8

2.7 2.7 2.9 3.3

2014 1 2 3 4 5 6 7 8 9 10 11 12

106.5 101.2 113.0 112.3 108.5 108.6 112.5 101.2 103.2 110.1 108.7 115.0

-4.2 4.0 3.1 2.6 -1.9 0.7 4.2 -2.6 2.1 -2.8 -3.1 1.4

105.4 101.4 113.1 111.1 108.7 108.1 109.6 101.7 103.4 109.4 109.5 115.1

-4.2 3.3 2.6 1.6 -1.5 -0.5 2.3 -3.1 2.0 -2.8 -1.7 2.2

131.6 128.8 129.6 130.7 129.6 128.2 132.6 129.9 129.0 130.0 129.2 127.4

2.3 3.4 5.3 8.3 6.5 7.6 6.9 5.2 3.6 2.9 0.1 -2.5

104.8 101.9 109.6 107.1 109.0 109.8 108.9 108.1 108.5 110.8 109.9 118.7

2.3 1.4 2.7 1.4 1.2 2.6 3.1 2.3 2.9 2.8 2.3 3.5

2015 1 2 3 4 5 6 7 8 9 10 11 12

108.1 96.0 113.1 109.8 105.2 110.3 108.7 101.4 106.3 112.4 108.5 112.6

1.5 -5.1 0.1 -2.2 -3.0 1.6 -3.4 0.2 3.0 2.1 -0.2 -2.1

108.1 96.6 113.2 109.6 105.4 109.2 107.5 102.1 107.7 112.6 108.4 112.7

2.6 -4.7 0.1 -1.4 -3.0 1.0 -1.9 0.4 4.2 2.9 -1.0 -2.1

131.3 131.9 132.2 133.7 133.0 134.0 137.1 136.8 137.7 136.1 136.2 131.2

-0.2 2.4 2.0 2.3 2.6 4.5 3.4 5.3 6.7 4.7 5.4 3.0

106.9 104.7 113.0 111.7 111.5 111.4 111.7 110.6 112.6 114.1 113.2 123.1

2.0 2.7 3.1 4.3 2.3 1.5 2.6 2.3 3.8 3.0 3.0 3.7

2016 1p

105.7 98.3

-2.2 2.4

103.9 97.6

-3.9 1.0

137.0 137.0

4.3 3.9

110.1 107.4

3.0 2.6

2p

* Including mining, manufacturing, electricity & gas and water industry p: Preliminary Source: Statistics Korea

April 2016

58


3. Production capacity and operation ratio Period

Production capacity index* (2010=100) y-o-y change (%)

y-o-y change (%)

Average operation ratio* (%)

2013 2014 2015

108.6 110.4 111.7

1.6 1.7 1.2

95.1 94.3 92.1

-2.5 -0.8 -2.3

76.5 76.2 74.3

2013 Ⅰ Ⅱ Ⅲ Ⅳ

108.1 108.3 108.8 109.3

1.7 1.5 1.7 1.7

93.7 97.9 90.8 98.3

-3.9 -3.1 -2.6 0.0

77.4 76.1 75.4 77.0

2014 Ⅰ Ⅱ Ⅲ Ⅳ

109.7 109.9 110.7 111.2

1.5 1.5 1.7 1.7

92.9 96.8 91.5 95.8

-0.9 -1.1 0.8 -2.5

77.2 76.3 75.9 75.2

2015 Ⅰ Ⅱ Ⅲ Ⅳ

111.5 111.6 111.7 112.0

1.6 1.5 0.9 0.7

90.0 94.9 89.8 93.8

-3.1 -2.0 -1.9 -2.1

74.3 74.3 74.9 73.6

2014 1 2 3 4 5 6 7 8 9 10 11 12

109.8 109.6 109.7 109.6 109.9 110.1 110.4 110.7 111.0 111.1 111.1 111.3

1.7 1.4 1.5 1.4 1.5 1.5 1.7 1.7 1.9 1.8 1.7 1.6

91.9 87.6 99.1 99.7 95.6 95.1 98.7 86.8 89.0 95.9 94.0 97.6

-7.1 3.2 2.0 1.8 -3.8 -1.2 4.3 -4.3 2.3 -3.8 -4.3 0.7

77.9 76.1 77.7 77.5 75.1 76.3 77.7 74.8 75.1 74.2 74.8 76.7

2015 1 2 3 4 5 6 7 8 9 10 11 12

111.5 111.3 111.8 111.5 111.6 111.7 111.5 111.5 112.1 112.1 112.0 111.9

1.5 1.6 1.9 1.7 1.5 1.5 1.0 0.7 1.0 0.9 0.8 0.5

92.8 81.0 96.3 95.8 91.8 97.1 94.7 86.0 88.8 95.4 91.8 94.2

1.0 -7.5 -2.8 -3.9 -4.0 2.1 -4.1 -0.9 -0.2 -0.5 -2.3 -3.5

73.9 74.7 74.2 74.4 73.5 75.0 74.4 75.4 74.9 74.0 73.1 73.8

2016 1p 2p

111.8 111.9

0.3 0.5

89.1 81.3

-4.0 0.4

72.3 73.5

* Manufacturing industry p: Preliminary Source: Statistics Korea

59

Operation ratio index* (2010=100)

Statistical Appendices


4. Consumer goods sales index

(constant prices, 2010=100)

Consumer goods sales index Durable goods Semi-durable goods

Period

y-o-y change (%)

y-o-y change (%)

Nondurable goods

y-o-y change (%)

y-o-y change (%)

2013 2014 2015

107.9 110.1 114.4

0.7 2.0 3.9

116.7 122.7 135.2

0.3 5.1 10.2

106.1 105.3 104.0

2.1 -0.8 -1.2

104.7 106.4 109.1

0.4 1.6 2.5

2013 Ⅰ Ⅱ Ⅲ Ⅳ

103.8 107.7 107.2 113.0

0.3 1.1 0.5 1.1

111.1 118.5 117.0 120.3

1.6 3.0 -1.3 -1.5

102.1 107.3 94.9 119.9

3.1 1.6 2.7 1.3

101.2 102.9 108.0 106.6

-1.6 -0.1 0.5 2.4

2014 Ⅰ Ⅱ Ⅲ Ⅳ

106.5 109.0 109.3 115.7

2.6 1.2 2.0 2.4

117.4 121.2 123.4 128.6

5.7 2.3 5.5 6.9

100.1 104.6 96.0 120.5

-2.0 -2.5 1.2 0.5

104.3 105.2 108.6 107.5

3.1 2.2 0.6 0.8

2015 Ⅰ Ⅱ Ⅲ Ⅳ

108.8 112.7 113.2 122.8

2.2 3.4 3.6 6.1

126.7 132.0 132.9 149.3

7.9 8.9 7.7 16.1

97.9 103.2 92.7 122.3

-2.2 -1.3 -3.4 1.5

105.1 107.7 112.9 110.7

0.8 2.4 4.0 3.0

2014 1 2 3 4 5 6 7 8 9 10 11 12

110.5 99.4 109.7 106.1 112.5 108.4 110.6 107.7 109.7 111.7 114.7 120.6

5.6 -0.1 2.2 0.7 1.4 1.4 1.3 3.1 1.8 0.4 1.3 5.2

116.4 117.1 118.7 114.5 121.7 127.4 131.3 118.5 120.5 118.9 128.8 138.1

3.6 10.5 3.3 -0.7 1.6 5.9 2.9 1.9 12.6 -1.4 7.2 15.0

100.5 91.8 107.9 105.6 111.5 96.8 95.5 91.3 101.3 115.7 120.5 125.2

-2.2 -1.6 -2.1 -1.0 -2.0 -4.4 -2.6 5.4 1.2 1.6 -2.7 2.5

112.1 94.5 106.2 102.4 108.7 104.5 107.5 109.9 108.4 106.5 105.6 110.3

10.2 -4.8 3.6 2.1 3.0 1.5 1.8 2.9 -2.9 0.7 0.3 1.4

2015 1 2 3 4 5 6 7 8 9 10 11 12

107.9 105.2 113.2 111.8 116.6 109.6 113.1 110.3 116.1 121.3 121.8 125.4

-2.4 5.8 3.2 5.4 3.6 1.1 2.3 2.4 5.8 8.6 6.2 4.0

128.2 117.3 134.6 129.2 130.3 136.4 140.2 129.2 129.4 143.2 146.8 158.0

10.1 0.2 13.4 12.8 7.1 7.1 6.8 9.0 7.4 20.4 14.0 14.4

97.6 91.5 104.6 107.1 114.3 88.3 92.0 88.1 98.0 122.2 124.5 120.3

-2.9 -0.3 -3.1 1.4 2.5 -8.8 -3.7 -3.5 -3.3 5.6 3.3 -3.9

102.9 105.5 106.9 105.7 111.1 106.3 109.7 111.2 117.8 110.6 109.0 112.4

-8.2 11.6 0.7 3.2 2.2 1.7 2.0 1.2 8.7 3.8 3.2 1.9

2016 1p 2p

112.9 108.5

4.6 3.1

125.2 124.1

-2.3 5.8

101.8 93.4

4.3 2.1

112.1 107.7

8.9 2.1

p: Preliminary Source: Statistics Korea

April 2016

60


5. Consumer goods shipment index and consumer sentiment index

Domestic consumer goods shipment index (2010=100) Durable goods Nondurable goods y-o-y y-o-y y-o-y change (%) change (%) change (%)

Period 2013 2014 2015

102.2 102.0 104.4

-0.3 -0.2 2.4

103.4 102.7 106.0

0.6 -0.7 3.2

101.7 101.8 103.7

-0.7 0.1 1.9

-

2013 Ⅰ Ⅱ Ⅲ Ⅳ

103.0 98.7 102.4 104.7

2.2 -1.2 -1.1 -1.2

108.3 100.9 102.6 101.8

10.7 1.8 0.1 -9.1

100.8 97.7 102.3 105.9

-1.2 -2.5 -1.5 2.4

-

2014 Ⅰ Ⅱ Ⅲ Ⅳ

100.8 100.8 102.5 104.0

-2.1 2.1 0.1 -0.7

103.5 103.0 100.8 103.3

-4.4 2.1 -1.8 1.5

99.7 99.9 103.2 104.4

-1.1 2.3 0.9 -1.4

-

2015 Ⅰ Ⅱ Ⅲ Ⅳ

101.4 100.5 105.4 110.1

0.6 -0.3 2.8 5.9

100.0 102.6 105.5 115.8

-3.4 -0.4 4.7 12.1

102.0 99.6 105.4 107.7

2.3 -0.3 2.1 3.2

-

2014 1 2 3 4 5 6 7 8 9 10 11 12

102.5 96.5 103.4 101.8 99.9 100.7 105.0 100.2 102.3 105.2 101.0 105.9

-5.8 -0.4 0.1 2.3 0.2 3.9 1.5 -3.7 2.6 -3.3 -1.8 3.5

99.8 106.7 103.9 98.2 103.7 107.2 107.2 94.9 100.3 99.9 103.1 106.9

-9.5 0.3 -3.9 0.1 2.0 4.3 -1.7 -8.6 5.7 -4.3 0.0 9.3

103.6 92.2 103.2 103.4 98.3 98.0 104.0 102.4 103.1 107.5 100.1 105.5

-4.2 -0.8 1.9 3.4 -0.5 3.8 2.9 -1.7 1.4 -2.9 -2.6 1.2

109 108 108 108 104 107 105 106 107 105 103 101

2015 1 2 3 4 5 6 7 8 9 10 11 12

104.5 94.1 105.5 105.1 98.0 98.5 103.2 103.1 109.9 112.9 106.8 110.6

2.0 -2.5 2.0 3.2 -1.9 -2.2 -1.7 2.9 7.4 7.3 5.7 4.4

101.4 92.8 105.7 107.1 98.2 102.5 107.0 103.6 105.8 115.6 114.6 117.1

1.6 -13.0 1.7 9.1 -5.3 -4.4 -0.2 9.2 5.5 15.7 11.2 9.5

105.8 94.7 105.4 104.2 98.0 96.7 101.6 102.9 111.6 111.8 103.4 107.8

2.1 2.7 2.1 0.8 -0.3 -1.3 -2.3 0.5 8.2 4.0 3.3 2.2

102 103 101 104 105 98 100 101 103 105 105 102

2016 1p 2p 3

106.3 95.4 -

1.7 1.4 -

96.8 92.8 -

-4.5 0.0 -

110.3 96.5 -

4.3 1.9 -

100 98 100

p: Preliminary Source: Statistics Korea

61

Consumer sentiment index

Statistical Appendices


6. Machinery orders received and estimated facility investment index Domestic machinery orders received excluding ship & aircraft (billion won, constant value)

Total

Period 2013 2014 2015

Public

y-o-y change (%)

Private

y-o-y change (%)

y-o-y change (%)

Facility investment index (2010=100) y-o-y change (%)

23,078 26,487 25,545

6.6 14.8 -3.6

2,580 5,012 1,921

20.5 94.2 -61.7

20,497 21,475 23,624

5.1 4.8 10.0

99.8 105.0 111.6

-0.8 5.2 6.3

2013Ⅰ Ⅱ Ⅲ Ⅳ

5,587 5,865 5,144 6,481

-11.5 8.8 2.1 32.0

429 554 522 1,075

-47.0 94.2 -9.7 129.7

5,158 5,311 4,622 5,406

-6.2 4.0 3.7 21.7

91.7 101.1 99.3 107.0

-12.7 -3.5 3.2 11.0

2014Ⅰ Ⅱ Ⅲ Ⅳ

6,627 6,106 7,673 6,081

18.6 4.1 49.2 -6.2

1,221 305 2,708 778

184.6 -45.0 418.5 -27.6

5,406 5,801 4,965 5,303

4.8 9.2 7.4 -1.9

98.6 107.9 100.7 112.9

7.5 6.7 1.4 5.5

2015Ⅰ Ⅱ Ⅲ Ⅳ

6,430 7,017 5,596 6,502

-3.0 14.9 -27.1 6.9

405 493 399 624

-66.9 61.7 -85.3 -19.8

6,025 6,524 5,197 5,878

11.4 12.5 4.7 10.8

107.7 112.8 111.0 114.7

9.2 4.5 10.2 1.6

2014 1 2 3 4 5 6 7 8 9 10 11 12

1,753 1,844 3,030 2,274 1,831 2,001 1,772 4,083 1,818 1,936 2,308 1,837

-4.9 10.7 45.8 23.2 -13.9 5.7 -8.4 151.8 14.5 -25.7 10.2 3.0

88 120 1,013 97 116 92 89 2,541 79 211 428 139

-36.9 -28.8 735.6 5.1 -53.4 -56.7 -75.3 2,653.2 10.6 -73.2 162.6 12.5

1,665 1,724 2,017 2,177 1,714 1,909 1,683 1,543 1,739 1,725 1,881 1,698

-2.3 15.2 3.1 24.2 -8.7 13.6 6.8 0.9 14.7 -5.0 -2.6 2.3

90.4 95.6 109.8 110.6 108.2 104.8 111.3 90.6 100.2 100.1 112.6 126.1

0.3 13.9 8.7 12.1 6.0 2.2 2.7 -9.9 12.8 -8.7 10.5 15.3

2015 1 2 3 4 5 6 7 8 9 10 11 12

2,313 1,853 2,264 2,766 2,096 2,155 2,004 1,684 1,908 2,048 1,965 2,489

31.9 0.5 -25.3 21.6 14.5 7.7 13.1 -58.8 5.0 5.8 -14.9 35.5

116 141 148 127 197 169 133 160 106 98 228 298

32.0 17.6 -85.4 30.7 69.4 84.7 50.2 -93.7 34.8 -53.6 -46.7 113.6

2,197 1,712 2,116 2,640 1,899 1,986 1,870 1,524 1,802 1,950 1,737 2,191

31.9 -0.7 4.9 21.2 10.8 4.0 11.2 -1.2 3.6 13.1 -7.6 29.1

103.1 98.5 121.4 113.5 107.2 117.7 119.4 105.9 107.8 112.6 107.2 124.4

14.0 3.0 10.6 2.6 -0.9 12.3 7.3 16.9 7.6 12.5 -4.8 -1.3

2016 1p 2p

1,756 2,258

-24.1 21.8

69 255

-40.7 80.9

1,688 2,003

-23.2 17.0

96.9 91.1

-6.0 -7.5

p: Preliminary Source: Statistics Korea

April 2016

62


7. Value of construction completed and domestic construction orders received

(current value, billion won)

Period

Value of construction y-o-y completed change (%) (Total)

y-o-y change (%)

y-o-y change (%)

Domestic construction orders y-o-y received change (%) (Total)

Type of order Public Private y-o-y change (%)

y-o-y change (%)

2013 2014 2015

98,089 98,491 99,967

10.6 0.4 1.5

34,459 32,015 30,694

1.9 -7.1 -4.1

59,714 62,413 65,114

18.0 4.5 4.3

77,885 90,606 134,338

-12.9 16.3 48.3

24,736 26,427 28,778

-5.1 6.8 8.9

50,947 62,115 102,449

-14.8 21.9 65.0

2013 Ⅰ Ⅱ Ⅲ Ⅳ

20,178 25,760 23,718 28,432

4.7 14.9 11.1 10.7

6,998 9,318 8,058 10,085

-6.0 4.8 6.0 2.1

12,415 15,455 14,739 17,106

14.0 24.2 16.3 17.1

13,826 18,694 16,833 28,532

-39.0 -27.4 -8.5 26.3

4,292 5,371 4,987 10,086

-24.1 -3.6 -7.7 6.8

9,180 12,636 11,442 17,688

-43.7 -33.8 -8.6 48.9

2014 Ⅰ Ⅱ Ⅲ Ⅳ

21,678 26,178 23,604 27,031

7.4 1.6 -0.5 -4.9

7,148 8,708 7,245 8,913

2.1 -6.5 -10.1 -11.6

13,677 16,513 15,359 16,864

10.2 6.8 4.2 -1.4

16,144 23,621 24,236 26,604

16.8 26.4 44.0 -6.8

5,924 6,563 5,181 8,758

38.0 22.2 3.9 -13.2

9,759 16,714 18,384 17,258

6.3 32.3 60.7 -2.4

2015 Ⅰ Ⅱ Ⅲ Ⅳ

21,315 25,034 24,816 28,803

-1.7 -4.4 5.1 6.6

6,593 8,189 7,175 8,738

-7.8 -6.0 -1.0 -2.0

13,973 15,862 16,651 18,628

2.2 -3.9 8.4 10.5

25,417 35,210 36,440 37,270

57.4 49.1 50.4 40.1

4,594 9,069 4,900 10,215

-22.5 38.2 -5.4 16.6

20,537 25,623 30,814 25,525

110.4 53.3 67.6 47.9

2014 1 2 3 4 5 6 7 8 9 10 11 12

7,057 6,666 7,954 8,477 8,192 9,509 7,916 7,722 7,966 8,241 8,350 10,439

12.5 6.9 3.7 4.6 0.4 0.2 0.8 0.7 -2.8 -4.6 -8.1 -2.5

2,315 2,207 2,626 2,740 2,584 3,384 2,430 2,324 2,492 2,533 2,675 3,705

11.7 -5.9 1.8 -3.2 -7.6 -8.3 -7.8 -9.0 -13.2 -14.2 -14.2 -7.7

4,452 4,237 4,987 5,459 5,317 5,737 5,149 5,113 5,098 5,370 5,300 6,194

12.4 15.7 4.1 9.6 4.5 6.5 4.9 5.9 1.9 0.5 -5.9 1.1

5,546 5,632 4,966 7,501 6,820 9,301 7,033 8,789 8,414 8,000 6,399 12,205

55.9 19.3 -10.5 45.6 9.6 27.0 21.8 87.4 32.1 3.2 -20.8 -3.9

2,048 2,244 1,633 1,894 1,983 2,686 1,531 1,617 2,033 1,413 1,850 5,495

57.5 57.2 -4.6 21.0 26.8 19.9 2.5 9.7 0.6 -7.0 -30.5 -6.9

3,309 3,238 3,213 5,596 4,769 6,348 5,364 6,961 6,060 6,406 4,432 6,420

56.9 -1.6 -15.0 77.1 5.1 28.5 29.3 119.4 47.0 4.3 -14.8 1.3

2015 1 2 3 4 5 6 7 8 9 10 11 12

6,824 6,690 7,801 7,709 7,767 9,558 7,895 7,939 8,982 8,503 8,709 11,590

-3.3 0.4 -1.9 -9.1 -5.2 0.5 -0.3 2.8 12.8 3.2 4.3 11.0

2,037 2,092 2,463 2,466 2,324 3,399 2,284 2,206 2,685 2,268 2,441 4,029

-12.0 -5.2 -6.2 -10.0 -10.1 0.5 -6.0 -5.1 7.8 -10.4 -8.7 8.7

4,570 4,379 5,024 4,939 5,131 5,792 5,350 5,437 5,864 5,865 5,877 6,886

2.6 3.4 0.7 -9.5 -3.5 1.0 3.9 6.3 15.0 9.2 10.9 11.2

7,515 5,435 12,467 9,055 12,639 13,516 8,685 8,659 19,097 10,378 13,226 13,666

35.5 -3.5 151.0 20.7 85.3 45.3 23.5 -1.5 127.0 29.7 106.7 12.0

1,318 1,135 2,140 2,585 2,485 4,026 1,791 1,921 1,188 1,803 3,296 5,115

-35.6 -49.4 31.3 36.5 24.0 49.9 17.0 18.8 -41.6 27.7 78.2 -6.9

6,084 4,218 10,235 6,414 10,078 9,131 6,817 6,433 17,564 8,574 9,369 7,582

83.9 30.3 218.6 14.6 111.3 43.8 27.1 -7.6 189.8 33.8 111.4 18.1

2016 1p 2p

7,355 7,251

7.8 8.4

2,062 1,987

1.2 -5.0

4,975 4,903

8.9 12.0

7,249 10,069

-3.5 85.3

2,699 2,472

104.7 117.8

4,277 7,554

-29.7 79.1

p: Preliminary Source: Statistics Korea

63

Type of order Public Private

Statistical Appendices


8. Composite indices of business cycle indicators and BSI Period

Leading index (2010=100)

Cyclical indicator of leading index (2010=100)

Coincident index (2010=100)

Cyclical indicator of coincident index (2010=100)

BSI (results)

BSI (prospects)

2012 7 8 9 10 11 12

107.8 107.8 107.5 107.8 108.6 109.4

98.9 98.5 97.8 97.6 97.8 98.1

110.4 110.3 110.6 110.6 111.3 111.9

100.2 99.6 99.5 99.1 99.3 99.4

82.1 84.4 89.3 88.9 82.2 87.0

89.7 82.7 99.5 97.0 92.5 82.0

2013 1 2 3 4 5 6 7 8 9 10 11 12

109.7 110.1 110.6 111.2 111.9 112.9 113.7 114.2 114.3 115.1 116.0 117.0

98.0 97.9 97.9 98.0 98.2 98.6 98.8 98.9 98.5 98.7 99.0 99.5

112.3 112.7 112.8 113.4 113.9 114.7 115.1 115.6 115.8 116.4 116.9 117.5

99.4 99.4 99.1 99.2 99.3 99.6 99.6 99.7 99.5 99.6 99.7 99.9

85.0 83.0 101.3 94.1 97.6 95.0 91.1 89.8 93.0 94.7 91.9 90.5

85.7 86.7 104.4 101.5 99.8 97.2 90.7 92.7 94.4 101.1 94.7 92.6

2014 1 2 3 4 5 6 7 8 9 10 11 12

117.6 117.9 117.9 118.4 118.6 119.3 119.8 121.0 122.2 122.9 123.4 124.4

99.5 99.3 98.9 98.8 98.7 98.7 98.7 99.3 99.8 100.0 99.9 100.3

118.3 118.6 119.2 119.4 119.7 120.1 120.7 121.3 121.5 121.5 121.8 122.8

100.1 100.1 100.2 100.0 99.8 99.8 99.9 100.1 99.8 99.5 99.3 99.8

89.4 87.0 100.7 95.8 93.0 91.3 90.8 89.0 92.3 93.1 90.0 95.4

93.4 88.7 104.4 99.5 101.7 94.5 94.0 91.6 93.1 100.7 93.6 94.0

2015 1 2 3 4 5 6 7 8 9 10 11 12p

126.2 127.4 128.8 129.3 130.4 130.5 131.0 132.0 133.3 134.3 134.8 135.0

101.2 101.6 102.1 102.1 102.3 101.9 101.8 102.0 102.5 102.8 102.6 102.2

123.3 124.1 124.4 124.9 124.9 125.2 125.8 126.8 128.0 128.8 129.1 129.6

99.8 100.1 99.9 100.0 99.6 99.5 99.6 100.0 100.6 100.9 100.7 100.7

94.0 89.4 101.5 101.3 95.6 79.9 88.4 86.6 96.1 97.2 95.5 95.5

90.3 92.1 103.7 97.5 99.4 96.4 84.3 89.6 95.1 101.2 95.9 97.5

2016 1p 2p 3 4

135.4 136.0 -

102.0 101.9 -

129.7 130.1 -

100.5 100.4 -

92.1 87.0 94.2 -

93.2 86.3 98.3 95.7

Sources: Statistics Korea, Bank of Korea, The Federation of Korean Industries

April 2016

64


9. Balance of payments ( I) Period

Current account

Goods

2013 2014 2015p

81,148.2 84,373.0 105,870.7

2013 Ⅰ Ⅱ Ⅲ Ⅳ

Services

Primary income

Secondary income

535,375.9 524,135.2 428,547.8

-6,499.2 -3,678.5 -15,708.1

9,055.7 4,150.8 5,901.7

-4,189.3 -4,984.7 -4,612.9

147,823.3 154,065.9 153,715.8 162,551.9

133,525.3 133,480.6 130,410.1 137,959.9

-2,667.9 647.9 -2,078.5 -2,400.7

1,812.4 1,660.5 2,346.6 3,236.2

-828.2 -546.3 -1,323.4 -1,491.4

17,595.3 25,175.7 20,977.4 25,137.0

151,471.8 158,004.3 150,820.7 152,723.8

133,876.5 132,828.6 129,843.3 127,586.8

-2,889.0 50.8 -459.6 -380.7

-736.9 556.0 1,398.7 2,933.0

-820.0 -1,674.6 -1,251.6 -1,238.5

22,439.2 27,917.6 29,108.1 26,405.8

24,216.7 33,679.8 30,637.7 31,755.8

134,439.1 142,258.7 135,363.0 136,777.0

110,222.4 108,578.9 104,725.3 105,021.2

-4,387.1 -3,092.6 -3,561.5 -4,666.9

3,830.8 -1,556.9 2,727.7 900.1

-1,221.2 -1,112.7 -695.8 -1,583.2

2014 1 2 3 4 5 6 7 8 9 10 11 12

1,870.1 4,965.6 6,313.7 7,030.6 9,187.0 7,890.3 6,096.7 6,966.9 7,601.3 8,741.5 10,755.2 6,954.1

3,847.8 6,103.7 7,643.8 10,068.2 8,786.8 6,320.7 5,677.3 7,041.2 8,258.9 7,983.9 9,593.0 7,560.1

50,116.2 47,605.8 53,749.8 56,091.9 51,957.8 49,954.6 52,416.1 48,151.0 50,253.6 51,029.1 49,241.6 52,453.1

46,268.4 41,502.1 46,106.0 46,023.7 43,171.0 43,633.9 46,738.8 41,109.8 41,994.7 43,045.2 39,648.6 44,893.0

-1,727.0 -529.9 -632.1 -226.5 159.6 117.7 343.2 -391.6 -411.2 163.7 94.0 -638.4

84.9 -444.1 -377.7 -1,912.8 629.4 1,839.4 466.0 835.6 97.1 856.3 1,183.5 893.2

-335.6 -164.1 -320.3 -898.3 -388.8 -387.5 -389.8 -518.3 -343.5 -262.4 -115.3 -860.8

2015p 1 2 3 4 5 6 7 8 9 10 11 12

6,257.1 6,081.1 10,101.0 7,729.8 8,315.5 11,872.3 9,714.8 8,546.9 10,846.4 9,120.4 9,910.3 7,375.1

6,310.3 7,020.8 10,885.6 12,090.2 8,792.6 12,797.0 9,924.9 8,805.4 11,907.4 10,605.2 10,466.1 10,684.5

45,022.1 40,294.9 49,122.1 49,908.3 43,471.9 48,878.5 47,259.6 42,991.3 45,112.1 47,298.7 43,360.4 46,117.9

38,711.8 33,274.1 38,236.5 37,818.1 34,679.3 36,081.5 37,334.7 34,185.9 33,204.7 36,693.5 32,894.3 35,433.4

-1,991.3 -1,758.8 -637.0 -804.0 -83.8 -2,204.8 -1,254.3 -1,013.0 -1,294.2 -1,701.7 -1,263.9 -1,701.3

2,558.1 1,037.8 234.9 -3,096.6 40.8 1,498.9 1,139.5 850.9 737.3 594.4 893.6 -587.9

-620.0 -218.7 -382.5 -459.8 -434.1 -218.8 -95.3 -96.4 -504.1 -377.5 -185.5 -1,020.2

2016p 1 2

6,820.9 7,507.7

7,899.7 7,904.2

37,227.8 36,552.5

29,328.1 28,648.3

-1,934.2 -1,269.2

1,253.4 852.1

-398.0 20.6

Exports

Imports

82,781.0 88,885.4 120,290.0

618,156.9 613,020.6 548,837.8

12,614.3 22,347.4 22,250.4 23,936.1

14,298.0 20,585.3 23,305.7 24,592.0

2014 Ⅰ Ⅱ Ⅲ Ⅳ

13,149.4 24,107.9 20,664.9 26,450.8

2015p Ⅰ Ⅱ Ⅲ Ⅳ

p: Preliminary Source: Bank of Korea

65

(US $ million)

Statistical Appendices


10. Balance of payments ( II)

(US $ million)

Period

Financial account*

Direct investment

Portfolio investment

Financial derivatives

Other investment

Reserve assets

Capital account

2013 2014 2015p

80,104.6 89,334.0 109,730.0

15,593.2 18,765.6 22,597.8

9,344.5 30,608.9 48,592.8

-4,410.3 -3,826.9 2,532.5

43,281.1 25,900.6 23,954.3

16,296.1 17,885.8 12,052.6

-27.0 -8.9 -64.7

2013 Ⅰ Ⅱ Ⅲ Ⅳ

11,448.7 19,645.6 22,675.5 26,334.8

3,878.4 3,397.8 3,426.8 4,890.2

7,285.9 9,776.5 -9,375.4 1,657.5

-1,395.8 513.6 -1,656.3 -1,871.8

-2,880.2 10,063.8 23,611.4 12,486.1

4,560.4 -4,106.1 6,669.0 9,172.8

-2.7 -27.5 12.8 -9.6

2014 Ⅰ Ⅱ Ⅲ Ⅳ

15,120.7 24,650.2 21,230.4 28,332.7

2,367.1 7,990.4 2,952.8 5,455.3

12,614.4 4,291.2 4,292.1 9,411.2

-1,004.6 -1,983.9 -1,649.7 811.3

-5,879.9 3,182.9 9,803.2 18,794.4

7,023.7 11,169.6 5,832.0 -6,139.5

-2.1 -4.3 3.6 -6.1

2015 p Ⅰ Ⅱ Ⅲ Ⅳ

23,800.1 28,671.4 29,615.2 27,643.3

4,386.2 7,467.6 4,920.9 5,823.1

7,838.4 6,994.1 15,096.2 18,664.1

-41.0 -461.4 4,040.7 -1,005.8

4,506.4 7,369.2 9,844.1 2,234.6

7,110.1 7,301.9 -4,286.7 1,927.3

-23.1 -25.5 -27.9 11.8

2014 1 2 3 4 5 6 7 8 9 10 11 12

3,459.5 6,830.1 4,831.1 6,109.1 8,223.5 10,317.6 4,787.1 7,866.8 8,576.5 7,243.3 10,457.9 10,631.5

-1,420.3 1,601.5 2,185.9 2,369.9 3,512.1 2,108.4 492.8 524.3 1,935.7 2,769.7 1,998.3 687.3

4,393.6 6,429.0 1,791.8 -1,793.6 2,027.7 4,057.1 1,696.5 -705.2 3,300.8 339.4 2,686.3 6,385.5

-177.3 -264.6 -562.7 -890.2 -546.6 -547.1 -597.0 -621.0 -431.7 426.1 91.7 293.5

-2,243.2 -3,260.8 -375.9 5,757.2 -2,737.4 163.1 -132.9 7,841.8 2,094.3 3,955.6 8,579.1 6,259.7

2,906.7 2,325.0 1,792.0 665.8 5,967.7 4,536.1 3,327.7 826.9 1,677.4 -247.5 -2,897.5 -2,994.5

-3.0 3.5 -2.6 2.6 -4.3 -2.6 -6.3 11.2 -1.3 -1.1 -0.8 -4.2

2015p 1 2 3 4 5 6 7 8 9 10 11 12

7,898.1 5,175.2 10,726.8 9,802.8 8,558.1 10,310.5 10,018.0 9,052.5 10,544.7 11,086.1 8,697.0 7,860.2

659.2 1,631.0 2,096.0 1,712.2 949.9 4,805.5 -15.1 328.1 4,607.9 3,501.4 903.0 1,418.7

3,623.7 3,001.5 1,213.2 138.0 358.3 6,497.8 8,277.2 2,537.4 4,281.6 7,098.9 5,128.8 6,436.4

76.2 -27.5 -89.7 -301.9 -403.7 244.2 936.4 1,618.6 1,485.7 -812.0 -609.9 416.1

-489.1 371.2 4,624.3 4,851.0 4,755.5 -2,237.3 1,792.3 8,450.1 -398.3 -931.9 1,662.4 1,504.1

4,028.1 199.0 2,883.0 3,403.5 2,898.1 1,000.3 -972.8 -3,881.7 567.8 2,229.7 1,612.7 -1,915.1

-13.0 -1.7 -8.4 -8.5 -1.5 -15.5 -29.9 1.1 0.9 -5.4 17.0 0.2

2016p 1 2

6,478.9 9,503.0

-71.5 1,554.4

4,650.7 6,199.9

1,214.5 756.6

302.9 2,557.8

382.3 -1,565.7

-6.1 -2.3

* Positive figures represent net outflows, and negative figures represent net inflows. p: Preliminary Source: Bank of Korea

April 2016

66


11. Prices Period

(2010=100)

All Items y-o-y change (%)

y-o-y change (%)

Producer prices All Items Commodities

Core

y-o-y change (%)

y-o-y change (%)

y-o-y change (%)

y-o-y change (%)

2013 2014 2015

107.7 109.0 109.8

1.3 1.3 0.7

110.1 111.1 110.3

1.0 0.9 -0.7

105.8 107.4 109.4

1.5 1.6 1.8

106.6 108.8 111.1

1.6 2.0 2.2

105.7 105.2 101.0

-1.6 -0.5 -4.0

106.2 104.8 98.0

-2.5 -1.4 -6.4

2013 1 2 3 4 5 6 7 8 9 10 11 12

107.3 107.7 107.6 107.5 107.5 107.3 107.6 107.9 108.1 107.8 107.8 107.9

1.6 1.6 1.5 1.3 1.1 1.2 1.6 1.5 1.0 0.9 1.2 1.1

109.9 110.4 110.4 109.9 109.6 109.4 109.7 110.3 110.9 110.1 110.1 110.2

1.7 1.6 1.1 0.9 0.4 0.7 1.7 1.5 0.4 0.3 1.0 0.9

105.3 105.6 105.4 105.6 105.7 105.7 105.9 106.1 106.0 106.0 106.0 106.2

1.5 1.5 1.7 1.7 1.8 1.6 1.5 1.5 1.5 1.4 1.3 1.3

105.9 106.2 106.0 106.0 106.4 106.6 106.7 106.7 107.0 107.1 107.4 107.5

1.3 1.4 1.6 1.6 1.7 1.6 1.7 1.5 1.7 1.8 2.0 1.9

106.0 106.7 106.3 105.9 105.6 105.5 105.5 105.8 105.7 105.3 105.1 105.4

-1.6 -1.6 -2.4 -2.8 -2.6 -1.4 -1.0 -1.3 -1.8 -1.4 -0.9 -0.4

106.8 107.8 107.1 106.6 106.1 106.0 106.0 106.3 106.1 105.5 105.2 105.5

-2.5 -2.5 -3.7 -4.1 -3.8 -2.2 -1.6 -2.1 -2.8 -2.2 -1.5 -0.9

2014 1 2 3 4 5 6 7 8 9 10 11 12

108.5 108.8 109.0 109.1 109.2 109.1 109.3 109.5 109.4 109.1 108.8 108.8

1.1 1.0 1.3 1.5 1.7 1.7 1.6 1.4 1.1 1.2 1.0 0.8

110.9 111.4 111.6 111.3 111.5 111.2 111.2 111.4 111.5 110.6 110.2 110.1

0.9 0.9 1.1 1.3 1.7 1.7 1.4 1.0 0.5 0.5 0.2 0.0

106.6 106.7 107.0 107.3 107.5 107.4 107.7 107.9 107.8 107.8 107.7 107.8

1.3 1.1 1.5 1.6 1.6 1.6 1.7 1.7 1.7 1.7 1.6 1.6

107.7 108.0 108.3 108.5 108.8 108.9 109.1 109.2 109.1 109.1 109.1 109.3

1.7 1.7 2.1 2.3 2.2 2.1 2.2 2.4 1.9 1.8 1.6 1.6

105.6 105.8 105.7 105.6 105.5 105.6 105.7 105.6 105.2 104.5 104.1 103.1

-0.3 -0.9 -0.5 -0.3 0.0 0.1 0.2 -0.2 -0.5 -0.8 -0.9 -2.1

105.7 105.9 105.7 105.4 105.3 105.4 105.4 105.1 104.7 103.6 103.1 101.7

-1.0 -1.7 -1.3 -1.1 -0.7 -0.6 -0.5 -1.1 -1.4 -1.8 -2.0 -3.6

2015 1 2 3 4 5 6 7 8 9 10 11 12

109.4 109.4 109.4 109.5 109.8 109.8 110.0 110.2 110.0 110.1 109.9 110.2

0.8 0.5 0.4 0.4 0.5 0.7 0.7 0.7 0.6 0.9 1.0 1.3

110.9 110.6 110.3 110.1 110.6 110.7 110.3 110.5 110.2 109.9 109.7 110.1

-0.1 -0.7 -1.2 -1.1 -0.8 -0.5 -0.8 -0.8 -1.1 -0.6 -0.5 0.0

108.2 108.4 108.7 109.0 109.2 109.2 109.8 110.0 109.9 110.1 110.1 110.3

1.5 1.5 1.6 1.6 1.6 1.6 2.0 2.0 2.0 2.1 2.2 2.3

110.3 110.4 110.6 110.7 111.1 111.1 111.3 111.5 111.4 111.6 111.7 111.9

2.4 2.3 2.1 2.0 2.1 2.0 2.0 2.1 2.1 2.3 2.4 2.4

101.9 101.9 101.8 101.8 101.8 101.8 101.4 100.8 100.3 99.7 99.3 99.0

-3.6 -3.6 -3.7 -3.6 -3.5 -3.6 -4.0 -4.5 -4.6 -4.6 -4.7 -4.0

99.7 99.7 99.5 99.3 99.3 99.3 98.6 97.7 97.0 96.0 95.3 95.0

-5.8 -5.8 -5.9 -5.8 -5.7 -5.8 -6.4 -7.1 -7.3 -7.4 -7.6 -6.6

2016 1 2 3

110.3 110.8 110.5

0.8 1.3 1.0

109.7 110.5 109.6

-1.1 -0.1 -0.6

110.8 111.0 111.2

2.4 2.4 2.3

112.2 112.5 112.5

1.7 1.8 1.7

98.5 98.5 98.4

-3.3 -3.4 -3.3

94.0 93.9 93.8

-5.7 -5.9 -5.7

Source: Bank of Korea

67

Consumer prices Commodities Services

Statistical Appendices


12. Employment Period

Economically active persons (thousands)

y-o-y change (%)

Employed persons (thousands) All industry Manufacturing y-o-y y-o-y change (%) change (%)

Unemployment SOC & services rate (%) y-o-y change (%)

2012 2013 2014 2015

25,501 25,873 26,536 26,913

1.6 1.5 2.6 1.4

24,681 25,066 25,599 25,936

1.8 1.6 2.1 1.3

4,105 4,184 4,330 4,486

0.3 1.9 3.5 3.6

19,033 19,347 19,805 20,029

2.4 1.6 2.4 1.5

3.2 3.1 3.5 3.6

2013 1 2 3 4 5 6 7 8 9 10 11 12

24,901 24,973 25,397 25,928 26,195 26,291 26,301 26,074 26,186 26,268 26,230 25,736

1.3 0.6 0.7 1.1 1.0 1.4 1.5 1.7 1.7 1.9 2.3 2.4

24,054 23,984 24,514 25,103 25,398 25,478 25,473 25,291 25,466 25,545 25,530 24,962

1.4 0.8 1.0 1.4 1.1 1.4 1.5 1.7 1.9 1.9 2.4 2.3

4,189 4,139 4,141 4,192 4,175 4,180 4,167 4,116 4,174 4,218 4,253 4,264

3.9 1.9 3.1 4.1 2.6 2.3 1.3 0.1 0.5 0.7 0.8 2.0

18,810 18,736 18,989 19,303 19,492 19,531 19,577 19,438 19,540 19,558 19,670 19,514

1.0 0.7 0.6 1.0 1.0 1.5 1.6 2.1 2.2 2.2 3.0 2.7

3.4 4.0 3.5 3.2 3.0 3.1 3.1 3.0 2.7 2.8 2.7 3.0

2014 1 2 3 4 5 6 7 8 9 10 11 12

25,650 25,997 26,187 26,714 26,762 26,825 26,891 26,775 26,766 26,809 26,786 26,270

3.0 4.1 3.1 3.0 2.2 2.0 2.2 2.7 2.2 2.1 2.1 2.1

24,759 24,819 25,163 25,684 25,811 25,875 25,979 25,885 25,917 25,951 25,968 25,384

2.9 3.5 2.6 2.3 1.6 1.6 2.0 2.3 1.8 1.6 1.7 1.7

4,280 4,274 4,284 4,288 4,324 4,345 4,358 4,335 4,347 4,361 4,355 4,406

2.2 3.3 3.5 2.3 3.6 3.9 4.6 5.3 4.1 3.4 2.4 3.3

19,376 19,407 19,538 19,819 19,815 19,841 20,003 19,940 19,949 19,973 20,098 19,896

3.0 3.6 2.9 2.7 1.7 1.6 2.2 2.6 2.1 2.1 2.2 2.0

3.5 4.5 3.9 3.9 3.6 3.5 3.4 3.3 3.2 3.2 3.1 3.4

2015 1 2 3 4 5 6 7 8 9 10 11 12

26,094 26,398 26,577 26,954 27,211 27,255 27,303 27,064 27,129 27,137 27,082 26,747

1.7 1.5 1.5 0.9 1.7 1.6 1.5 1.1 1.4 1.2 1.1 1.8

25,106 25,195 25,501 25,900 26,189 26,205 26,305 26,141 26,264 26,298 26,253 25,879

1.4 1.5 1.3 0.8 1.5 1.3 1.3 1.0 1.3 1.3 1.1 2.0

4,421 4,433 4,400 4,455 4,464 4,478 4,528 4,491 4,512 4,552 4,545 4,552

3.3 3.7 2.7 3.9 3.2 3.1 3.9 3.6 3.8 4.4 4.4 3.3

19,693 19,716 19,832 20,004 20,179 20,161 20,250 20,153 20,249 20,248 20,353 20,266

1.6 1.6 1.5 0.9 1.8 1.6 1.2 1.1 1.5 1.4 1.3 1.9

3.8 4.6 4.0 3.9 3.8 3.9 3.7 3.4 3.2 3.1 3.1 3.2

2016 1 2 3

26,433 26,734 26,955

1.3 1.3 1.4

25,445 25,418 25,800

1.4 0.9 1.2

4,566 4,541 4,525

3.3 2.4 2.8

19,955 19,885 20,028

1.3 0.9 1.0

3.7 4.9 4.3

Source: Statistics Korea

April 2016

68


13. Financial indicators Call rate (1 day)

CDs (91 days)

2012 7 8 9 10 11 12

3.1 3.0 3.0 2.8 2.8 2.8

3.3 3.2 3.1 2.9 2.9 2.9

3.6 3.4 3.3 3.3 3.3 3.3

3.0 2.8 2.8 2.8 2.8 2.9

3.1 2.9 2.9 2.9 2.9 3.0

1,881.99 1,905.12 1,996.21 1,912.06 1,932.90 1,997.05

2013 1 2 3 4 5 6 7 8 9 10 11 12

2.8 2.8 2.7 2.8 2.6 2.5 2.5 2.5 2.5 2.5 2.5 2.5

2.9 2.8 2.8 2.8 2.7 2.7 2.7 2.7 2.7 2.7 2.7 2.7

3.2 3.1 3.0 2.9 3.0 3.2 3.4 3.3 3.3 3.3 3.4 3.4

2.8 2.7 2.6 2.6 2.6 2.9 2.9 2.9 2.9 2.8 2.9 2.9

2.9 2.8 2.7 2.6 2.7 3.1 3.2 3.2 3.2 3.1 3.2 3.3

1,961.94 2,026.49 2,004.89 1,963.95 2,001.05 1,863.32 1,914.03 1,926.36 1,996.96 2,030.09 2,044.87 2,011.34

2014 1 2 3 4 5 6 7 8 9 10 11 12

2.5 2.5 2.5 2.5 2.5 2.5 2.5 2.3 2.2 2.1 2.0 2.0

2.7 2.7 2.7 2.7 2.7 2.7 2.7 2.5 2.4 2.2 2.1 2.1

3.3 3.3 3.3 3.3 3.3 3.2 3.0 3.0 2.8 2.6 2.5 2.5

2.9 2.9 2.9 2.9 2.8 2.7 2.6 2.5 2.4 2.2 2.1 2.1

3.3 3.2 3.2 3.2 3.1 3.0 2.8 2.8 2.6 2.4 2.3 2.3

1,941.15 1,979.99 1,985.61 1,961.79 1,994.96 2,002.21 2,076.12 2,068.54 2,020.09 1,964.43 1,980.78 1,915.59

2015 1 2 3 4 5 6 7 8 9 10 11 12

2.0 2.0 1.8 1.7 1.7 1.6 1.5 1.5 1.5 1.5 1.5 1.5

2.1 2.1 2.0 1.8 1.8 1.7 1.7 1.6 1.6 1.6 1.6 1.7

2.4 2.3 2.1 2.0 2.1 2.0 2.0 2.0 2.0 2.0 2.1 2.1

2.0 2.0 1.9 1.7 1.9 1.8 1.8 1.7 1.7 1.6 1.8 1.7

2.2 2.1 2.0 1.9 2.1 2.0 2.1 2.0 1.9 1.8 2.0 1.9

1,949.26 1,985.80 2,041.03 2,127.17 2,114.80 2,074.20 2,030.16 1,941.49 1,962.81 2,029.47 1,991.97 1,961.31

2016 1 2 3

1.5 1.5 1.5

1.7 1.6 1.6

2.1 2.0 2.0

1.6 1.5 1.5

1.8 1.6 1.6

1,912.06 1,916.66 1,996.00

Period

Source: Bank of Korea

69

(period average)

Yields (%) Corporate bonds (3 years, AA-)

Statistical Appendices

Treasury bonds (3 years)

Treasury bonds (5 years)

Stock KOSPI (endperiod)


14. Monetary indicators Reserve money

Period 2012 2013 2014 2015

(period average, billion won)

M1

y-o-y change (%)

M2

y-o-y change (%)

Lf y-o-y change (%)

y-o-y change (%)

82,131.1 91,379.4 103,331.5 120,691.4

9.2 11.3 13.1 16.8

441,963.6 484,062.9 536,733.4 636,639.0

3.8 9.5 10.9 18.6

1,798,625.7 1,885,781.3 2,009,576.3 2,182,911.9

5.2 4.8 6.6 8.6

2,379,518.7 2,543,232.5 2,721,502.2 2,986,698.6

7.8 6.9 7.0 9.7

2013 1 2 3 4 5 6 7 8 9 10 11 12

85,839.3 88,855.7 89,523.5 87,729.0 89,654.8 91,207.6 90,643.7 93,729.6 95,130.6 93,640.4 93,609.9 96,988.5

5.1 8.8 13.2 8.8 11.3 11.5 11.1 13.8 14.7 10.1 12.8 13.7

464,914.5 472,239.6 472,430.1 475,330.0 475,526.7 486,587.5 488,982.7 481,416.9 490,518.7 491,947.9 499,242.7 509,617.9

5.8 8.0 7.4 8.7 8.4 10.2 10.7 9.5 11.5 10.7 12.1 11.3

1,841,128.1 1,857,135.0 1,862,405.5 1,867,726.3 1,870,289.7 1,884,193.2 1,890,728.6 1,888,658.4 1,903,187.1 1,908,557.6 1,923,339.2 1,932,026.4

4.8 5.3 5.0 5.1 4.8 4.9 4.6 3.9 4.6 4.7 5.1 5.3

2,469,789.3 2,488,539.0 2,499,718.1 2,512,459.7 2,518,239.1 2,533,750.8 2,549,443.5 2,557,336.3 2,577,546.7 2,587,071.4 2,605,866.7 2,619,029.5

7.7 8.1 6.8 6.9 6.8 6.6 6.5 6.3 6.7 6.7 6.8 6.6

2014 1 2 3 4 5 6 7 8 9 10 11 12

98,541.6 100,547.9 100,624.0 98,898.5 101,791.4 101,412.3 101,164.2 107,682.4 105,354.1 107,117.5 106,667.9 110,175.6

14.8 13.2 12.4 12.7 13.5 11.2 11.6 14.9 10.7 14.4 13.9 13.6

515,742.5 518,475.5 520,299.0 518,809.3 523,069.9 532,041.2 534,028.8 538,640.3 548,550.8 551,416.0 562,006.2 577,721.1

10.9 9.8 10.1 9.1 10.0 9.3 9.2 11.9 11.8 12.1 12.6 13.4

1,937,045.6 1,954,340.7 1,964,954.0 1,970,361.6 1,982,390.9 1,999,376.3 2,013,935.1 2,031,777.2 2,037,600.8 2,051,149.8 2,083,253.5 2,088,729.8

5.2 5.2 5.5 5.5 6.0 6.1 6.5 7.6 7.1 7.5 8.3 8.1

2,635,100.1 2,647,674.0 2,659,443.2 2,669,341.4 2,684,643.9 2,703,088.1 2,725,737.6 2,743,972.5 2,759,390.8 2,776,968.0 2,817,698.0 2,834,968.4

6.7 6.4 6.4 6.2 6.6 6.7 6.9 7.3 7.1 7.3 8.1 8.2

2015 1 2 3 4 5 6 7 8 9 10 11 12

113,304.2 116,502.4 115,974.9 115,132.7 117,726.3 118,688.2 122,041.0 121,854.4 126,572.2 125,616.2 126,767.1 128,117.5

15.0 15.9 15.3 16.4 15.7 17.0 20.6 13.2 20.1 17.3 18.8 16.3

579,964.2 592,737.4 600,719.9 610,803.3 621,985.5 630,546.3 645,975.4 653,105.9 665,691.1 669,737.7 677,629.2 690,772.4

12.5 14.3 15.5 17.7 18.9 18.5 21.0 21.3 21.4 21.5 20.6 19.6

2,092,223.5 2,109,892.3 2,127,887.8 2,148,114.7 2,166,741.1 2,179,561.1 2,200,510.9 2,218,660.3 2,230,000.7 2,232,432.0 2,242,848.2 2,246,070.1

8.0 8.0 8.3 9.0 9.3 9.0 9.3 9.2 9.4 8.8 7.7 7.5

2,857,610.1 2,876,467.8 2,907,976.4 2,936,746.7 2,960,998.1 2,986,316.5 3,013,503.9 3,028,981.1 3,049,823.2 3,059,051.9 3,076,029.2 3,086,877.8

8.4 8.6 9.3 10.0 10.3 10.5 10.6 10.4 10.5 10.2 9.2 8.9

2016 1 2

131,279.3 134,913.0

15.9 15.8

699,767.3 708,014.0

20.7 19.4

2,261,356.4 2,285,313.5

8.1 8.3

3,110,890.6 3,133,492.2

8.9 8.9

Source: Bank of Korea

April 2016

70


15. Exchange rates Period

Euro/ \

Won

y-o-y change (%)

Won

y-o-y change (%)

Won

y-o-y change (%)

2012 2013 2014 2015

1,071.1 1,055.3 1,099.2 1,172.0

-7.1 -1.5 4.2 6.6

1,247.5 1,004.7 920.1 972.0

-16.0 -19.5 -8.4 5.6

1,416.3 1,456.3 1,336.5 1,280.5

-5.2 2.8 -8.2 -4.2

2013 1 2 3 4 5 6 7 8 9 10 11 12

1,082.7 1,085.4 1,112.1 1,108.1 1,128.3 1,149.7 1,113.6 1,110.9 1,075.6 1,061.4 1,062.1 1,055.3

-3.8 -3.6 -2.3 -2.3 -4.2 -0.4 -2.0 -2.1 -3.8 -3.0 -2.1 -1.5

1,188.5 1,176.2 1,180.1 1,132.0 1,116.6 1,167.2 1,135.4 1,129.2 1,098.7 1,077.5 1,038.2 1,004.7

-19.3 -15.9 -14.5 -19.8 -25.0 -19.7 -21.9 -21.8 -23.8 -21.6 -21.4 -19.5

1,469.3 1,425.8 1,425.2 1,451.3 1,471.4 1,498.2 1,476.7 1,470.6 1,451.3 1,456.6 1,444.8 1,456.3

-0.6 -6.0 -5.8 -3.4 1.0 4.4 6.0 3.6 0.5 2.7 2.7 2.8

2014 1 2 3 4 5 6 7 8 9 10 11 12

1,079.2 1,067.7 1,068.8 1,031.7 1,021.6 1,014.4 1,024.3 1,013.6 1,050.6 1,054.0 1,101.1 1,099.2

-0.3 -1.6 -3.9 -6.9 -9.5 -11.8 -8.0 -8.8 -2.3 -0.7 3.7 4.2

1,043.7 1,044.8 1,038.7 1,005.3 1,004.2 1,000.0 995.7 977.6 960.2 964.1 933.9 920.1

-12.2 -11.2 -12.0 -11.2 -10.1 -14.3 -12.3 -13.4 -12.6 -10.5 -10.0 -8.4

1,473.6 1,463.6 1,469.4 1,425.0 1,389.6 1,384.2 1,371.8 1,336.2 1,333.3 1,328.8 1,372.2 1,336.5

0.3 2.7 3.1 -1.8 -5.6 -7.6 -7.1 -9.1 -8.1 -8.8 -5.0 -8.2

2015 1 2 3 4 5 6 7 8 9 10 11 12

1,090.8 1,099.2 1,105.0 1,068.1 1,108.0 1,124.1 1,166.3 1,176.3 1,194.5 1,142.3 1,150.4 1,172.0

1.1 3.0 3.4 3.5 8.5 10.8 13.9 16.1 13.7 8.4 4.5 6.6

921.3 920.7 920.3 897.2 894.6 917.2 939.3 970.1 996.8 944.1 936.7 972.0

-11.7 -11.9 -11.4 -10.8 -10.9 -8.3 -5.7 -0.8 3.8 -2.1 0.3 5.6

1,235.7 1,230.7 1,196.8 1,187.0 1,215.2 1,260.5 1,275.4 1,317.3 1,343.9 1,254.8 1,218.3 1,280.5

-16.1 -15.9 -18.6 -16.7 -12.6 -8.9 -7.0 -1.4 0.8 -5.6 -11.2 -4.2

2016 1 2 3

1,208.4 1,235.4 1,153.5

10.8 12.4 4.4

1,017.1 1,085.8 1,026.0

10.4 17.9 11.5

1,322.2 1,348.3 1,307.4

7.0 9.6 9.2

Source: Bank of Korea

71

(end-period)

100/ \

US $/ \

Statistical Appendices


Bullfighting Bullfighting has long been a popular animal sports in rural areas, particularly in the southeastern part of Korea. Today, many cities and counties organize bullfighting festivals to attract tourists, most notably Cheongdo County in North Gyeongsang Province and Uiryeong County in South Gyeongsang Province.

Useful websites Ministry of Strategy and Finance_http://english.mosf.go.kr Ministry of Trade, Industry and Energy_http://english.motie.go.kr Financial Services Commission_http://www.fsc.go.kr/eng Financial Supervisory Service_http://english.fss.or.kr Fair Trade Commission_http://eng.ftc.go.kr Ministry of Employment and Labor_http://www.moel.go.kr/english Bank of Korea_http://www.bok.or.kr/eng Statistics Korea_http://kostat.go.kr/portal/eng


ECONOMIC BULLETIN

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April 2016

Sejong, 30109 Republic of Korea Tel. +82 2 731 1530 Fax. +82 2 731 1540 E-mail. fppr@mosf.go.kr Website. http://english.mosf.go.kr Economic Information and Education Center Korea Development Institute 263 Namsejong-ro Sejong, 30149 Republic of Korea Tel. +82 44 550 4645 Fax. +82 44 550 4941 E-mail. jiyounlee@kdi.re.kr Website. http://eb.kdi.re.kr


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