Economicbulletin03 en 0428

Page 1

ISSN 2287-7266

ECONOMIC BULLETIN (Republic of Korea)

Republic of Korea

Vol.37 No.3 March 2015

conomic u l l e t i n

Vol.37 No.3 March 2015

The Green Book: Current Economic Trends Featured Issue Opening the Door to Latin America: Korea Hosts the 2015 IDB Annual Meeting in Busan

Policy Issue Follow-up Measures to Promote President Park’s Middle East Agenda

Economic News Briefing BOK Cuts Key Rate to 1.75% Government to Support Space Technology Startups Korea Initials FTA with China Korea, Turkey Sign FTA in Investment and Services

Statistical Appendices

ECONOMIC BULLETIN

(Republic of Korea)

For free subscriptions and enquiries, please contact: International Media Relations Division Ministry of Strategy and Finance Government Complex, 477 Galmae-ro

March 2015

Sejong, 339-012 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 15 Giljae-gil (Bangok-dong) Sejong, 339-007 Republic of Korea Fax. +82 44 550 4941 E-mail. jiyounlee@kdi.re.kr Website. http://eiec.kdi.re.kr

MOSF / KDI

Tel. +82 44 550 4645


02 The Green Book: Current Economic Trends Overview

03

01. External economic situation

04

02. Private consumption

08

03. Facility investment

10

04. Construction investment

13

05. Exports and imports

15

06. Mining and manufacturing production

17

07. Service sector activity

19

08. Employment

21

09. Financial markets

25

9.1 Stock market

25

9.2 Exchange rate

25

9.3 Bond market

26

9.4 Money supply & money market

27

10. Balance of payments

29

11. Prices

31

11.1 Consumer prices

31

11.2 International oil and commodity prices

34

12. Real estate market

36

12.2 Land market

38

13. Composite indices of business cycle indicators

contents Editor-in-Chief Kim Joo-Hoon (KDI) An Il-Whan (MOSF) Editorial Board Park Joon-Kyu (MOSF) Lee Yong-Soo (KDI) Lee Jae-Yeal (KDI) Coordinators Kim Dae-Hyun (MOSF) Lee Ji-Youn (KDI) Editors David Friedman (MOSF) Jeon Aram (MOSF)

36

12.1 Housing market

41

Vol.37 No.3 / March 2015

43 Featured Issue Opening the Door to Latin America: Korea Hosts the 2015 IDB Annual Meeting in Busan

46 Policy Issue Follow-up Measures to Promote President Park’s Middle East Agenda

50 Economic News Briefing BOK Cuts Key Rate to 1.75% Government to Support Space Technology Startups External Debt Amounted to US $425.4 Billion in 2014 SME Loans to be Expanded in 2015 Korea Initials FTA with China Korea, Turkey Sign FTA in Investment and Services

53 Statistical Appendices



02

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

The Green Book: Current Economic Trends


03

ECONOMIC BULLETIN • Mar 2015

OVERVIEW Although employment continues to grow, inflation remains low amid falling oil prices and major indicators due to temporary factors. Mining and manufacturing production and retail sales fell due to the Lunar New Year holiday and a high base effect following a year-end production surge. The economy continued to add jobs in January, but at a slower rate due to a high base effect, adding 347,000 jobs year-on-year compared with 422,000 jobs in the previous month. Consumer price inflation remained low in February, rising 0.5 percent year-on-year, due to low international oil prices, while core inflation, which excludes oil and agricultural products and is more related to demand, rose 2.3 percent, staying in the two percent range. Mining and manufacturing production fell 3.7 percent in January after rising 3.4 percent the previous month due to a high base effect following a year-end production surge in the auto-manufacturing industry and other temporary factors including the Lunar New Year holiday. Service output decreased month-on-month in January from a 0.2 percent rise to a 0.4 percent fall, led by wholesale & retail. Retail sales fell 3.1 percent as cigarette sales declined and clothing and grocery sales dropped amid the warm weather and the Lunar New Year holiday. Facility investment plunged 7.1 percent month-onmonth in January, led by transportation equipment investment, as adjustment pressure increased after a continuous surge since September 2014. Year-onyear, facility investment increased 14.3 percent. Construction completed jumped from 0.3 percent to 6.1 percent as both building construction and civil engineering works improved.

The composite index of coincident indicators increased 0.1 points in January, and the composite index of leading indicators rose 1.0 points. Exports decreased 3.4 percent year-on-year in February with low oil prices pushing down oil and petrochemical product prices, and as days worked decreased by 2.5 days due to the Lunar New Year holiday. The trade balance posted a surplus of US$ 7.76 billion. In February, market interest rates rose slightly, while the KOSPI went up on an optimistic eurozone economic recovery outlook. The won depreciated against the US dollar and appreciated against the yen compared to the previous month. Both housing prices and Jeonse (lump-sum deposits with no monthly payments) prices continued to increase in February, rising 0.2 percent and 0.3 percent, respectively. Recovery in domestic consumption has not yet fully taken root, despite increasing signs of improving comsumer and investor confidence, as well as recovery in asset markets. Major indicators have been volatile month-on-month, and external uncertainties, such as a US Fed rate hike, the weak yen and vulnerabilities in oil producing countries, warrant close attention. The Korean government will continue to closely monitor internal and external economic trends, and at the same time will further improve the Korean economy’s resilience against external shocks. The government will continue to implement the Three-year Plan for Economic Innovation and 2015’s economic policies in order to revitalize the economy and pursue structural reform.


04

The Green Book : Current Economic Trends

1. External economic situation The global economy continues to recover, led by the strong US job market, and the eurozone is also looking to make improvements owing to the ECB implementing QE. However, downside risks remain as Moody’s and other major credit rating agencies downgraded Russian sovereign debt to ‘junk’ status and China had to mark down their economic growth target for 2015 (7.5% target in 2014 → 7.0% target in 2015).

World GDP growth 7.0

(%)

6.0 5.0 4.0 3.0 2.0 1.0 0.0 2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

US The US economy continues to steadily recover owing to a strong job market, despite growth in the fourth quarter being adjusted downward (2.6% → 2.2%) and the recent cold wave and the strong dollar leading to weak industrial production and consumption. Economic activities slowed down as January industrial production growth just barely registered positive (up 0.2%, m-o-m) owing to the cold wave and the strong dollar, while the ISM Manufacturing Index fell for the fourth consecutive month. ISM Manufacturing Index (base=50) 55.7 (Jun 2014) → 56.4 (Jul) → 58.1 (Aug) → 56.1 (Sep) → 57.9 (Oct) → 57.6 (Nov) → 55.1 (Dec) → 53.5 (Jan 2015) → 52.9 (Feb)

Retail sales fell 0.8 percent month-on-month in January, and indicators for consumer sentiment, which had been improving, fell in February. University of Michigan Consumer Sentiment Index (1966=100) 82.5 (Jun 2014) → 81.8 (Jul) → 82.5 (Aug) → 84.6 (Sep) → 86.9 (Oct) → 88.8 (Nov) → 93.6 (Dec) → 98.1 (Jan 2015) → 95.4 (Feb) Conference Board Consumer Confidence Index (1985=100) 86.4 (Jun 2014) → 90.3 (Jul) → 93.4 (Aug) → 89.0 (Sep) → 94.1 (Oct) → 91.0 (Nov) → 93.1 (Dec) → 103.8 (Jan 2015) → 96.4 (Feb)


05

ECONOMIC BULLETIN • Mar 2015

US GDP growth and industrial production 10

Sources: US Department of Commerce, Federal Reserve Board

(%)

8 6 4 2 0 -2 -4 -6 -8 -10 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

GDP (q-o-q, annualized rate)

2014.Q1

Industrial production (q-o-q)

The housing market recovery continued to stumble as new (down 0.2%, m-o-m) and existing home sales (down 4.9%, m-o-m) both fell in January, but housing price growth turned positive (up 0.1%, m-o-m) in December. Case-Shiller Home Price Index (m-o-m, %) 1.2 (Apr 2014) → 1.1 (May) → 1.0 (Jun) → 0.6 (Jul) → 0.2 (Aug) → -0.1 (Sep) → -0.1 (Oct) → -0.2 (Nov) → 0.1 (Dec) New home sales (m-o-m, %) 2.5 (Apr 2014) → 10.9 (May) → -10.7 (Jun) → -2.4 (Jul) → 12.3 (Aug) → 1.8 (Sep) → 2.9 (Oct) → -4.9 (Nov) → 8.1 (Dec) → -0.2 (Jan 2015)

The employment market continued to improve as the economy added more than 200,000 jobs for the 12th consecutive month with nonfarm payrolls increasing by 295,000 in February, and the unemployment rate dropped to 5.5 percent, the lowest it has been since May 2008 (5.4%). Nonfarm payroll increase (m-o-m, thousands) 249 (Jul 2014) → 213 (Aug) → 250 (Sep) → 221 (Oct) → 423 (Nov) → 329 (Dec) → 257 (Jan 2015) → 295 (Feb)

US nonfarm payroll growth and unemployment rate Source: US Department of Labor 800 600

(%)

(thousands)

12 10

400 200

8

0 6

-200 -400

4

-600 2

-800

0

-1,000 2004.1

2005.1

2006.1

2007.1

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

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Unemployment rate (right)


06

The Green Book : Current Economic Trends

(Percentage change from previous period)

Real GDP1 - Personal consumption expenditure - Nonresidential fixed investment - Residential fixed investment Industrial production Retail sales Existing home sales Unemployment rate² Consumer prices (y-o-y)

2012 2013 Annual Annual Q1 Q2 Q3 Q4 Annual Q1 2.3 2.2 2.7 1.8 4.5 3.5 2.4 -2.1 1.8 2.4 3.6 1.8 2.0 3.7 2.5 1.2 7.2 3.0 1.5 1.6 5.5 10.4 6.3 1.6 13.5 11.9 7.8 19.0 11.2 -8.5 2.5 -5.3 3.8 2.9 1.0 0.5 0.6 1.2 4.2 1.0 5.1 4.2 1.5 0.3 1.0 0.9 4.0 0.3 8.9 8.9 0.7 3.5 4.4 -7.1 -3.0 -5.1 8.1 7.4 7.7 7.5 7.2 7.0 6.2 6.6 2.1 1.5 1.7 1.4 1.5 1.2 1.6 1.4

2014 Q2 Q3 4.6 5.0 2.5 3.2 9.7 8.9 8.8 3.2 1.4 1.0 2.2 1.1 4.5 3.5 6.2 6.1 2.1 1.8

2015 Q4 Dec Jan Feb 2.6 4.2 4.8 3.4 1.1 -0.3 0.2 0.5 -0.9 -0.8 0.1 2.4 -4.9 5.7 5.6 5.7 5.5 1.5 1.3 0.8 -

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

China Consumer prices grew 0.8 percent in January as inflation continues to slow down, while exports fell somewhat owing to the Chinese New Year Holiday. The People’s Bank of China cut interest rates for both deposits (2.70% → 2.50%) and loans (5.60% → 5.30%) for the second time in three months to respond to the economic slowdown and deflation concerns. The Chinese government marked down their growth target for 2015 to 7.0 percent, down from 7.5 percent in 2014 (March 5, National People’s Congress). Manufacturing PMI (base=50) 51.7 (Jul 2014) → 51.1 (Aug) → 51.1 (Sep) → 50.8 (Oct) → 50.3 (Nov) → 50.1 (Dec) → 49.8 (Jan 2015) → 49.9 (Feb) (Percentage change from same period in previous year)

2012 Annual Annual Real GDP 7.7 7.7 Industrial production 10.0 9.7 Fixed asset investment (accumulated) 20.6 19.6 Retail sales 14.3 13.1 Exports 8.3 8.6 Consumer prices1 2.6 2.6 Producer prices1 -1.7 -1.9

Q1 7.7 9.5 20.9 12.4 18.9 2.4 -1.7

2013 Q2 7.5 9.1 20.1 13.0 4.2 2.4 -2.7

Q3 7.8 10.1 20.2 13.3 4.0 2.8 -1.7

Q4 7.7 10.0 19.6 13.5 7.5 2.9 -1.4

Q1 7.4 8.7 17.6 12.0 -3.5 2.3 -2.0

Q2 7.5 8.9 17.3 12.3 5.0 2.2 -1.5

2014 Q3 7.3 8.0 15.7 11.9 12.9 2.0 -1.3

Q4 7.3 7.6 15.7 11.7 8.6 1.5 -2.7

2015 Jan -3.3 0.8 -4.3

Dec 7.9 15.7 11.9 9.7 1.5 -3.3

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

China’s GDP growth and fixed asset investment 18

Source: China National Bureau of Statistics

(%)

(%)

70

16

60

14

50

12

40

10

30

8

20

6

10

4

0

2004.Q1

2005.Q1

GDP (y-o-y, left)

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

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


07

ECONOMIC BULLETIN • Mar 2015

Japan The Japanese economy grew in the fourth quarter for the first time since the consumption tax hike was implemented three quarters ago owing to improving exports, which were boosted by the falling yen, but the recovery in consumer consumption continues to be weak. Inflation continued to slow down in January, with consumer prices growing just 2.4 percent (excluding fresh foods 2.2%). (Percentage change from previous period)

2012 Annual Annual

Q1

2013 Q2

Q3

Q4

Q1

Q2

2014 Q3 Q4

Nov

2015 Jan

Dec

Real GDP

1.8

1.6

1.4

0.8

0.4

-0.3

1.3

-1.6

-0.7

0.4

-

-

-

Industrial production

0.2

-0.6

0.5

1.6

1.7

1.8

3.0

-3.8

-1.9

1.7

-0.5

0.8

4.0

Retail sales

1.5

1.2

0.7

0.7

0.3

1.4

3.9

-7.0

3.5

0.8

-0.2

-0.4

-1.3

Exports (y-o-y)

-2.6

9.7

1.5

7.1

12.8

17.4

6.6

0.1

3.2

9.2

4.9

12.8

17.0

Consumer prices (y-o-y)

-0.0

0.4

-0.6

-0.3

0.9

1.4

1.5

3.6

3.3

2.6

2.4

2.4

2.4

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

Source: 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 -25

-6 2004.Q1

2005.Q1

2006.Q1

GDP (q-o-q, left)

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

Industrial production (q-o-q, right)

Eurozone Eurozone growth momentum remains weak while political instability in Greece is fueling uncertainties and prices continue to fall (down 0.6% in January), leading to increasing worries of deflation. The ECB strongly responded to Greece’s debt swap plan by canceling its acceptance of Greek government bonds in return for funding. Manufacturing PMI (base=50) 52.2 (May 2014) → 51.8 (Jun) → 51.8 (Jul) → 50.7 (Aug) → 50.3 (Sep) → 50.6 (Oct) → 50.1 (Nov) → 50.6 (Dec) → 51.0 (Jan 2015)


08

The Green Book : Current Economic Trends

(Percentage change from previous period)

2012 Annual Annual Q1

2013 Q2

2014 Q3

Q4 Annual Q1

Q2

Q3

Q4

Dec

2015 Jan Feb

Real GDP

-0.7

-0.4

-0.4

0.3

0.2

0.2

0.9

0.3

0.1

0.2

0.3

-

-

-

Industrial production

-2.5

-0.7

0.3

0.6

0.0

0.6

0.7

0.2

0.0

-0.4

0.2

0.0

-

-

Retail sales

-1.7

-0.9

0.1

0.1

0.5

-0.3

1.3

0.6

0.5

0.2

0.7

0.4

1.1

-

Exports (y-o-y)

7.6

1.0

1.0

1.7

0.2

1.0

2.3

1.3

0.8

3.0

4.3

8.1

-

-

Consumer prices (y-o-y)

2.5

1.4

1.9

1.4

1.3

0.8

0.4

0.7

0.6

0.4

0.2

-0.2

-0.6

-0.3

Sources: Eurostat, Bloomberg

Eurozone’s GDP growth and industrial production 3

Source: Eurostat

(%)

10

(%)

8

2

6 4

1

2 0

0 -2

-1

-4 -6

-2

-8 -10

-3 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

GDP (q-o-q, left)

2013.Q1

2014.Q1

Industrial production (q-o-q, right)

2. Private consumption Private consumption in the fourth quarter of 2014 rose 0.5 percent (advanced estimates of GDP) compared to the previous quarter and 1.4 percent compared to a year ago.

(Percentage change from previous period)

Private consumption² (y-o-y)

Annual

2012 Q3

Q4

Annual

Q1

2013 Q2

Q3

Q4

Annual1

Q1

2014 Q2

Q3

Q41

1.9

1.2

0.4

2.0

-0.1

0.7

1.0

0.6

1.7

0.2

-0.3

1.0

0.5

-

2.6

2.7

-

1.7

2.1

2.1

2.2

-

2.5

1.5

1.5

1.4

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

Retail sales in January fell 3.1 percent month-on-month and 3.1 percent year-on-year as semi-durable goods (down 7.7%), such as clothing, and nondurable goods (down 2.9%), such as food and cigarettes, both fell.


09

ECONOMIC BULLETIN • Mar 2015

Private consumption 12

Source: The Bank of Korea (national accounts)

(%)

10 8 6 4 2 0 -2 -4 -6 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

Private consumption (q-o-q)

Retail sales 20

2014.Q1

Private consumption (y-o-y)

Source: Statistics Korea (industrial activity trends)

(%)

15

10

5

0

-5

-10 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

Retail sales (m-o-m)

2015.1

Retail sales (y-o-y)

(Percentage change from previous period)

2012 2013 Annual Annual Q3 Retail sales

-

-

0.8

Q4

Annual1

Q1

Q2

2014 Q3

Q41

Nov

Dec¹

2015 Jan¹

0.4

-

0.2

-0.2

1.3

0.4

2.1

1.5

-3.1

(y-o-y)

2.5

0.7

0.5

1.1

1.7

2.4

0.8

1.5

1.9

1.0

4.6

-3.1

- Durable goods²

5.4

0.3

-0.3

0.2

5.1

3.8

-0.2

1.8

1.3

6.9

3.2

0.2

· Automobiles

2.4

2.1

2.1

-2.1

16.6

9.8

5.3

1.2

6.3

8.4

2.0

-1.3

- Semi-durable goods³

-0.3

2.1

0.7

-0.4

-0.6

-1.4

-1.1

4.8

-1.7

-0.1

2.7

-7.7

- Nondurable goods4

2.2

0.4

1.5

0.8

0.8

-0.9

0.2

-0.7

1.0

0.6

0.1

-2.9

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


10

The Green Book : Current Economic Trends

Retail sales by type

Source: Statistics Korea (industrial activity trends)

50 (y-o-y, %) 40 30 20 10 0 -10 -20 -30 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

Durable goods

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Nondurable goods

Semi-durable goods

Retail sales growth is likely to improve in February as department store and large discount store sales increased owing to the Lunar New Year. Cell phone service transfers fell somewhat as mobile carriers reduced the discounts they offered on phones. Cellphone service transfer sales (thousands, Korea Telecommunications Operators Association) 644 (Jul 2015) → 523 (Aug) → 626 (Sep) → 375 (Oct) → 550 (Nov) → 687 (Dec) → 757 (Jan 2015) → 580 (Feb)

Department store and large discount store sales surged year-on-year in February owing to the late Lunar New Year holiday (which fell on January 31 in 2014 but fell on February 19 this year), while gas sales and credit card use both increased. (y-o-y, %)

2014

2015

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Feb

5.1

8.6

5.3

7.5

5.3

8.7

3.1

10.0

Department store sales

2.0

10.5

-6.3

-2.2

-6.5

-0.9

-11.0

7.1

Large discount store sales

-4.6

3.2

-10.1

-0.9

-4.7

-3.8

-18.3

30.5

Domestic sales of gasoline

0.6

-4.5

0.6

2.0

-2.2

2.5

5.3

12.5

Domestic sales of cars

0.7

-4.8

10.4

2.1

7.0

27.2

3.9

-3.8

Credit card use

Sources: Credit Finance Association of Korea, Ministry of Trade, Industry and Energy, Korea National Oil Corporation, Korea Automobile Manufacturers Association, Ministry of Strategy and Finance (for February data)

3. Facility investment Facility investment (advanced estimates of GDP) rose 5.6 percent quarter-on-quarter and 4.2 percent year-onyear in the fourth quarter of 2014.


11

ECONOMIC BULLETIN • Mar 2015

Facility investment 40

Source: The Bank of Korea (national accounts)

(%)

30 20 10 0 -10 -20 -30 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

Facility investment (q-o-q)

2014.Q1

Facility investment (y-o-y)

(Percentage change from previous quarter)

2012 Annual

Annual¹

Facility investment²

0.1

-1.5

(y-o-y)

-

-

- Machinery

0.3

-3.5

- Transportation equipment

-0.4

4.0

2013 Q3¹

Q4¹

Annual¹

Q1¹

2014 Q2¹

Q3¹

Q4¹

2.7

5.6

5.6

-1.9

1.1

-0.5

5.6

1.5

10.9

-

7.3

7.7

4.3

4.2

6.5

3.7

-

-4.9

0.2

2.6

-

-6.5

10.7

-

5.5

3.1

-7.0

-

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

The facility investment index in January decreased 7.1 percent month-on-month due to declines in both machinery and transportation equipment investment. The index rose 14.3 percent year-on-year.

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

(y-o-y, %)

40 30 20 10 0 -10 -20 -30 2004.Q1

2005.Q1

Transportation equipment

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

Machinery


12

The Green Book : Current Economic Trends

(Percentage change from previous quarter)

2012 2013 Annual Annual Annual¹ Facility investment index

2014 Q1

Q2

Q3

Q4¹

Oct

Nov

Dec¹

2015 Jan¹

-2.8

-0.8

5.2

-4.0

1.7

-0.9

8.5

-4.4

11.4

1.9

-7.1

-

-

-

7.5

6.7

1.5

5.3

-8.9

10.4

15.0

14.3

- Machinery

-2.7

-2.1

3.8

-6.1

0.9

-0.8

11.6

-0.5

10.6

-1.6

-2.0

- Transportation equipment

-3.0

2.8

8.8

1.6

3.6

-1.4

1.5

-14.1

13.9

11.6

-19.8

(y-o-y)

1. Preliminary Source: Statistics Korea

Facility investment is expected to increase, owing to the increase in machinery orders and improvement in business sentiment. Business survey index for manufacturing sector (Bank of Korea) 81 (Jun 2014) →78 (Jul) → 75 (Aug) → 74 (Sep) → 78 (Oct) → 74 (Nov) → 75 (Dec) → 77 (Jan 2015) → 73 (Feb) → 82 (Mar)

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

(trillion won)

70

(y-o-y, %)

60

9

50

8

40 30

7

20

6

10 0

5

-10

4

-20 -30

3

-40

2

-50 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

Machinery orders (left)

2014.Q1

Machinery imports (right)

(Percentage change from same period in previous year)

2012 2013 Annual Annual Annual¹

Q1

Q2

Q3

Q4

Oct

Nov

Dec1

2015 Jan1

-13.9

6.6

14.7

18.5

4.0

49.4

-6.4

-25.8

10.0

2.9

26.5

-

-

-

-2.0

-11.3

45.2

-26.1

6.2

16.2

-24.4

25.9

-Public

-11.0

20.5

94.1

184.6

-45.0

418.5

-28.0

-73.2

162.6

9.5

30.1

-Private

-14.2

5.1

4.7

4.7

9.1

7.7

-2.1

-5.2

-2.9

2.4

26.3

Machinery imports

-3.0

1.1

5.8

2.4

11.8

1.6

7.1

-13.6

18.8

18.5

14.0

Average manufacturing operation ratio

78.6

76.5

76.1

77.1

76.1

76.0

75.1

74.2

74.6

76.5

74.1

Facility investment adjustment pressure²

-0.7

-0.9

-1.5

-0.7

-1.1

-0.5

-3.5

-4.9

-5.1

-0.4

0.4

Domestic machinery orders (q-o-q, m-o-m)

2014

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


13

ECONOMIC BULLETIN • Mar 2015

4. Construction investment Construction investment (advanced estimates of GDP) in the fourth quarter of 2014 fell 9.2 percent quarteron-quarter and 1.8 percent year-on-year. (Percentage change from previous quarter)

2012 Annual¹ Annual¹

2013 Q3¹

Q4¹

Annual¹

Q1¹

2014 Q2¹

Q3¹

Q4¹

-3.9

6.7

0.2

-5.2

1.1

5.1

0.4

2.5

-9.2

-

-

8.8

5.4

-

4.3

0.2

2.6

-1.8

- Building construction

-1.6

8.8

0.5

-4.0

-

5.1

2.3

3.3

-

- Civil engineering works

-7.1

3.7

-0.1

-6.9

-

5.1

-2.5

1.3

-

Construction investment² (y-o-y)

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

Construction investment

Source: The Bank of Korea (national accounts)

(%) 10

5

0

-5

-10 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

Construction investment (q-o-q)

2014.Q1

Construction investment (y-o-y)

The value of construction completed (constant) in December, despite an increase in civil engineering works, fell 0.8 percent month-on-month as building construction declined. The index fell 3.2 percent year-on-year. (Percentage change from previous period)

2012 2013 Annual Annual Annual¹ Construction completed (constant)

-5.0

10.2

-0.8

Q1

Q2

2014 Q3 Q4¹

Oct

Nov¹

Dec¹

2015 Jan¹

1.0

-0.4

-2.7

-4.0

-0.1

-1.6

0.3

6.1

(y-o-y)

-

-

-

6.6

0.1

-1.9

-5.9

-5.7

-9.4

-3.2

-2.9

- Building construction

-6.6

15.1

7.8

4.8

2.0

-3.8

-3.8

0.6

-1.1

-1.2

7.5

- Civil engineering works

-3.0

4.4

-12.4

-4.6

-4.1

-0.8

-4.3

-1.1

-2.4

2.7

4.0

1. Preliminary Source: Statistics Korea


14

The Green Book : Current Economic Trends

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

(y-o-y, %)

30 20 10 0 -10 -20 -30 2004.Q1

2005.Q1

2006.Q1

2007.Q1

2008.Q1

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

Residential buildings

Building construction

2014.Q1

Civil engineering works

Construction investment is projected to rise, taking into account a fall in the number of unsold houses and an increase in construction orders, although there is a chance of drop after increasing for two consecutive months. Unsold houses (thousands, Ministry of Land, Infrastructure and Transport) 46 (Apr 2014) → 49 (May) → 50 (Jun) → 51 (Jul) → 45 (Aug) → 39 (Sep) → 40 (Oct) → 40 (Nov) → 40 (Dec) → 37 (Jan 2015) (Percentage change from same period in previous year)

2012

2013

2014

Annual Annual Annual¹ Construction orders (current value)

Q1

Q2

Q3

2015 Q41

Oct

Nov

Dec1

Jan1

-6.2

-12.9

15.3

15.5

25.4

42.8

-7.6

0.0

-20.5

-4.1

28.3

-

-

-

-5.1

12.4

22.0

-29.0

-14.9

-23.4

15.1

35.5

- Building construction

-4.7

-10.2

24.4

11.2

45.6

61.8

-5.2

10.5

-23.7

-2.3

73.0

- Civil engineering works

-9.1

-18.2

-4.4

24.0

-11.5

-6.2

-13.1

-22.9

-12.1

-7.8

-41.5

Building permits²

-0.5

-7.3

11.2

18.4

21.6

14.7

-4.6

-19.8

-17.5

-7.3

36.8

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

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

Leading indicators of construction investment Sources: Statistics Korea (construction orders), Ministry of Land, Infrastructure and Transport (building permit area) 300 250

(y-o-y, %)

200 150 100 50 0 -50 -100 2004.1

2005.1

Construction orders

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Building permit area


15

ECONOMIC BULLETIN • Mar 2015

5. Exports and Imports Exports in February declined 3.4 percent (preliminary) year-on-year to US $41.46 billion. Exports posted a slight fall month-on-month due to fewer days worked and drops in petroleum product prices amid low oil prices. By item, semiconductor and vessel exports increased, while others declined due to a fall in prices. By region, shipments to the US rose, while shipments to China, Japan, the EU and the ASEAN countries fell. Export growth by item (y-o-y, %) 127.2 (vessels), 6.9 (semiconductors), -6.4 (mobile phones), -4.1 (steel), -24.2 (petrochemicals), -44.1 (petroleum products) Export growth by region (y-o-y, %) 7.4 (US), -7.7 (China), -30.6 (EU), -26.0 (ASEAN countries), -23.4 (Japan)

Excluding petroleum products and petrochemicals whose prices significantly dropped due to falling oil prices, exports increased 3.3 percent in February. Average daily exports, an indicator adjusted to days worked, was up 9.3 percent year-on-year, posting US $2.18 billion in February. Average daily export growth (y-o-y, %) 4.9 (Jun 2014) → 5.2 (Jul) → 4.0 (Aug) → 1.2 (Sep) → 2.3 (Oct) → 1.6 (Nov) → -1.2 (Dec) → -7.1 (Jan 2015) → 9.3 (Feb) (US $ billion)

2013

2014

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

2015

Q1

Feb

Q2

Q3

Q4

Dec

Jan

Feb1

559.63

572.66

137.53

42.91

145.67

141.76

147.70

49.46

45.23

41.46

2.1

2.3

1.6

1.4

3.2

3.9

0.9

3.1

-0.7

-3.4

2.05

2.11

2.07

2.00

2.19

2.07

2.13

2.06

1.92

2.18

1. Preliminary Source: Korea Customs Service

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 2004.1

2005.1

Export growth rate

2006.1

2007.1

2008.1

Semiconductors

2009.1

2010.1

2011.1

2012.1

Automobiles

2013.1

2014.1

2015.1

Steel


16

The Green Book : Current Economic Trends

Imports in February fell 19.6 percent (preliminary) year-on-year to US $33.80 billion. Imports of capital goods and consumer goods increased, but commodity imports fell sharply due to low oil prices. Import growth by category (y-o-y, %) -34.1 (commodities), 3.6 (capital goods), 7.4 (consumer goods) (US $ billion)

2013 Imports

2014

2015

Annual

Annual

Q1

Feb

Q2

Q3

Q4

Dec

Jan

Feb1

515.59

525.51

132.37

42.06

130.96

132.84

129.35

43.91

39.83

33.80

(y-o-y, %)

-0.8

1.9

2.0

4.0

3.3

5.4

-2.8

-1.0

-11.0

-19.6

Average daily imports

1.89

1.94

1.99

1.96

1.97

1.94

1.86

1.83

1.69

1.78

1. Preliminary Source: Korea Customs Service

Imports by item 120

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

(y-o-y, %)

100 80 60 40 20 0 -20 -40 -60 -80

2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

Import growth rate

2011.1

2012.1

2013.1

2014.1

Commodities

Exports and imports 80

2010.1

2015.1

Capital goods

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

(US $ billion)

70 60 50 40 30 20 10 0 -10 2004.1

2005.1

Trade balance

2006.1

2007.1

2008.1

2009.1

2010.1

Exports

2011.1

2012.1

2013.1

2014.1

2015.1

Imports


17

ECONOMIC BULLETIN • Mar 2015

The trade balance (preliminary) in February remained in the black for the 37th consecutive month, posting a surplus of US $7.66 billion. (US $ billion)

2013 Trade balance

2014

2015

Annual

Annual

Q1

Feb

Q2

Q3

Q4

Dec

Jan

Feb1

44.05

47.15

5.17

0.85

14.72

8.92

18.35

5.55

5.40

7.66

1. Preliminary Source: Korea Customs Service

6. Mining and manufacturing production Mining and manufacturing production fell 3.7 percent month-on-month in January after a year-end production surge and also due to two-day holidays taken in the auto-manufacturing and shipbuilding industries at the beginning of the year. Compared to the same period of the previous year, the index increased 1.8 percent. Compared to the previous month, production of communications equipment (up 6.4%) and semiconductors (up 1.2%) rose, while production of automobiles (down 7.7%), other transportation equipment (down 9.9%), mechanical equipment (down 6.8%) and processed metals (down 8.4%) decreased. Compared to a year ago, production of mechanical equipment (up 7.7%), semiconductors (up 6.3%) and chemical products (up 4.0%) rose, while communications equipment (down 9.0%) and other transportation equipment (down 5.2%) declined. (Percentage change from previous period)

2013 Annual Annual¹

Mining and manufacturing activity²

Manufacturing indicators

Q1

Q2

2014 Q3

Q4¹

Nov

Dec¹

2015 Jan¹

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

-

-

-0.3

-0.6

0.1

-0.9

0.3

3.4

-3.7

(y-o-y)

0.7

0.0

0.7

0.5

1.2

-1.9

-3.5

1.1

1.8

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

-

-

-0.2

-0.7

0.1

-1.0

0.5

3.3

-3.7

(y-o-y)

0.7

0.1

0.7

0.4

1.2

-1.9

-3.5

1.0

1.7

Shipment

0.7

0.0

-0.3

-0.3

-0.4

0.0

2.4

2.0

-3.3

- Domestic consumption

-0.5

0.1

-0.6

-0.1

-0.8

-0.7

1.0

1.9

-2.8

- Exports

2.6

-0.4

-0.1

-0.3

0.1

1.0

3.2

2.7

-4.0

Inventory³

4.4

-1.9

-0.3

0.6

0.9

-2.4

-1.4

-0.5

0.1

Average operation ratio (%)

76.5

76.1

77.1

76.1

76.0

75.1

74.6

76.5

74.1

Production capacity (y-o-y)

1.6

1.6

1.4

1.5

1.7

1.6

1.6

1.4

1.3

1. Preliminary 2. Including mining, manufacturing, electricity and gas industry 3. End-period


18

The Green Book : Current Economic Trends

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

(%)

40 30 20 10 0 -10 -20 -30 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

Industrial production (m-o-m)

2014.1

2015.1

Industrial production (y-o-y)

The manufacturing inventory-shipment ratio rose 4.0 percentage points month-on-month to 120.4 percent as inventories rose 0.1 percent and shipments fell 3.3 percent. Inventories of communications equipment (up 28.6%), primary metals (up 1.9%) and groceries (up 4.7%) rose, while electronic components (down 4.9%) and refined petroleum (down 6.5%) declined. Shipments of refined petroleum (up 2.0%), nonmetallic minerals (up 7.0%) and semiconductors (up 1.3%) rose, while automobiles (down 8.3%), mechanical equipment (down 8.8%) and primary metals (down 4.2%) fell. The average operation ratio of the manufacturing sector fell 2.4 percentage points month-on-month to 74.1 percent.

Shipment and inventory 10 8

Source: Statistics Korea (industrial activity trends)

(m-o-m, %)

6 4 2 0 -2 -4 -6 -8 -10 -12 2004.1

2005.1

Shipment growth

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Inventory growth


19

ECONOMIC BULLETIN • Mar 2015

Average manufacturing operation ratio 100

Source: Statistics Korea (industrial activity trends)

(%)

90

80

70

60

50 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Mining and manufacturing production will likely improve in February given that average daily exports increased in February and the January slowdown was due to temporary factors.

7. Service sector activity Service output in January declined month-on-month as gains in hotels & restaurants and education services were offset by declines in wholesale & retail and real estate & renting. Compared to the same period of the previous year, service output increased 2.4 percent. Hotels & restaurants (up 2.1%, m-o-m) and entertainment, cultural & sports services (up 6.8%, m-o-m) rose from a recent negative trend, while education services (up 0.9%, m-o-m) continued to increase. Wholesale & retail (down 2.8%, m-o-m), transportation services (down 0.8%, m-o-m) and real estate & renting (down 4.2%, m-o-m) fell from a recent positive trend, and transportation services (down 0.2%, m-o-m) continued to decline.

Service sector activity 20

Source: Statistics Korea (industrial activity trends)

(%)

15 10 5 0 -5 -10 2004.1

2005.1

2006.1

Service sector activity (m-o-m)

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Service sector activity (y-o-y)


20

The Green Book : Current Economic Trends

Wholesale & retail 20

Statistics Korea (industrial activity trends)

(%)

15 10 5 0 -5 -10 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

Wholesale & retail (m-o-m)

2015.1

Wholesale & retail (y-o-y)

(Percentage change from previous period)

Weight Service activity index

2012 2013 Annual Annual Q4 Annual1 Q1

Q2

2014 Q3

2015 Q41 Nov Dec1 Jan1

100.0

1.6

1.5

0.8

2.2

0.7

0.1

0.9

1.0

0.2

21.6

0.8

0.1

0.8

-0.2

-0.4 -0.5

0.1

0.1

0.1

1.2 -2.8

- Transportation services

8.5

1.2

1.0 -0.3

1.7

0.8

0.6

2.6

1.7

1.3 -0.8

- Hotels & restaurants

7.2

-1.2

0.5

0.9

1.2

0.2 -1.5

- Publishing & communications services

8.4

3.0

2.2

3.0

1.7

-1.2

- Wholesale & retail

- Financial & insurance services

0.7

0.2 -0.4

2.6 -1.2 -0.8 -2.7

0.9 -0.2

14.7

2.8

0.5

0.5

5.2

2.5

1.2

2.1

2.9

1.9 -0.7

- Real estate & renting

5.3

-4.8

2.5

2.7

6.2

0.2

4.4

0.0

3.6

0.6

- Professional, scientific & technical services

5.6

3.7

3.3

0.4

2.4

0.1

2.6 -1.1

- Business services

3.3

3.5

2.1

0.4

2.4

1.5 -0.6

- Education services

0.3

2.1

0.1 -1.2 -0.5 -0.2 0.5

0.5 -4.2

2.5 -1.3

0.5

0.9

1.9 -2.0

0.1

0.0

10.9

0.9

0.8

0.3

1.3

1.6 -1.9

1.1 -0.1 -1.1

0.1

0.9

- Healthcare & social welfare services

7.5

6.7

5.2

1.7

6.3

1.4

1.4

0.4

0.4

- Entertainment, cultural & sports services

2.9

2.8

-0.7 -0.4

-1.1

0.0 -4.7

- Membership organizations & personal services - Sewerage & waste management

3.6

-1.4

6.1

1.7

-0.7

-1.0

0.6

-0.6

-0.4

1.2

1.0

0.2 -1.4

1.0

2.7

0.8

6.1 -2.0 -0.1 -3.9

1.1 -1.0 1.6

6.8

0.5 -2.2

3.4

1.1

1.1 -2.4

4.7 -1.4

1. Preliminary Source: Statistics Korea

January 2015 service output by business 12 10

Source: Statistics Korea (industrial activity trends) Professional, scientific & technical services

(y-o-y, %)

8

Transportation services

6 4 Total index 2

Publishing & communications services

Education services

Entertainment, cultural & sports services

Sewerage & waste management

0 -2 -4 -6 -8 -10 -12

Wholesale & retail

Hotels & restaurants

Real estate & renting

Financial & insurance services

Business services

Health & social welfare services

Membership organizations & personal services


21

ECONOMIC BULLETIN • Mar 2015

Service output in February will be affected by positive factors, such as rises in stock transactions, department store sales and large discount store sales, and also by negative factors, such as a decline in car sales. Average daily stock transactions (trillion won) 5.5 (May 2014) → 5.4 (Jun) → 6.0 (Jul) → 6.3 (Aug) → 6.6 (Sep) → 6.8 (Oct) → 6.7 (Nov) → 6.0 (Dec) → 7.2 (Jan 2015) → 7.5 (Feb)

8. Employment The number of workers on payroll in January increased by 347,000 from a year earlier to 25,110,000 and the employment rate rose 0.2 percentage points to 58.7 percent. By industry, services and manufacturing continued to lead employment growth. By employment status, permanent workers continued to lead employment growth, while self-employed workers and unpaid family workers declined by a wider margin. 2010 2011 2012 2013 Annual Annual Annual Annual Q3 Number of employed (millions)

Q4 Annual Q1

Q2

2014 Q3

Q4

Jan

Dec

2015 Jan

23.83 24.24 24.68 25.07 25.41 25.35 25.60 24.91 25.79 25.93 25.77 24.76 25.38 25.11

Employment rate (%)

58.7 59.1 59.4 59.5 60.3 60.0 60.2 58.8 60.8 60.9 60.4 58.5 59.4 58.7

(Seasonally adjusted)

58.7 59.1 59.4 59.5 59.7 59.9 60.2 60.4 59.9 60.3 60.3 60.3 60.3 60.5

Employment growth (y-o-y, thousands)

323

415

437

386

421

541

533

729

464

517

422

705

422

347

(Excluding agriculture, forestry & fisheries)

405

440

451

394

402

556

601

717

518

638

531

658

516

451

- Manufacturing

191

63

14

79

26

49

146

123

136

194

129

90

142

141

- Construction - Services

33

-2

22

-19

4

-9

42

27

12

57

72

18

83

70

200

386

416

318

354

507

424

570

387

403

336

546

292

242

- Agriculture, forestry & fisheries

-82

-25

-14

-8

19

-15

-68

12

- Wage workers

517

427

315

483

526

604

548

711

485

519

476

675

464

458

697

575

436

615

632

637

443

606

478

333

355

660

372

353

-34

-78

· Permanent workers · Temporary workers

-54 -121 -109

47

-94 -104

-2

-96

-65

2

140

74

118

226

141

-35

129

141

-146

-70 -120

-37

-42

-35

-35

31 -111

-40

-20

50

-38

-36

-194

-11

121

-97 -105

-63

-15

19

-22

-3

-54

30

-42 -111

-118

1

124

-67

-83

-54

1

-7

-14

19

7

8

-6

-68

- Male

181

238

234

186

179

262

266

373

228

268

196

380

184

113

- Female

142

177

203

200

242

279

267

357

236

249

226

324

238

235

- 15 to 29

-43

-35

-36

-50

-41

46

77

97

53

102

56

74

41

27

- 30 to 39

-4

-47

-31

-21

-34

-42

-21

-6

-42

-7

-29

11

-30

-17

· Daily workers - Nonwage workers · Self-employed workers

- 40 to 49

29

57

11

22

30

53

38

99

34

15

4

90

3

-27

- 50 to 59

294

291

270

254

279

285

239

323

227

215

190

320

209

191

47

149

222

181

187

200

200

218

192

192

201

210

199

174

- 60 or more Source: Statistics Korea


22

The Green Book : Current Economic Trends

Number of persons employed and employment growth 1,000

Source: Statistics Korea (employment trends)

(thousands)

27

(millions)

800

26

600

25

400 24 200 23

0

22

-200 -400

21 2004.1

2005.1

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

Number of employed (seasonally adjusted, right)

Employment rate Source: Statistics Korea (employment trends) 64

(%)

63 62 61 60 59 58 57 56 55

2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

Original data

2014.1

2015.1

Seasonally adjusted rate

Employment by industry

Source: Statistics Korea (employment trends)

100

80

60

69.3 69.2 69.0 68.7 69.0 70.4 70.9 71.1 70.2 69.4 69.2 69.1 69.4 69.6 69.4 69.1 69.7 70.8 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

40 7.1 7.1 7.1 7.3 7.2 7.2 6.9 6.7 6.9 7.1 7.1 7.1 7.0 6.9 7.0 7.1 7.0 7.0 6.8 6.7 6.8 6.9 7.1 7.1 7.1 7.0 7.1 7.1 7.2 7.2 7.0 20 16.4 16.5 16.6 16.7 16.9 17.1 17.4 17.3 16.9 16.7 16.4 16.4 16.4 16.3 16.4 16.5 16.7 17.1 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 0 6.8 6.8 6.8 6.9 6.5 4.9 4.3 4.6 5.6 6.3 6.7 6.9 6.7 6.8 6.8 6.9 6.2 4.7 4.4 4.5 5.3 6.1 6.4 6.5 6.2 6.2 6.2 6.2 5.8 4.2 3.9 2012.7 8

Services

9

10

11 12 2013.1 2

3

4

5

6

Construction

7

8

9

10

11 12 2014.1 2

Manufacturing

3

4

5

6

7

8

9

10

11 12 2015.1

Agriculture, forestry & fisheries


23

ECONOMIC BULLETIN • Mar 2015

Employment by status of workers Source: Statistics Korea (employment trends) 100 5.3 5.3 5.4 5.3 5.2 4.5 4.2 4.2 4.7 5.0 5.0 5.2 5.1 5.2 5.2 5.3 5.1 4.3 4.2 4.3 4.6 4.8 5.0 5.0 5.0 5.0 4.9 4.9 4.7 4.1 4.0

80

23.4 23.3 23.2 23.1 22.9 22.7 22.7 22.8 23.0 22.8 22.6 22.5 22.6 22.7 22.5 22.4 22.2 21.9 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 6.4 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 6.7 6.4 6.4 6.7 6.8 6.6 6.2 6.0 6.0 6.5 6.7 6.7 6.3 6.1 6.3 6.5 6.4

60

20.2 19.9 19.8 19.8 19.9 20.0 19.9 19.7 19.5 19.5 19.5 19.5 19.6 19.2 19.4 19.4 19.5 19.5 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

40 44.4 45.1 45.2 45.1 45.2 46.2 46.9 47.3 47.0 46.3 46.2 46.1 46.4 46.8 46.7 46.5 46.9 47.8 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 20

0 2012.7 8

9

10

11 12 2013.1 2

Unpaid family workers

3

4

5

6

7

8

9

10

Self-employed workers

11 12 2014.1 2

3

Daily workers

4

5

6

7

8

9

10

Temporary workers

11 12 2015.1

Regular workers

The number of unemployed persons in January increased by 97,000 year-on-year to 988,000, and the unemployment rate rose 0.3 percentage points to 3.8 percent. The unemployment rate rose in all age groups excluding those in their 60s. The economically inactive population in January was up 27,000 from a year earlier to 16,680,000, while the labor force participation rate rose 0.4 percentage points to 61.0 percent. The number of those economically inactive due to housework (down 130,000, y-o-y) and education (down 129,000, y-o-y) decreased, while those due to rest (up 139,000, y-o-y) and childcare (up 72,000, y-o-y) increased.

2010 2011 2012 2013 Annual Annual Annual Annual Q3

Q4 Annual Q1

Q2

2014 Q3

Q4

Jan

Dec

2015 Jan

937 1,031

977

884

854

891

886

988

Number of unemployed (thousands)

920

855

820

807

777

733

Unemployment growth (y-o-y, thousands)

31

-65

-35

-13

7

11

137

125

165

107

121

44

113

97

- Male

-7

-48

-26

-6

11

-7

49

40

62

37

59

3

56

50

- Female

38

-17

-9

-7

-4

18

80

84

103

70

63

41

58

47

Unemployment rate (%)

3.7

3.4

3.2

3.1

3.0

2.8

3.5

4.0

3.7

3.3

3.2

3.5

3.4

3.8

(Seasonally adjusted)

3.7

3.4

3.2

3.1

3.1

3.0

3.5

3.5

3.7

3.5

3.5

3.2

3.5

3.4

-15 to 29

8.0

7.6

7.5

8.0

7.9

7.9

9.0

9.8

9.4

8.6

8.3

8.7

9.0

9.2

- 30 to 39

3.5

3.4

3.0

3.0

2.9

2.6

3.1

3.2

3.4

3.0

2.8

2.6

2.7

2.9

- 40 to 49

2.5

2.1

2.0

2.0

1.9

1.7

2.2

2.3

2.4

2.1

2.1

2.0

2.2

2.2

- 50 to 59

2.5

2.1

2.1

1.9

1.8

1.5

2.2

2.2

2.3

2.1

2.2

2.0

2.3

2.6

- 60 or more

2.8

2.6

2.4

1.8

1.2

1.4

2.3

4.4

1.9

1.5

1.6

4.0

1.8

4.0

Source: Statistics Korea


24

The Green Book : Current Economic Trends

Unemployment rate 6

Source: Statistics Korea (employment trends)

(%)

5

4

3

2 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

Original data

2015.1

Seasonally adjusted rate

Labor force participation rate 65

2014.1

Source: Statistics Korea (employment trends)

(%)

64 63 62 61 60 59 58 57 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

Original data

2015.1

Seasonally adjusted rate

2010 2011 2012 2013 Annual Annual Annual Annual Q3 Economically inactive population (millions)

2014.1

Q4 Annual Q1

Q2

2014 Q3

Q4

Jan

Dec

2015 Jan

15.84 15.95 16.08 16.22 15.98 16.17 15.98 16.40 15.69 15.76 16.07 16.65 16.46 16.68

Labor force participation rate (%) 61.0 61.1 61.3 61.5 62.1 61.7 62.4 61.3 63.1 63.0 62.4 60.6 61.5 61.0 (Seasonally adjusted)

61.0 61.1 61.3 61.5 61.6 61.7 62.4 62.6 62.2 62.5 62.4 62.3 62.5 62.6

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

143

112

128

141

78

- Childcare

-125

-5

-2

1

9

-91 -246 -433 -226 -222 -101 -322

-78

27

-14

-15

72

-39

-29

-57

-41 -99

- Housework

201

101

123

-3

-80 -112 -131 -230 -127

- Education

12

-51

-12

77

88

- Old age - Rest

80

-45

148

54

32

-56

182

-53

-7

12

Source: Statistics Korea

-44

-31

-18

-67 -206

-93 -130

-72

-72

-91 -129

91

89

73

80

60

-65

-15 -154

52

139

-81

-76

-68 -109

21

93

81

113

21

-92 -197

-90


25

ECONOMIC BULLETIN • Mar 2015

9. Financial markets 9.1 Stock market The KOSPI rose 1.9 percent in February from 1,949 points to 1,986 points. The KOSPI rose due to inflows of overseas funds, which increased as a rebound in international oil prices and an agreement to extend the bailout for Greece eased global uncertainties.

Stock prices 2,200

(monthly average)

2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

KOSPI

2015.1

KOSDAQ

(Closing rate)

Jan 2014

KOSPI Feb 2015

Change1

Stock price index (points)

1,949.3

1,985.8

Market capitalization (trillion won)

1,213.5 4.4 34.3

Average daily trade value (trillion won) Foreign stock ownership (%, %p)

Jan 2014

KOSDAQ Feb 2015

Change1

36.5 (1.9%)

591.6

624.6

33.0 (5.6%)

1,235.2

21.7 (1.8%)

156.6

166.7

10.1 (6.4%)

4.5

0.1 (2.3%)

2.8

3.0

0.2 (7.1%)

33.9

-0.4 (-1.2%)

11.0

10.8

-0.2 (-1.8%)

1. Change from the end of the previous month Source: Korea Exchange

9.2 Exchange rate The dollar-won exchange rate in February rose 4.9 won to 1,098.4 won from 1,093.5 won at the end of January. Despite a continuous current account surplus and foreign investment in Korean shares, the dollarwon exchange rate rose due to expectations for an accommodative monetary policy in Korea, and the strong dollar amid Fed’s rate hike prospects. The 100 yen-won exchange rate fell from 928.3 won in January to 921.7 won in February due to the weak yen. The value of the yen declined as uncertainties over Greece eased, leading to waning demand for safehaven assets.


26

The Green Book : Current Economic Trends

(Closing rate)

2009 Dec

2010 Dec

2011 Dec

2012 Dec

2013 Dec

2014 Dec

Dollar-Won

1,164.5

1,134.8

1,151.8

1,070.6

1,055.4

1,099.3

100 Yen-Won

1,264.5

1,393.6

1,481.2

1,238.3

1,002.3

913.0

Jan

2015 Feb

Change¹

1,093.5

1,093.5

0.5

928.3

928.3

-1.6

1. Appreciation from the end of the previous year (%); 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 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

Dollar-Won

2014.1

2015.1

100 Yen-Won

Daily exchange rate trend 1,800 1,600

1,400

1,200

1,000

800 600 2009.1

2010.1

Dollar-Won

2011.1

2012.1

2013.1

2014.1

2015.1

100 Yen-Won

9.3 Bond market 3-year Treasury bond yields were up from 1.97 percent in January to 2.03 percent in February. Treasury bond yields rose as US sovereign debt rates increased on expectations of Fed’s rate hike and BOK’s rate cut prospects.


27

ECONOMIC BULLETIN • Mar 2015

Interest rates

Source: The Bank of Korea

10 (monthly average, yearly, %) 9 8 7 6 5 4 3 2 1 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

Overnight call rate (daily)

2010.1

2011.1

2012.1

2013.1

3-yr Treasury bond yield

2014.1

2015.1

3-yr corporate bond yield

(Closing rate, %)

2009 Dec

2010 Dec

2011 Dec

2012 Dec

2013 Dec

2014 Dec

Jan

2015 Feb

Change1

Call rate (1 day)

2.01

2.51

3.29

2.77

2.52

2.03

2.00

1.99

-1

CD (91 days)

2.88

2.80

3.55

2.89

2.66

2.13

2.12

2.10

-2

Treasury bonds (3 yrs)

4.44

3.38

3.34

2.82

2.86

2.10

1.97

2.03

6

Corporate bonds (3 yrs)

5.56

4.27

4.21

3.29

3.29

2.43

2.27

2.29

2

Treasury bonds (5 yrs)

4.98

4.08

3.46

2.97

3.23

2.28

2.05

2.10

5

1. Basis point, changes from the previous month

9.4 Money supply & money market M2 (monthly average) in December rose 8.1 percent from a year earlier. Although money supply in the overseas sector expanded due to a large current account surplus, M2 growth decelerated month-on-month as bank lending increased at a slow rate. (Percentage change from same period in previous year, average)

2009 Annual

2010 Annual

2011 Annual

2012 Annual

2013 Annual

M1²

16.3

M2

10.3

11.8

6.6

3.8

9.5

10.9

12.1

12.6

13.4

577.7

8.7

4.2

5.2

4.8

6.6

7.5

8.3

8.1

2,088.7

Lf ³

7.9

8.2

5.3

7.8

6.9

7.0

7.3

8.1

8.4

2,837.9

1. Balance at end December 2014, trillion won 2. M1 excluding corporate MMFs and individual MMFs while including CMAs 3. Liquidity aggregates of financial institutions (mostly identical with M3)

Annual

Oct

2014 Nov

Dec

Dec1


28

The Green Book : Current Economic Trends

Total money supply Source: The Bank of Korea 40

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

30

20

10

0

-10 -20 2004.1

2005.1

2006.1

2007.1

2008.1

Reserve money

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

M1

Lf

Bank deposits declined sharply in January, led by instant access deposits (12.6 trillion won → -7.6 trillion won), as companies withdrew deposits to pay value added taxes. Asset management company (AMC) deposits surged, led by money market funds (MMF) (-11.5 trillion won → 12.3 trillion won), as banks and corporations deposited funds that they had temporarily withdrawn to meet their year-end financial requirements.

(Change from previous period, end-period, trillion won)

2009

2010

2011

2012

2013

2014

Annual Annual Annual Annual Annual Annual

2015

Oct

Nov

Dec

Jan

Jan1

Bank deposits

54.8

36.9

58.9

37.0

41.0

115.4

7.3

21.0

52.0

-17.6

1,273.1

AMC deposits

-27.6

-16.7

-16.6

18.8

17.7

47.0

21.8

2.9

-8.7

14.8

396.7

1. Balance at end January 2015

Deposits in financial institutions 60

Source: The Bank of Korea

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

50 40 30 20 10 0 -10 -20 -30 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1


29

ECONOMIC BULLETIN • Mar 2015

10. Balance of payments Korea’s current account (preliminary) in January posted a surplus of US $6.94 billion, staying in the black for 35 consecutive months. The goods account surplus declined from US $8.32 billion to US $7.09 billion, amid falls in both imports and exports. Goods export growth (y-o-y, %) 1.3 (Dec 2014) → -10.0 (Jan 2015) Goods import growth (y-o-y, %) -1.8 (Dec 2014) → -16.9 (Jan 2015)

Current account balance

Source: The Bank of Korea (balance of payments trends)

14 12

(US $ billion)

10 8 6 4 2 0 -2 -4 -6 2004.1

2005.1

2006.1

2007.1

Goods account

2008.1

2009.1

2010.1

2011.1

Services account

2012.1

2013.1

2014.1

2015.1

Current account

Compared to the same period of the previous year, the goods account surplus expanded from US $4.37 billion to US $7.09 billion as imports declined by a greater margin than exports. Import growth by category (y-o-y, %) -11.0 (total), -24.8 (commodities), 14.3 (capital goods), 11.2 (consumer goods) Export growth by item (y-o-y, %) -0.7 (total), -1.2 (mobile phones), 13.3 (semiconductors), -2.4 (steel), -40.5 (petroleum products), -4.7 (automobiles)

The services account deficit expanded from US $1.54 billion to US $2.44 billion, as the construction account surplus declined and the travel account deficit surged. Services account (US $ billion, December 2014 → January 2015) -0.45 → -0.43 (manufacturing), -0.18 → -0.10 (transportation), -0.56 → -1.10 (travel), 1.61 → 0.93 (construction), -0.57 → -0.60 (intellectual property rights), -1.33 → -1.19 (other businesses)


30

The Green Book : Current Economic Trends

The primary income account surplus expanded from US $1.18 billion to US $2.90 billion due to a rise in dividend income, while the secondary income account deficit declined from US $0.94 billion to US $0.62 billion.

Travel balance

Source: The Bank of Korea (balance of payments trends)

4 (US $ billion) 3

2

1

-1

-2

-3 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

Travel balance

2010.1

2011.1

2012.1

2013.1

2014.1

Travel revenue

2015.1

Travel payment

(US $ billion)

2013 Annual

Q2

2014 Q3

Annual

Q1

Jan

Nov

Dec

2015 Jan1

Current account

81.15

89.22

15.19

24.24

22.57

3.32

11.32

7.02

6.94

- Goods balance

82.78

92.69

17.75

26.43

21.68

4.37

10.03

8.32

7.09

- Services balance

-6.50

-8.16

-3.50

-1.84

-0.90

-1.87

-0.16

-1.54

-2.44

- Primary income balance

9.06

10.20

1.91

1.33

3.14

1.21

1.67

1.18

2.90

- Secondary income balance

-4.19

-5.50

-0.96

-1.68

-1.35

-0.38

-0.21

-0.94

-0.62

1. Preliminary Source: The Bank of Korea

The capital and financial account (preliminary) in January posted a net outflow of US $8.24 billion. Capital & financial account balance (US $ billion) -8.14 (May 2014) → -9.84 (Jun) → -5.92 (Jul) → -7.81 (Aug) → -8.76 (Sep) → -6.80 (Oct) → -9.92 (Nov) → -9.80 (Dec) → -8.25 (Jan 2015)

FDI net outflows decreased from US $1.35 billion to US $1.00 billion as FDI inflows increased. Net outflows of portfolio investment decreased sharply from US $6.16 billion to US $3.62 billion. Net outflows of financial derivatives investment declined from US $0.15 to US $0.08 billion, while other investment switched from a net outflow of US $5.13 billion to a net inflow of US $0.49 billion due to an increase in borrowings by financial institutions.


31

ECONOMIC BULLETIN • Mar 2015

The current account is expected to continue posting a surplus in February, considering the trade surplus in February (US $7.66 billion).

Capital & financial account balance

Source: The Bank of Korea (balance of payments trends)

15 (US $ billion) 10

5

0

-5

-10 -15 2004.1

2005.1

2006.1

2007.1

Direct investment

2008.1

2009.1

2010.1

Portfolio investment

2011.1

2012.1

2013.1

Financial derivatives

2014.1

2015.1

Capital & financial account

11. Prices 11.1 Consumer prices Consumer prices in February remained unchanged from the previous month. Compared to the same month of the previous year, consumer prices rose 0.5 percent.

Consumer price inflation 7

Source: Statistics Korea (consumer price trends)

(%)

6 5 4 3 2 1 0 -1 2004.1

2005.1

2006.1

Consumer price inflation (m-o-m)

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Consumer price inflation (y-o-y)


32

The Green Book : Current Economic Trends

Consumer price inflation

(%)

Feb

Mar

Apr

May

Jun

2014 Jul

Aug

Sep

Oct

Nov

Dec

2015 Jan Feb

Month-on-Month

0.3

0.2

0.1

0.2

-0.1

0.1

0.2

-0.1

-0.3

-0.2

0.0

0.5

0.0

Year-on-Year

1.0

1.3

1.5

1.7

1.7

1.6

1.4

1.1

1.2

1.0

0.8

0.8

0.5

Source: Statistics Korea

Agricultural, livestock & fishery product prices were up 1.5 percent month-on-month (agricultural products up 3.0%, livestock products down 0.2%, fishery products up 0.1%). The prices of agricultural and fishery products rose amid the cold weather, with demand increasing before the Lunar New Year holiday, while livestock product prices declined due to stable supply. Price increases by item (m-o-m, %) green chilis (28.4), cucumbers (22.5), zucchinis (20.1), potatoes (14.0), lettuces (-21.6), strawberries (-11.3), pork (-1.4)

Manufactured product prices fell 0.7 percent from the previous month. Petroleum product prices fell 5.3 percent in line with falling international oil prices, but the prices of printed products and durable goods were up 0.4 percent and 0.3 percent, respectively. Price increases by item (m-o-m, %) blenders (12.6), sofas (8.3), boys’ school uniforms (-14.5), girls’ school uniforms (-14.3), car LPG (-8.5), gasoline (-4.7)

Personal service prices rose 0.2 percent month-on-month. Dining out expenses and personal service prices excluding dining out expenses were up 0.2 percent, each. Price increases by item (m-o-m, %) domestic group tour expenses (6.7), apartment maintenance fees (3.1), middle school student tutoring costs (0.5), international flight fares (-7.9), overseas group tour expenses (-5.4)

Contribution to consumer price inflation 7

Source: Statistics Korea (consumer price trends)

(%p)

5

3

1

‐1 2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Agricultural, livestock & fishery products

Manufactured products

Housing rents

Public services

Personal services

Public utilities


33

ECONOMIC BULLETIN • Mar 2015

Consumer prices for basic necessities fell 0.7 percent year-on-year and 0.1 percent month-on-month. Price increases for basic necessities (y-o-y, %) 0.8 (Aug 2014) → 0.6 (Sep) → 0.7 (Oct) → 0.7 (Nov) → 0.3 (Dec) → -0.3 (Jan 2015) → -0.7 (Feb)

Fresh food prices declined 1.1 percent year-on-year, led by fruits (down 11.4%). Compared to the previous month, fresh food prices rose 3.2 percent. Fresh food price increases (y-o-y, %) -11.8 (Aug 2014) → -8.6 (Sep) → -6.6 (Oct) → -5.2 (Nov) → -2.8 (Dec) → -2.1 (Jan 2015) → -1.1 (Feb)

Core consumer prices, which exclude oil and agricultural products, rose 2.3 percent year-on-year and 0.1 percent month-on-month.

Core inflation and prices for basic necessities

(y-o-y, %)

Consumer prices excluding oil and agricultural products

2014 2015 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb 1.7 2.1 2.3 2.2 2.1 2.2 2.4 1.9 1.8 1.6 1.6 2.4 2.3

Consumer prices excluding food and energy

1.4 1.7 1.9 1.8 1.7 1.9 2.1 1.7 1.6 1.3 1.4 2.3 2.3

Consumer prices for basic necessities

0.4 0.8 1.0 1.4 1.4 1.4 0.8 0.6 0.7 0.7 0.3 -0.3 -0.7

Source: Statistics Korea

Prices 16

Source: Statistics Korea (consumer price trends)

(y‐o‐y, %)

13 10 7 4 1 -2 -5 2004.1

2005.1

2006.1

2007.1

2008.1

Consumer price inflation

2009.1

2010.1

2011.1

2012.1

2013.1

Core inflation

2014.1

2015.1

Producer price inflation

The expected annual inflation remained unchanged from the previous month at 2.6 percent, while import prices fell 19.2 percent year-on-year. Expected inflation (%, over the next 12 months) 2.8 (Aug 2014) → 2.8 (Sep) → 2.7 (Oct) → 2.7 (Nov) → 2.6 (Dec) → 2.6 (Jan 2015) → 2.6 (Feb) Import price increases (y-o-y, %, won base) -9.9 (Aug 2014) → -8.9 (Sep) → -7.6 (Oct) → -8.0 (Nov) → -13.0 (Dec) → -19.2 (Jan 2014)


34

The Green Book : Current Economic Trends

11.2 International oil and commodity prices International oil prices rebounded in February on expectations of a fall in crude oil production. Dubai crude prices rose 21.7 percent month-on-month as major oil producers announced investment cuts and oil drilling declined in the US. British Petroleum (BP) announced that it will invest US $20 billion this year, down 13 percent from the previous year. Dubai crude ($/barrel) 54.2 (Feb 6) → 57.7 (Feb 13) → 59.3 (Feb 18) → 57.4 (Feb 27) (US $/barrel, period average)

2011 2012 2013 Annual Annual Annual Annual

Q1

Q2

2014 Q3

2015 Oct

Nov

Dec

Jan

Feb

Dubai crude

105.9

109.0

105.2

96.6

104.4

106.1

101.6

86.8

77.1

60.2

45.8

55.7

Brent crude

111.0

111.7

108.7

99.1

108.1

109.7

102.7

87.8

79.3

62.8

49.7

58.8

WTI crude

95.1

94.2

98.0

93.1

98.7

103.0

97.2

84.3

75.8

59.3

47.3

50.7

2014.1

2015.1

Source: Korea PDS

International oil prices 160

Source: Korea National Oil Corporation

($/B)

140 120 100 80 60 40 20 0 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

Dubai crude

2013.1

WTI

Domestic gasoline prices fell at a slower rate compared to the previous month with international oil prices rising and the won weakening against the dollar. Gasoline prices (won/liter) 1,412.2 (1st week Feb) → 1,416.7 (2nd week) → 1,447.6 (3rd week) → 1,469.8 (4th week) Dollar-won exchange rate 1,094.8 (1st week Feb) → 1,096.0 (2nd week) → 1,098.6 (3rd week) → 1,104.3 (4th week)


35

ECONOMIC BULLETIN • Mar 2015

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

160

(thousand won/B)

140

140

120

120

100

100

80

80

60

60

40

40

20

20

2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

Dubai crude (import prices, won, left)

2013.1

2014.1

2015.1

Dubai international prices (dollar, right)

(Won/liter, period average)

2011 Annual

2012 Annual

2013 Annual Annual

Q1

Q2

2014 Q3

2015 Oct

Nov

Dec

Jan

Feb

Gasoline prices

1,929.3 1,985.8 1,924.5 1,827.6 1,882.6 1,868.6 1,837.6 1,781.1 1,730.2 1,652.2 1,504.8 1,439.1

Diesel prices

1,745.7 1,806.3 1,729.6 1,637.0 1,699.9 1,680.0 1,641.4 1,585.0 1,534.3 1,461.0 1,330.5 1,277.1

Source: Korea National Oil Corporation

International grain prices declined in February as the weather conditions remained favorable and the US Department of Agriculture raised inventory estimates. International grain price increases in February (m-o-m, %) wheat (-4.8), corn (-1.1), soybeans (-0.7)

Nonferrous metal prices continued to fall, except for aluminum, due to increased uncertainties in the eurozone and concerns over China’s economic slowdown. Nonferrous metal price increases in February (m-o-m, %) tin (-6.0), copper (-2.0), nickel (-1.6), lead (-1.3), zinc (-0.4), aluminum (0.7)

(Period average)

1

Reuters Index (1931.9.18=100)

2011 Annual

2012 Annual

2013 Annual Annual

3,061

3,006

2,774

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

2,523

Q1

Q2

2014 Q3

2,600

2,609

2,491

2015 Oct

Nov

Dec

Jan

Feb

2,395

2,407

2,388

2,377

2,351


36

The Green Book : Current Economic Trends

International commodity prices

Sources: Bloomberg (CRB), The Bank of Korea (Reuters Index)

* CRB demonstrates a futures price index of 21 commodities listed on the US Commodity Transaction Market, including beans and other crops, crude oil and jewelry. 470

4000

430 390

3000

350 310

2000

270 1000

230 190 150

0

2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

CRB (left)

2014.1

2015.1

Reuters index (right)

12. Real estate market 12.1 Housing market Apartment prices rose 0.2 percent month-on-month nationwide in February. Apartment prices rose 0.2 percent in the Seoul metropolitan area, which includes Seoul (up 0.2%) and Gyeonggi Province (up 0.3%). Apartment prices in areas excluding the Seoul metropolitan area rose 0.2 percent. Apartment prices in the five metropolitan cities and the eight provinces were up 0.2 percent and 0.1 percent, respectively. Apartment price increase in five metropolitan cities (m-o-m, %) Busan (0.2), Daegu (0.5), Gwangju (0.3), Daejeon (0.0), Ulsan (0.2)

Nationwide apartment sales prices

(Percentage change from previous period)

2010 2011 2012 2013 Annual Annual Annual Annual Annual Nationwide

1.9

6.9

0.0

0.3

1.7

Aug

2014 Sep Oct

0.1

0.2

0.2

Nov 0.2

2015 Dec Annual Jan 0.1

0.3

0.1

Feb 0.2

Seoul metropolitan area

-1.7

0.5

-3.0

-1.1

1.5

0.1

0.3

0.3

0.2

0.1

0.4

0.1

0.2

Seoul

-1.2

0.3

-2.9

-1.4

1.1

0.0

0.2

0.2

0.1

0.0

0.3

0.1

0.2

Gangnamš

-1.0

0.3

-3.5

-1.1

1.2

0.0

0.3

0.3

0.1

0.0

0.4

0.1

0.2

Gangbuk²

-1.4

0.3

-2.3

-1.7

1.1

0.1

0.1

0.2

0.1

0.0

0.2

0.0

0.2

Areas excluding the Seoul metropolitan area

6.4

15.1

3.1

1.7

1.9

0.1

0.2

0.2

0.2

0.2

0.3

0.2

0.2

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


37

ECONOMIC BULLETIN • Mar 2015

Apartment sales prices by region 3

Source: Korea Appraisal Board

(m‐o‐m, %)

2

1

0

-1 2009.1

7

2010.1

2011.1

7

Nationwide

7

2012.1

7

2013.1

7

2014.1

Seoul metropolitan area

7

2015.1

Areas excluding Seoul metropolitan area

Apartment rental prices rose 0.3 percent month-on-month nationwide in February. Rental prices rose 0.5 percent in the Seoul metropolitan area and 0.2 percent in regions excluding the Seoul metropolitan area. Apartment rental price increase in major districts in Seoul (m-o-m, %) Gangdong (2.7), Gangnam (1.3), Seocho (1.0), Songpa (1.1), Guro (0.9), Seongdong (0.7)

Nationwide apartment rental prices

(Percentage change from previous period)

2010 2011 2012 2013 2014 Annual Annual Annual Annual Annual Aug Sep Oct

2015 Nov Dec Annual Jan

Feb

Nationwide

7.1

12.3

3.5

4.7

3.4

0.2

0.3

0.3

0.3

0.3

0.6

0.3

0.3

Seoul metropolitan area

6.3

11.0

2.1

6.2

4.7

0.2

0.5

0.4

0.4

0.3

0.9

0.4

0.5

Seoul

6.4

10.8

2.1

6.6

3.6

0.1

0.3

0.4

0.3

0.3

0.8

0.3

0.5

Gangnam¹

7.6

11.1

2.4

6.7

3.3

0.2

0.3

0.4

0.3

0.3

0.9

0.4

0.6

Gangbuk²

5.1

10.6

1.8

6.4

3.8

0.1

0.3

0.4

0.3

0.2

0.5

0.2

0.3

Areas excluding the Seoul metropolitan area

9.2

14.5

4.6

3.3

2.2

0.1

0.2

0.2

0.2

0.2

0.4

0.2

0.2

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

Apartment sales transactions in January decreased 13.0 percent from 91,130 transactions in the previous month to 79,320 transactions, but were up 34.1 percent from a year earlier (59,170).


38

The Green Book : Current Economic Trends

Apartment rental prices by region Source: Korea Appraisal Board 3

(m�o�m, %)

2

1

0

-1

-2 2009.1

7

2010.1

7

2001.1

7

Nationwide

2012.1

2013.1

7

Seoul metropolitan area

Monthly apartment transaction volume 160

7

2014.1

7

2015.1

Areas excluding Seoul metropolitan area

Source: Ministry of Land, Infrastructure and Transport

(thousands)

140 120 100 80 60 40 20 0 2009.1

7

2010.1

7

2011.1

7

Nationwide

2012.1

7

2013.1

7

Seoul metropolitan area

2014.1

7

2015.1

Areas excluding Seoul metropolitan area

Apartment sales transactions

(Thousands)

2009 2010 2011 2012 2013 2014 2015 Annual1 Annual1 Annual1 Annual1 Annual1 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Nationwide

73

67

82

61

71

59

79

90

93

78

74

77

76

87

109

91

91

79

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

12.2 Land market Land prices rose 0.14 percent month-on-month nationwide in January. Land prices rose 0.14 percent in the Seoul metropolitan area, which includes Seoul (up 0.18%) and Incheon (up 0.16%).


39

ECONOMIC BULLETIN • Mar 2015

Land price increase in Seoul metropolitan area (m-o-m, %) 0.13 (Jun 2014) → 0.15 (Jul) → 0.13 (Aug) → 0.19 (Sep) → 0.20 (Oct) → 0.14 (Nov) → 0.14 (Dec) → 0.14 (Jan 2015)

Land prices rose 0.15 percent in areas excluding the Seoul metropolitan area, which include Busan (up 0.19%), Ulsan (up 0.10%), Sejong (up 0.06%) and South Chungcheong Province (up 0.05%). Land price increase in areas excluding Seoul metropolitan area (m-o-m, %) 0.18 (Jun 2014) → 0.20 (Jul) → 0.15 (Aug) → 0.18 (Sep) → 0.20 (Oct) → 0.18 (Nov) → 0.20 (Dec) → 0.15 (Jan 2015)

Land prices by region

(Percentage change from previous period)

2008 2009 2010 2011 2012 2013 Annual Annual Annual Annual Annual Annual Q3

Q4 Annual Q2

Q3

2014 Q4

Oct

Nov Dec

2015 Jan

Nationwide

-0.31

0.96 1.05

1.17

0.87

1.14 0.10 0.46 1.96 0.48 0.49 0.53 0.20 0.16 0.17 0.14

Seoul

-1.00

1.40 0.53

0.97

0.33

1.21 0.08 0.61 2.66 0.59 0.69 0.67 0.29 0.20 0.18 0.17

Gyeonggi

-0.26

1.22 1.49

1.47

0.97

0.91 0.07 0.34 1.24 0.37 0.27 0.33 0.12 0.10 0.11 0.11

Incheon

1.37

1.99 1.43

0.66

0.36

0.87 0.07 0.23 1.35 0.25 0.32 0.40 0.15 0.08 0.16 0.12

Source: Korea Appraisal Board

Land prices by region 18 15

Source: Korea Appraisal Board

(%)

12 9 6 3 0 -3 -6 -9 -12 -15 -18 1994

1995

1996

National average

1997

1998

1999

2000

2001

2002

2003

Metropolitan city

2004

2005

2006

2007

2008

City

2009

2010

2011

2012

2013

2014

County

There were 219,000 land transactions in January, down 14.9 percent from the previous month but up 20.0 percent from 183,000 a year earlier. Land transactions declined nationwide, led by Seoul (down 12.9%, m-o-m), Incheon (down 18.6%, m-o-m), Ulsan (down 18.0%, m-o-m) and Gangwon Province (down 34.0%, m-o-m). Vacant land transactions, which accounted for 37.7 percent of the total land transactions, fell 17.1 percent month-on-month to 83,000 but rose 13.2 percent from 73,000 a year earlier.


40

The Green Book : Current Economic Trends

Land and consumer prices since 1970s

Source: Korea Appraisal Board

60 (y‐o‐y, %) 50 40 30 20 10 0 -10 -20 1974

1978

1982

1986

1990

1994

1998

2002

2006

2010

Land price inflation

2014

Consumer price inflation

Land transactions

(Land lots, thousands)

2008 2009 2010 2011 2012 2013 2014 2015 Annual¹ Annual¹ Annual¹ Annual¹ Annual¹ Annual¹ Nov Dec Annual¹ May Jun Jul Aug Sep Oct Nov Dec Jan Nationwide

208

203

187

208

170

187

201 236

220

207 199 219 204 214 258 228 257 219

Seoul

26

22

16

18

13

17

19

22

22

18

18

21

21

23

29

25 23

20

Gyeonggi

45

46

41

43

33

37

41

50

46

42

39

45

42

46

57

50 53

45

Incheon

13

10

8

10

8

8

9

9

10

9

9

8

9

10

13

11

9

8

1. Monthly average Source: Korea Land & Housing Corporation

Land transaction volume

Source: Korea Appraisal Board

500,000 (thousand m²)

400,000

300,000

200,000

100,000

0 2004.1

2005.1

Seoul metropolitan area

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Areas excluding Seoul metropolitan area


41

ECONOMIC BULLETIN • Feb 2015

13. Composite indices of business cycle indicators Industrial output in January declined 1.7 percent month-on-month but rose 0.7 percent year-on-year. Output rose in construction (up 6.1%, m-o-m), but fell in mining & manufacturing (down 3.7%, m-o-m), services (down 0.4%, m-o-m) and public administration (down 9.2%, m-o-m). The cyclical indicator of the coincident composite index rose 0.1 points month-on-month in January. All components of the coincident composite index rose, except for mining & manufacturing production. Components of the coincident composite index in January (m-o-m) service output (0.1%), value of construction completed (1.6%), retail sales (0.2%), domestic shipments (0.1%), imports (1.1%), nonfarm payroll employment (0.1%), mining & manufacturing production (-0.1%)

The cyclical indicator of the leading composite index rose 1.0 points. Four components of the leading composite index, such as the ratio of job openings to job seekers and the KOSPI, declined, while five others, such as the inventory circulation indicator, domestic shipments of machinery, value of construction orders received and ratio of export to import prices, rose. Components of the leading composite index in January (m-o-m) inventory circulation indicator (2.1%p), domestic shipments of machinery (1.6%), value of construction orders received (8.5%), ratio of export to import prices (2.8%), international commodity prices (5.6%), consumer expectations index (-0.6p), ratio of job openings to job seekers (-0.3%p), KOSPI (-0.4%), spreads between long & short term interest rates (-0.04%p)

Index of all industry production 20

Source: Statistics Korea (industrial activity trends)

(%)

15

10

5

0

-5

-10

-15 2004.1

2005.1

2006.1

2007.1

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

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

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


42

The Green Book : Current Economic Trends

2014 Jun Index of all industry production (m-o-m, %) (y-o-y, %)

Jul

2015

Aug

Sep

Oct

Nov1

Dec1

Jan1

1.6 1.7

0.4 2.8

-0.6 0.6

-0.7 1.8

0.4 0.2

-0.1 -0.5

1.3 2.1

-1.7 0.7

(m-o-m, %)

120.2 0.3

120.8 0.5

121.5 0.6

121.8 0.2

121.9 0.1

122.2 0.2

123.0 0.7

123.6 0.5

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

100.1 0.0

100.2 0.1

100.4 0.2

100.2 -0.2

99.9 -0.3

99.8 -0.1

100.1 0.3

100.2 0.1

Leading composite index (2010=100)

120.5 0.6

121.1 0.5

122.4 1.1

123.6 1.0

124.4 0.6

124.9 0.5

125.9 0.7

127.8 1.5

99.7 0.1

99.8 0.1

100.4 0.6

101.0 0.6

101.2 0.2

101.1 -0.1

101.5 0.4

102.5 1.0

Coincident composite index (2010=100)

(m-o-m, %) Cyclical indicator of leading composite index (m-o-m, p) 1. Preliminary

Cyclical indicator of coincident composite index 110

Source: Statistics Korea (industrial activity trends)

(points)

100

90 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

Cyclical indicator of leading composite index 110

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2014.1

2015.1

Source: Statistics Korea (industrial activity trends)

(points)

100

90 2004.1

2005.1

2006.1

2007.1

2008.1

2009.1

2010.1

2011.1

2012.1

2013.1


43

ECONOMIC BULLETIN • Mar 2015

Opening the Door to Latin America: Korea Hosts the 2015 IDB Annual Meeting in Busan

Featured Issue


44

Featured Issue

Opening the Door to Latin America: Korea Hosts the 2015 IDB Annual Meeting in Busan

The Ministry of Strategy and Finance co-hosted the 2015 IDB-IIC Annual Meeting of the Boards of Governors along with the Inter-American Development Bank (IDB) from March 26 to 29 in Busan. The meeting also commemorated Korea’s 10th year as a member of the IDB.

Trade with Latin American countries rising two folds and Korean FDI in Latin American countries surging almost six folds. The increase is expected to accelerate as Korean companies are actively participating in Latin American public projects: Uruguay’s combined cycle power plant construction project and the Dominican Republic’s electric power distribution facility renovation project, among others.

Korea-Latin America partnership

Korea-Latin America Trade (US $ billion) 22.0 (2005) → 54.2 (2014)

Korea became a member of the IDB in 2005, second to Japan among the Asian countries. Since Korea’s joining in the IDB, cooperative partnership between the bank and Korea greatly increased:

Korean FDI in Latin America (US $ billion) 0.6 (2005) → 3.5 (2014)

Korea-Latin America trade and Korean FDI in Latin America

(US $ billion)

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Trade

22.0

30.3

37.1

47.0

38.4

50.8

60.3

56.5

54.7

54.2

FDI

0.6

1.1

1.3

2.1

1.0

2.2

2.6

3.3

3.3

3.5


45

ECONOMIC BULLETIN • Mar 2015

The importance of Latin American markets As the Latin American region has a population of 600 million people and with a total GDP of US $6 trillion, the region is a high-income emerging market with strong purchasing power. In addition, Latin America will make an optimal trade partner with Korea given its strength in resources and energy and Korea’s strength in manufacturing. There is robust demand for large-scale infrastructure projects throughout the Latin America region, which could lead to big opportunities for Korean corporations. IDB’s 2016-2019 mid-term development plans emphasize large-scale infrastructure building in order to increase connectivity in the region where large mountains and rivers have obstructed regional integration.

The importance of holding the 2015 Annual Meeting in Korea The Busan meeting provided opportunities for Korean corporations to meet in person with government officials from Latin American countries as well as their Latin American business counterparts, and develop networks. About 200 major Latin American engineering, construction, import/export and other firms attended the meeting, and Korean corporations used this opportunity to develop partnerships. The government will develop a Korea-Latin America development cooperation plan by utilizing IDB-EDCF joint-financing and IDB-KSP joint consulting projects in order to encourage Korean corporations to enter Latin American markets. The IDB discussed major reform issues at the meeting, including its private sector operation and

setting the bank’s middle to long-term development strategy. The IDB is working on organizational reform to integrate its four private sector support organizations into one.

Strengthening cooperation with Latin America The Korea-Latin America Business Summit and the Korea-Latin America Knowledge Sharing Forum were held to strengthen cooperation between Korea and Latin America. About 400 business persons and government officials attended the Korea-Latin America Business Summit and discussed business partnership in areas related to ICT, transportation, social infrastructure, climate change, energy, small- and medium-sized joint ventures and financing. The summit helped start forging relationships, which will lead to further developing business networks and increasing exchanges. The Korea-Latin America Knowledge Sharing Forum was attended by around 300 experts and professionals from national think tanks. Korean and Latin American professionals talked about future cooperation in ICT, energy, innovation and sustainable development as well as sharing Korea’s economic development experience. A number of cultural and academic events were also held to strengthen Korea’s relationship with its Latin American neighbors. Latin American attendees were able to learn Korea’s traditions and culture, while Korean citizens had chances to appreciate Latin American films, dances and art.


46

Policy Issue

Follow-up Measures to Support President Park’s Middle East Agenda

Policy Issue


47

ECONOMIC BULLETIN • Mar 2015

Follow-up Measures to Support President Park’s Middle East Agenda

I. President Park’s successful visit to the Middle East President Park visited the Middle Eastern countries of Kuwait, Saudi Arabia, the United Arab Emirates and Qatar for the first time in the beginning of her third year as President from March 1-9. The visit was a huge success as 44 MOUs were signed, the 1:1 business forums led to 44 contracts being signed worth a total of US $900 million, and the likelihood of more large-scale contracts being signed was increased as Korea laid the foundation for winning contracts to ‘mega projects’ such as exporting smallmedium sized SMARTs (system integrated modular advanced reactors) to Saudi Arabia (US $2 billion) and constructing oil refineries in Kuwait.

Paradigm shift Furthermore, there was a large shift in the summit diplomacy paradigm. areas of cooperation will be expanded from energy and construction to healthcare, finance, IT, food products and contents (MOUs: 14 in energy, 5 in healthcare, 8 in finance/investment, 9 in IT/creative economy, 3 in construction and transportation, 2 in agricultural and foodstuffs, 3 in

cultural contents for a total of 44). Examples of successes include securing distributional channels in the Middle East, laying the foundation for exporting healthcare services and opening the doorway to Halal certification for Korean food products. The 1:1 business forums, attended by 115 Korean enterprises, led to 1 trillion won in new contracts and also served as a foothold for small- and medium-sized enterprises (SMEs) trying to enter the region as 106 out of the 115 enterprises were categorized as SMEs or strong-performing middle-sized enterprises. Also, the foundations were laid for creating jobs in the Middle East for young Korean professionals. High-paying jobs will be created to satisfy new demand in professional service sectors owing to the diversification of Korean projects in the Middle East to new, high-tech industries. Korea improved its pathways for mutual cooperation, strengthening cooperation in joint R&D and joint project development, as well as traditional industries such as product exports and construction. One example is developing synergy between the Middle East’s capital and Korea’s technological capacity. Also, Korea opened the doorway for enterprises looking to enter the Middle East, Africa and Asia by signing joint-entry MOUs in the nuclear and infrastructure sectors with the UAE. Domestic investment will also receive a boost as Middle Eastern companies enter Korean markets.


48

Policy Issue

II. Follow-up measures Support and promote MOUs The government will provide across-the-board support to promote the President’s Middle East agenda. - Nuclear power and energy: sign an agreement on construction designs for the two SMARTs and promote professional exchanges and joint research - Healthcare: develop a medical team training program for Saudi Arabia, increase number of hospitals operating in the Middle East from 3 to 5 - Food products: put together a Halal certification team and build a Halal certified food facility in Iksan in 2016 - C reative economy: build a Creative Economy Innovation Center in Saudi Arabia - M ega projects: dispatch a high-level envoy to support Korean enterprises trying to win contracts in the region - Finance and investment: exchange a list of feasible investment projects with Saudi Arabia and discuss moving forward on promising projects - Joint-entry into other countries: support expansion into the Middle East and nearby regions through joint projects, including harbor development and vessel repair shipyard construction in Egypt

Develop business channels The government will develop systems to promote cooperation, including providing customized information through business matching support and mobile applications, holding 1:1 counseling sessions on a regular basis, and forming a business channel task force in KOTRA.

Help young adults gain experience in the Middle East The government will provide across-the-board support to help young adults gain experience abroad, from analyzing demand and potential opportunities, to strengthening education and training, to job placement support, to follow-up support for young adults who find jobs in the region. Also, the government will form a task force to develop a formal strategy for helping young adults gain experience in the Middle East.

III. Strengthen overseas market development support in order to support the Middle East agenda Promote high value-added overseas construction and plant construction | Strengthening financial support | The government will increase financial support* for overseas construction and plant construction in order to encourage Korean corporations to diversify project portfolios and participate in large-scale construction projects, urban development projects and water resources development projects. * Export Import Bank of Korea (Korea Eximbank) loans (trillion won): 27.1 (2014) → 28.5 (2017) Korea Trade Insurance Corporation loans (trillion won): 7.8 (2014) → 12.8 (2017) Co-financing with multilateral banks (US $billion): 5.2 (2014) → 7.0 (2017) Korea Eximbank credit line (US $billion): 5.8 (2014) → 6.2 (2017)


49

ECONOMIC BULLETIN • Mar 2015

The government will also introduce joint guarantee programs and indirect loan programs, while establishing mid- to long-term bond insurance policies to promote private sector financing.

| Promoting new market entry | The government will use international events, such as finance ministers’ meetings and IDB annual meetings, as opportunities to promote Korean companies’ entry into new markets, while expanding overseas investment insurance policy coverage to ensure that Korean companies can explore new markets.

| Promoting project development | The government will provide comprehensive financial*, R&D and education support at all stages of exploration, planning, investment, implementation and operation. R&D and educational support will include selecting core technologies and helping obtain international patents in construction and plant engineering. Korea Eximbank will strengthen its financial package from US $0.98 billion in 2014 to US $1.2 billion in 2017. * Overseas Investment Fund (US $1.6 billion), Global Infrastructure Fund (350 billion won), Energy and Infrastructure Fund (150 billion won), Global Marine Investment Fund (200 billion won), Hydro-power Plant Fund (100 billion won)

Support SMEs and service industries | Promoting SME entry into new markets | The government will help SMEs build overseas business networks and distribution channels. SMEs will be able to access large enterprise networks at Creative Economy Innovation Centers, and the government will use bilateral partnerships and summit conferences to lower nontariff market barriers for SMEs.

| Founding a basis for exporting promising service industries | The government will enact the International Medical Service Support Act in the second half of 2015 and create funds worth more than 150 billion won in order to support health care industries going into overseas markets. Korea Medical Holdings, a joint public-private corporation founded to support healthcare service export, will receive systematic support covering from service product development to export. The government will develop market-specific strategies for cultural content export and establish a Korean cultural center in UAE.

Attract foreign investment in Korea The government will promote policies to encourage Middle East to invest in the Northeast Asia Oil Hub Project and to adequately support investment proposals between Korean and the Middle East countries.

| Investment-friendly policies | The government will revise its foreign investment support to be more service sector friendly by easing regulations regarding for-profit hospitals, foreign school campuses and resort complexes. The government will also streamline visa procedures for professionals and set up on-the-spot problem-solving centers to support foreign investment in industries producing high added value.


50

Economic News Briefing

BOK Cuts Key Rate to 1.75% Government to Support Space Technology Startups External Debt Amounted to US $425.4 Billion in 2014 SME Loans to be Expanded in 2015 Korea Initials FTA with China Korea, Turkey Sign FTA in Investment and Services

Economic News Briefing


51

ECONOMIC BULLETIN • Mar 2015

Bank of Korea Governor Lee Ju-Yeol is banging a gavel as he starts a monetary policy meeting on March 12.

BOK Cuts Key Rate to 1.75% The Monetary Committee of the Bank of Korea (BOK) decided on March 12 to lower its benchmark interest rate by 25 basis points to an all-time low of 1.75 percent. The committee stated sluggish domestic consumption and facility investment, as well as low inflation, as reasons for the rate cut. The Committee added that it will manage monetary policy so as to keep inflation within the Committee’s target range in the medium term.

Government to Support Space Technology Startups The Ministry of Science, ICT and Future Planning announced plans to support space technology businesses. The ‘Space Technology Application for Renovative Space Business Exploration (STARExploration)’ project, which was launched in March, involves aiding startups devoted to space technology. First, the Ministry will open government-owned

space technology to the general public, and invite the public to send in business ideas based on the technology. The Ministry will then select outstanding business proposals and help them come to life by providing mentoring services and technical support for the applicants. At the same time, the Ministry is also planning to launch ‘GOLDEN Solution’, a project that aims to apply satellite information to address social issues (geography, ocean, land, disaster, environment, national security). Government-owned satellite information will be opened to the public, and used to find solutions to various social problems.

External Debt Amounted to US $425.4 Billion in 2014 Korea’s external debt amounted to US $425.4 billion as of the end of December 2014, an increase of US $1.9 billion from a year ago and a decrease of US $8.7 billion compared to the previous quarter. Short-term debt rose US $3.5 billion year-on-year to US $115.3


52

Economic News Briefing

billion, while long-term debt was down US $1.6 billion year-on-year to US $310.2 billion. External debt soundness indicators continued to improve as the ratio of short-term external debt to total external debt remained low at 27.1 percent and the ratio of short-term external debt to foreign exchange reserves fell to 31.7 percent, the lowest it has been since the 2008 financial crisis, due to an increase in foreign exchange reserves.

SME Loans to be Expanded in 2015 The total amount of loans available for small- and medium-sized enterprises (SMEs) will be increased by 38.4 trillion won in 2015, as many SMEs are expected to be in a tight money situation this year due to the sluggish economy. 19.9 trillion won will be dispersed as loans by commercial banks, 6.8 trillion won by provincial banks and 11.7 trillion won by special banks. The Financial Services Commission and Financial Supervisory Service will ensure that banks improve conservative lending practices and extend loans to promising SMEs.

Korea Initials FTA with China Korea initialed a Free Trade Agreement (FTA) with China on February 25, three months after the end of FTA negotiations. The deal makes Korea the only

Minister of Trade, Industry & Energy Yoon Sang-Jick (right) and Turkish Minister of Economic Affairs Nihat Zeybekci are applauding at the signing of the free trade deal in investment and services on February 26.

major economy to sign an FTA with the world’s three biggest economies—the US, EU and China. Korea will scrap tariffs on 92 percent of items imported from China within the next 20 years, and China will eliminate tariffs on 91 percent of items imported from Korea within the same period. The two sides are seeking to officially sign the pact within the first half of the year. The government is planning to help Korean businesses benefit from the Korea-China FTA by setting up a China Desk at the Korea International Trade Association to provide information on the Chinese market. The government will also help companies overcome nontariff barriers and use the FTA platform to attract investment from major economies.

Korea, Turkey Sign FTA in Investment and Services on February 26, Korea and Turkey officially signed a free trade deal in investment and services that will complement the Korea-Turkey FTA that went into effect on May 1, 2013. The agreement for the investment and service sectors will open up most of Turkey’s service market, and is expected to boost trade in construction services and entertainment services. Considering Turkey’s geopolitical significance, the deal is also expected to provide a foothold for Korean firms seeking business opportunities in Africa and the Middle East.


53

ECONOMIC BULLETIN • Mar 2015

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

Statistical Appendices


54

Statistical Appendices

1. National accounts (year-on-year change, %, chained 2010 year prices)

Real GDP

Final consumption Agri., fores. & Manufacturing expenditure fisheries

Period

Gross fixed capital formation Construction

Facilities

2006 2007 2008 2009 2010 2011 2012 2013P 2014P

5.2 5.5 2.8 0.7 6.5 3.7 2.3 3.0 3.3

1.6 4.1 5.6 3.2 -4.3 -2.0 -0.9 5.8 3.0

7.7 8.4 3.7 -0.5 13.7 6.5 2.4 3.3 4.0

5.2 5.3 2.2 1.3 4.3 2.7 2.2 2.2 2.0

3.6 5.0 -0.9 0.3 5.5 0.8 -0.5 4.2 3.3

0.7 1.5 -2.7 3.5 -3.7 -3.4 -3.9 6.7 1.1

8.4 9.7 -0.2 -7.7 22.0 4.7 0.1 -1.5 5.9

2006 Ⅰ Ⅱ Ⅲ Ⅳ

6.3 4.7 2.1 4.8

4.1 -0.2 -1.3 4.2

9.6 7.4 8.2 6.1

5.9 5.1 4.7 5.0

3.0 0.7 4.3 5.9

1.7 -4.1 -0.3 5.4

4.6 8.8 13.5 6.8

2007 Ⅰ Ⅱ Ⅲ Ⅳ

4.7 5.6 5.1 6.3

1.7 7.0 8.1 -0.6

6.5 8.6 7.4 10.9

5.2 5.6 5.5 5.0

6.6 6.3 2.1 5.2

3.8 2.0 0.0 0.9

10.3 14.2 2.1 12.2

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

7.2 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 1.2

1.6 -4.8 -4.8 -5.2

27.6 28.8 20.6 12.9

2011 Ⅰ Ⅱ Ⅲ Ⅳ

4.9 3.6 3.3 3.1

-9.2 -2.4 -5.8 7.0

11.4 6.5 5.6 3.4

3.3 3.3 2.8 1.7

-0.7 2.5 1.7 -0.3

-8.3 -2.5 -2.1 -2.0

8.2 8.3 3.4 -0.9

2012 Ⅰ Ⅱ Ⅲ Ⅳ

2.6 2.4 2.1 2.1

-0.3 -2.2 -0.1 -0.7

2.7 2.8 2.0 2.0

2.2 1.3 2.7 2.7

6.2 -2.3 -1.0 -3.4

-0.2 -5.4 -2.7 -6.2

11.1 -1.8 -4.2 -4.0

2013PⅠ Ⅱ Ⅲ Ⅳ

2.1 2.7 3.4 3.7

0.4 2.9 7.4 9.9

1.8 2.8 3.8 4.5

1.6 2.4 2.3 2.4

-2.6 5.0 5.9 7.8

1.9 9.8 8.8 5.4

-12.7 -3.9 1.5 10.9

2014PⅠ Ⅱ Ⅲ Ⅳ

3.9 3.5 3.2 3.3

7.7 3.4 0.6 1.7

5.6 5.3 3.1 2.0

2.6 1.5 2.0 1.8

5.9 3.4 3.7 0.9

4.3 0.2 3.0 -1.8

7.3 7.7 3.9 4.2

P: Preliminary Source: The Bank of Korea


55

ECONOMIC BULLETIN • Mar 2015

2. Production, shipment and inventory (constant prices, 2010=100)

Period

Production index

Shipment index

y-o-y change(%)

Inventory index

y-o-y change(%)

Service production index

y-o-y change(%)

y-o-y change(%)

2012 2013 2014P

107.4 108.2 108.2

1.3 0.7 0.0

107.2 108.1 107.9

1.5 0.8 -0.2

125.2 130.7 128.1

4.4 4.4 -2.0

104.8 106.4 108.7

1.6 1.5 2.2

2012 Ⅰ Ⅱ Ⅲ Ⅳ

106.6 108.9 103.7 110.6

3.9 1.3 -0.3 0.8

106.6 108.4 103.8 109.8

3.1 1.7 0.6 0.5

117.7 114.8 114.5 125.2

12.2 4.6 2.0 4.4

102.0 104.9 104.8 107.6

2.6 1.5 1.6 0.8

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 ⅣP

106.7 109.8 105.5 110.9

0.7 0.5 1.2 -1.9

106.5 109.3 104.8 111.0

0.4 -0.1 0.3 -1.1

130.0 128.9 129.7 128.1

5.6 8.1 4.2 -2.0

105.3 108.4 108.3 112.9

2.0 1.5 2.6 2.6

2012 1 2 3 4 5 6 7 8 9 10 11 12

102.0 106.1 111.6 106.8 110.7 109.2 106.0 100.3 104.7 108.8 112.6 110.3

-3.1 15.3 0.9 0.0 3.3 0.7 0.0 -1.3 0.3 -0.8 3.0 0.1

102.8 106.1 111.0 106.2 109.9 109.2 105.2 99.9 106.2 108.2 111.0 110.1

-2.8 13.5 0.1 -0.6 3.7 2.0 1.0 -1.4 1.9 -0.9 2.6 -0.3

119.3 117.4 117.7 116.5 118.2 114.8 115.4 119.3 114.5 116.1 121.3 125.2

14.2 14.1 12.2 10.2 8.8 4.6 3.2 6.5 2.0 0.6 3.1 4.4

100.3 99.9 105.7 102.8 105.9 105.9 104.8 103.9 105.7 104.7 105.5 112.7

0.3 6.2 1.5 0.7 2.4 1.2 1.6 0.8 2.2 0.5 1.5 0.7

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

111.2 97.3 109.6 109.5 110.6 107.8 108.0 103.9 101.1 113.3 112.2 113.4

9.0 -8.3 -1.8 2.5 -0.1 -1.3 1.9 3.6 -3.4 4.1 -0.4 2.8

110.0 98.2 110.2 109.3 110.3 108.6 107.1 104.9 101.4 112.6 111.4 112.6

7.0 -7.4 -0.7 2.9 0.4 -0.5 1.8 5.0 -4.5 4.1 0.4 2.3

128.6 124.6 123.1 120.7 121.7 119.2 124.0 123.5 124.5 126.3 129.1 130.7

7.8 6.1 4.6 3.6 3.0 3.8 7.5 3.5 8.7 8.8 6.4 4.4

102.4 100.4 106.7 105.6 107.7 107.0 105.6 105.7 105.4 107.8 107.4 114.7

2.1 0.5 0.9 2.7 1.6 1.0 0.8 1.7 -0.3 2.9 1.8 1.8

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

106.2 101.0 112.9 112.4 108.4 108.5 112.3 101.2 103.1 109.8 108.3 114.6

-4.5 3.8 3.0 2.6 -2.0 0.6 4.0 -2.6 2.0 -3.1 -3.5 1.1

105.1 101.3 113.1 111.3 108.7 107.8 109.5 101.7 103.2 109.0 109.2 114.9

-4.5 3.2 2.6 1.8 -1.5 -0.7 2.2 -3.1 1.8 -3.2 -2.0 2.0

132.1 129.3 130.0 131.2 130.0 128.9 133.2 130.6 129.7 130.7 129.7 128.1

2.7 3.8 5.6 8.7 6.8 8.1 7.4 5.7 4.2 3.5 0.5 -2.0

104.7 101.8 109.4 106.9 108.8 109.6 108.7 107.9 108.3 110.6 109.8 118.4

2.2 1.4 2.5 1.2 1.0 2.4 2.9 2.1 2.8 2.6 2.2 3.2

2015 1P

108.1

1.8

108.0

2.8

132.3

0.2

107.2

2.4

P: Preliminary Source: Statistics Korea


56

Statistical Appendices

3. Production capacity and operation ratio (year-on-year change, %, chained 2010 year prices)

Period

Production capacity index (2010=100)

Operation ratio index (2010=100)

y-o-y change (%)

y-o-y change (%)

Average operation ratio (%)

2012 2013 2014P

106.9 108.6 110.3

2.1 1.6 1.6

97.5 95.1 94.2

-2.7 -2.5 -0.9

78.6 76.5 76.1

2012 Ⅰ Ⅱ Ⅲ Ⅳ

106.3 106.7 107.0 107.5

2.7 2.1 1.9 1.8

97.5 101.0 93.2 98.3

-0.3 -2.4 -4.6 -3.5

79.9 79.5 76.6 78.0

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

77.3 76.1 75.4 77.0

2014 Ⅰ Ⅱ Ⅲ ⅣP

109.6 109.9 110.6 111.0

1.4 1.5 1.7 1.6

92.8 96.8 91.5 95.8

-1.0 -1.1 0.8 -2.5

77.1 76.1 76.0 75.1

2012 1 2 3 4 5 6 7 8 9 10 11 12

106.2 106.2 106.4 106.6 106.7 106.8 106.7 107.2 107.0 107.3 107.5 107.6

2.9 2.7 2.4 2.1 2.2 2.1 1.8 2.1 1.7 1.4 1.9 1.9

92.5 97.2 102.9 98.9 102.6 101.4 97.2 88.3 94.1 98.1 100.7 96.1

-8.0 11.3 -2.6 -3.6 -0.6 -3.1 -3.5 -6.9 -3.6 -4.6 -1.7 -4.5

79.7 81.8 79.0 79.2 80.1 79.0 78.1 74.4 77.4 77.8 78.4 78.2

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

108.0 108.1 108.1 108.1 108.3 108.5 108.6 108.9 108.9 109.1 109.2 109.6

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

98.9 84.9 97.2 97.9 99.4 96.3 94.6 90.7 87.0 99.7 98.2 96.9

6.9 -12.7 -5.5 -1.0 -3.1 -5.0 -2.7 2.7 -7.5 1.6 -2.5 0.8

78.8 77.3 75.9 75.8 76.4 76.2 74.7 76.8 74.8 77.0 76.5 77.4

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

109.7 109.5 109.7 109.6 109.9 110.1 110.4 110.7 110.8 110.9 110.9 111.1

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

91.9 87.5 99.0 99.8 95.6 94.9 98.7 86.8 88.9 95.8 94.1 97.5

-7.1 3.1 1.9 1.9 -3.8 -1.5 4.3 -4.3 2.2 -3.9 -4.2 0.6

77.8 76.3 77.2 77.2 74.9 76.3 77.9 74.7 75.4 74.2 74.6 76.5

2015 1P

111.1

1.3

93.0

1.2

74.1

P: Preliminary Source: The Bank of Korea


57

ECONOMIC BULLETIN • Mar 2015

4. Consumer goods sales index (constant prices, 2010=100)

Period

y-o-y change (%)

Consumer goods sales index Durable goods Semi-durable goods y-o-y y-o-y change (%) change (%)

Nondurable goods y-o-y change (%)

2012 2013 2014P

107.1 107.9 109.7

2.5 0.7 1.7

116.3 116.6 122.6

5.4 0.3 5.1

103.9 106.1 105.5

-0.3 2.1 -0.6

104.3 104.7 105.5

2.2 0.4 0.8

2012 Ⅰ Ⅱ Ⅲ Ⅳ

103.5 106.5 106.7 111.8

2.9 1.5 2.9 2.7

109.4 115.0 118.5 122.1

4.0 2.7 6.5 8.4

99.0 105.6 92.4 118.4

0.6 -0.4 -2.2 0.5

102.8 103.0 107.5 104.1

3.3 1.9 3.1 0.8

2013 Ⅰ Ⅱ Ⅲ Ⅳ

103.8 107.7 107.2 113.0

0.3 1.1 0.5 1.1

111.0 118.2 116.8 120.3

1.5 2.8 -1.4 -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 ⅣP

106.3 108.6 108.8 115.1

2.4 0.8 1.5 1.9

117.2 121.2 123.4 128.5

5.6 2.5 5.7 6.8

100.3 104.9 96.2 120.5

-1.8 -2.2 1.4 0.5

103.8 104.3 107.5 106.5

2.6 1.4 -0.5 -0.1

2012 1 2 3 4 5 6 7 8 9 10 11 12

107.6 97.9 105.1 103.1 110.2 106.2 108.4 102.5 109.3 109.1 111.8 114.5

2.2 5.6 1.2 0.5 2.7 1.3 4.0 1.5 3.1 1.6 4.3 2.2

107.3 107.2 113.8 107.4 117.4 120.1 125.7 114.1 115.8 117.1 123.2 126.0

3.4 9.8 -0.3 1.1 4.4 2.3 7.5 4.1 7.7 8.0 6.6 10.7

104.8 91.9 100.4 104.9 111.4 100.4 97.4 82.2 97.6 114.8 118.9 121.6

-0.1 2.0 0.1 -1.2 0.8 -0.8 1.0 -5.0 -3.0 -2.0 5.2 -1.3

109.0 96.2 103.1 100.3 106.4 102.3 105.2 105.9 111.3 102.9 103.3 106.0

2.6 5.0 2.4 1.0 2.7 1.8 3.3 2.4 3.3 0.2 2.5 -0.3

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

104.6 99.5 107.3 105.4 110.9 106.8 109.2 104.5 107.8 111.3 113.2 114.6

-2.8 1.6 2.1 2.2 ` 0.6 0.7 2.0 -1.4 2.0 1.3 0.1

112.3 105.9 114.8 115.1 119.7 119.9 127.5 116.2 106.8 120.5 120.2 120.1

4.7 -1.2 0.9 7.2 2.0 -0.2 1.4 1.8 -7.8 2.9 -2.4 -4.7

102.8 93.3 110.2 106.7 113.8 101.3 98.0 86.6 100.1 113.9 123.8 122.1

-1.9 1.5 9.8 1.7 2.2 0.9 0.6 5.4 2.6 -0.8 4.1 0.4

101.7 99.3 102.5 100.3 105.5 103.0 105.6 106.8 111.6 105.8 105.3 108.8

-6.7 3.2 -0.6 0.0 -0.8 0.7 0.4 0.8 0.3 2.8 1.9 2.6

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

110.4 99.1 109.3 105.6 112.1 108.1 109.9 107.1 109.3 111.1 114.3 119.9

5.5 -0.4 1.9 0.2 1.1 1.2 0.6 2.5 1.4 -0.2 1.0 4.6

116.1 116.9 118.5 114.2 121.8 127.5 131.1 118.5 120.5 118.9 128.7 138.0

3.4 10.4 3.2 -0.8 1.8 6.3 2.8 2.0 12.8 -1.3 7.1 14.9

100.7 92.0 108.2 105.8 111.8 97.2 95.7 91.5 101.5 116.0 120.6 124.9

-2.0 -1.4 -1.8 -0.8 -1.8 -4.0 -2.3 5.7 1.4 1.8 -2.6 2.3

111.9 93.9 105.5 101.5 107.7 103.7 106.3 108.6 107.5 105.4 104.9 109.3

10.0 -5.4 2.9 1.2 2.1 0.7 0.7 1.7 -3.7 -0.4 -0.4 0.5

2015 1P

107.0

-3.1

127.7

10.0

97.4

-3.3

101.5

-9.3

P: Preliminary Source: Statistics Korea


58

Statistical Appendices

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

Consumer sentiment index

2012 2013 2014P

102.5 102.2 101.8

1.6 -0.3 -0.4

102.8 103.4 102.6

2.5 0.6 -0.8

102.4 101.7 101.5

1.2 -0.7 -0.2

-

2012 Ⅰ Ⅱ Ⅲ Ⅳ

100.8 99.9 103.5 106.0

-0.2 2.0 2.0 2.6

97.8 99.1 102.5 112.0

-1.7 -1.6 1.6 11.9

102.0 100.2 103.9 103.4

0.4 3.5 2.2 -1.1

-

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 ⅣP

100.7 100.3 102.4 103.9

-2.2 1.6 0.0 -0.8

103.4 103.0 100.9 103.2

-4.5 2.1 -1.7 1.4

99.5 99.2 103.0 104.2

-1.3 1.5 0.7 -1.6

-

2012 1 2 3 4 5 6 7 8 9 10 11 12

100.6 98.6 103.1 99.2 101.6 98.9 102.8 101.5 106.1 106.6 105.7 105.7

-7.0 10.9 -2.6 0.9 5.9 -0.6 2.4 -0.8 4.3 1.7 4.7 1.5

92.5 98.3 102.5 94.1 100.4 102.8 105.3 98.4 103.9 108.5 110.9 116.5

-8.3 6.0 -2.4 -3.6 1.2 -2.4 0.7 0.1 4.1 8.0 12.0 15.5

104.0 98.7 103.3 101.3 102.1 97.3 101.8 102.9 107.0 105.7 103.5 101.1

-6.6 13.1 -2.6 2.6 8.0 0.2 3.4 -1.1 4.4 -0.8 1.6 -4.1

98 102 102 106 106 101 100 101 99 100 100 99

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

108.8 96.9 103.3 99.5 99.7 96.9 103.4 104.0 99.7 108.8 102.9 102.3

8.2 -1.7 0.2 0.3 -1.9 -2.0 0.6 2.5 -6.0 2.1 -2.6 -3.2

110.3 106.4 108.1 98.1 101.7 102.8 109.0 103.8 94.9 104.4 103.1 97.8

19.2 8.2 5.5 4.3 1.3 0.0 3.5 5.5 -8.7 -3.8 -7.0 -16.1

108.1 92.9 101.3 100.0 98.8 94.4 101.1 104.2 101.7 110.7 102.8 104.2

3.9 -5.9 -1.9 -1.3 -3.2 -3.0 -0.7 1.3 -5.0 4.7 -0.7 3.1

102 102 104 102 104 105 105 105 102 106 107 107

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

102.4 96.6 103.0 101.7 99.8 99.5 104.8 100.2 102.2 105.0 100.9 105.8

-5.9 -0.3 -0.3 2.2 0.1 2.7 1.4 -3.7 2.5 -3.5 -1.9 3.4

99.9 106.7 103.6 97.9 103.4 107.7 107.6 95.0 100.1 99.8 102.9 106.8

-9.4 0.3 -4.2 -0.2 1.7 4.8 -1.3 -8.5 5.5 -4.4 -0.2 9.2

103.4 92.3 102.8 103.3 98.2 96.1 103.7 102.4 103.0 107.3 100.0 105.4

-4.3 -0.6 1.5 3.3 -0.6 1.8 2.6 -1.7 1.3 -3.1 -2.7 1.2

109 108 108 108 105 107 105 107 107 105 103 101

2015 1P 2

105.2 -

2.7 -

102.1 -

2.2 -

106.5 -

3.0 -

102 103

P: Preliminary Source: Statistics Korea


59

ECONOMIC BULLETIN • Mar 2015

6. Machinery orders received and estimated facility investment index Domestic machinery orders received excluding ship (billion won, constant value) Total Public Private Estimated facility investment index y-o-y y-o-y y-o-y y-o-y change (%) (2010=100) change (%) change (%) change (%)

Period 2012 2013 2014P

21,648 23,078 26,479

-13.9 6.6 14.7

2,142 2,580 5,008

-11.0 20.5 94.1

19,506 20,497 21,471

-14.2 5.1 4.7

100.6 99.8 105.0

-2.8 -0.8 5.2

2012 Ⅰ Ⅱ Ⅲ Ⅳ

6,310 5,391 5,036 4,910

-1.1 -19.8 -11.1 -23.0

810 285 579 468

126.1 -59.7 86.7 -54.6

5,500 5,106 4,458 4,442

-8.7 -15.1 -16.8 -16.9

105.0 104.8 96.2 96.4

8.2 -4.2 -7.9 -6.4

2013 Ⅰ 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

2014 Ⅰ Ⅱ Ⅲ ⅣP

6,624 6,099 7,687 6,069

18.5 4.0 49.4 -6.4

1,221 305 2,708 774

184.6 -45.0 418.5 -28.0

5,403 5,794 4,979 5,295

4.7 9.1 7.7 -2.1

98.6 107.9 100.8 112.7

7.5 6.7 1.5 5.3

2012 1 2 3 4 5 6 7 8 9 10 11 12

1,933 2,541 1,836 1,845 1,830 1,716 1,835 1,509 1,693 1,511 1,656 1,743

-0.8 25.1 -23.6 -4.4 -14.4 -35.4 -9.4 -14.2 -10 -22.5 -27.8 -18.3

52 695 63 56 39 190 310 169 100 86 127 255

-22.2 829.0 -70.9 -10.3 -72.8 -62.2 135.5 105.9 3.5 -72.3 -75.8 31.2

1,881 1,846 1,773 1,789 1,791 1,526 1,525 1,339 1,593 1,425 1,529 1,488

0.0 -5.7 -18.9 -4.3 -10.2 -29.1 -19.5 -20.1 -10.7 -13.1 -13.5 -23.3

97.7 109.1 108.2 106.2 105.8 102.3 105.4 90.1 93.1 94.5 92.4 102.2

5.6 26.4 -3.5 3.0 -4.9 -10.2 -1.6 -16.5 -5.5 1.1 -10 -9.3

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

1,844 1,666 2,078 1,846 2,127 1,893 1,934 1,622 1,588 2,604 2,094 1,783

-4.6 -34.5 13.2 0.0 16.2 10.3 5.4 7.5 -6.2 72.3 26.5 2.3

139 168 121 92 250 212 359 92 71 788 163 124

169.8 -75.8 92.2 63.8 542.9 11.5 15.8 -45.5 -28.5 815.5 28.2 -51.4

1,704 1,497 1,957 1,753 1,877 1,681 1,575 1,530 1,517 1,816 1,931 1,659

-9.4 -18.9 10.4 -2.0 4.8 10.2 3.3 14.2 -4.8 27.4 26.3 11.5

90.1 83.9 101.0 98.7 102.1 102.5 108.4 100.6 88.8 109.6 101.9 109.4

-7.8 -23.1 -6.7 -7.1 -3.5 0.2 2.8 11.7 -4.6 16.0 10.3 7.0

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

1,748 1,847 3,029 2,276 1,826 1,997 1,779 4,090 1,818 1,932 2,303 1,834

-5.2 10.9 45.8 23.3 -14.1 5.5 -8.0 152.2 14.5 -25.8 10.0 2.9

88 120 1,013 97 116 92 89 2,541 79 211 428 136

-36.9 -28.8 735.6 5.1 -53.4 -56.7 -75.3 2,653.2 10.6 -73.2 162.6 9.5

1,660 1,727 2,016 2,179 1,709 1,906 1,690 1,549 1,739 1,722 1,874 1,699

-2.6 15.3 3.0 24.3 -8.9 13.4 7.3 1.3 14.7 -5.2 -2.9 2.4

90.3 95.6 109.8 110.6 108.3 104.9 111.4 90.7 100.2 99.8 112.5 125.8

0.2 13.9 8.7 12.1 6.1 2.3 2.8 -9.8 12.8 -8.9 10.4 15.0

2015 1P

2,211

26.5

114

30.1

2,097

26.3

103.2

14.3

P: Preliminary Source: Statistics Korea


60

Statistical Appendices

7. Value of construction completed and domestic construction orders received Period

Type of order Type of order Domestic Value of construction construction Public Private Public Private orders y-o-y completed y-o-y received change (%) y-o-y y-o-y y-o-y y-o-y (Total) change (%) change (%) change (%) change (%) change (%) (Total)

2012 2013 2014p

88,713 98,089 98,447

-3.3 10.6 0.4

33,807 34,456 31,998

-3.7 1.9 -7.1

50,622 59,714 62,391

-2.0 18.0 4.5

89,395 77,885 89,805

-6.2 -12.9 15.3

26,071 24,736 26,497

-8.9 -5.1 7.1

59,811 50,947 61,293

-3.3 -14.8 20.3

2012 Ⅰ Ⅱ Ⅲ Ⅳ

19,275 22,410 21,351 25,676

0.0 -6.8 -0.3 -4.8

7,442 8,892 7,598 9,876

1.6 -4.3 -1.1 -8.8

10,893 12,440 12,676 14,613

-1.2 -6.7 0.6 -0.6

22,671 25,732 18,395 22,596

38.8 1.6 -10.0 -32.0

5,655 5,570 5,401 9,443

37.3 -11.7 -19.5 -17.8

16,309 19,100 12,522 11,877

46.8 8.2 -2.7 -41.2

2013 Ⅰ Ⅱ Ⅲ Ⅳ

20,178 25,760 23,718 28,732

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 ⅣP

21,675 26,174 23,601 26,997

7.4 1.6 -0.5 -5.0

7,147 8,706 7,243 8,902

2.1 -6.6 -10.1 -11.7

13,676 16,512 15,360 16,844

10.2 6.8 4.2 -1.5

15,972 23,436 24,035 26,362

15.5 25.4 42.8 -7.6

5,898 6,577 5,190 8,833

37.4 22.5 4.1 -12.4

9,628 16,537 18,175 16,953

4.9 30.9 58.8 -4.2

2012 1 2 3 4 5 6 7 8 9 10 11 12

5,796 6,035 7,444 6,844 7,307 8,259 7,037 6,582 7,732 7,343 8,098 10,235

-6.3 13.2 -4.1 -4.5 -1.8 -12.6 4.2 -4.6 -0.5 -7.8 3.0 -8.1

2,123 2,373 2,945 2,644 2,873 3,374 2,372 2,322 2,904 2,591 3,003 4,282

-12.9 17.0 3.1 -3.6 3.0 -10.2 -0.3 -5.6 2.1 -10.7 -5.3 -9.9

3,373 3,405 4,115 3,903 4,106 4,431 4,281 3,943 4,452 4,452 4,773 5,387

-3.3 11.3 -8.2 -4.0 -3.4 -11.8 5.4 -3.8 0.3 -4.7 11.2 -6.0

7,468 8,488 6,714 6,428 7,310 11,993 6,823 5,390 6,181 5,800 7,239 9,556

52.0 108.1 -8.6 -4.2 2.3 4.6 32.3 -28.8 -19.9 -22.6 -19.9 -42.8

2,034 2,218 1,402 1,453 1,061 3,056 2,304 1,316 1,780 1,970 2,105 5,366

54.6 57.5 0.6 1.7 -43.9 2.2 24.2 -12.5 -46.9 -14.9 -29.5 -13.1

5,269 81.4 6,121 144.1 4,918 -13.6 4,461 -3.6 6,133 29.4 8,505 2.7 4,329 39.9 4,032 -30.3 4,161 4.2 3,787 -24.1 4,798 -18.3 3,290 -64.8

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

6,272 6,236 7,670 81,057 81,607 94,947 7,854 7,666 8,199 8,637 9,088 10,708

8.2 3.3 3.0 18.4 11.7 15.0 11.6 16.5 6.0 17.6 12.2 4.6

2,072 2,346 2,581 2,830 2,797 3,691 2,635 2,553 2,870 2,952 3,118 4,015

-2.4 -1.1 -12.4 7.0 -2.7 9.4 11.1 10.0 -1.2 13.9 3.8 -6.2

3,962 3,662 4,790 4,978 5,088 5,389 4,908 4,827 5,004 5,344 5,635 6,126

17.4 7.5 16.4 27.5 23.9 21.6 14.7 22.4 12.4 20.0 18.1 13.7

3,557 4,723 5,546 5,151 6,221 7,321 5,775 4,690 6,368 7,751 8,083 12,698

-52.4 -44.4 -17.4 -19.9 -14.9 -39.0 -15.4 -13.0 3.0 33.6 11.6 32.9

1,300 1,281 1,711 1,565 1,564 2,241 1,493 1,474 2,021 1,518 2,664 5,904

-36.1 -42.3 21.9 7.7 47.4 -26.7 -35.2 12.0 13.5 -23.0 26.5 10.0

2,109 3,290 3,781 3,160 4,537 4,940 4,148 3,172 4,122 6,144 5,204 6,340

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

7,057 6,665 7,953 8,476 8,191 9,506 7,914 7,721 7,966 8,239 8,339 10,420

12.5 6.9 3.7 4.6 0.4 0.1 0.8 0.7 -2.8 -4.6 -8.2 -2.7

2,314 2,207 2,626 2,740 2,584 3,382 2,429 2,324 2,491 2,532 2,673 3,697

11.7 -6.0 1.8 -3.2 -7.6 -8.4 -7.8 -9.0 -13.2 -14.2 -14.3 -7.9

4,452 4,237 4,987 5,458 5,316 5,737 5,149 5,112 5,099 5,369 5,293 6,182

12.4 15.7 4.1 9.6 4.5 6.5 4.9 5.9 1.9 0.5 -6.1 0.9

5,528 5,549 4,895 7,359 6,834 9,243 6,969 8,688 8,377 7,755 6,427 12,181

55.4 17.5 -11.7 42.9 9.9 26.2 20.7 85.2 31.6 0.0 -20.5 -4.1

2,034 2,241 1,623 1,894 2,000 2,682 1,533 1,628 2,029 1,416 1,895 5,522

56.4 75.0 -5.1 21.0 27.8 19.7 2.7 10.5 0.4 -6.7 -28.9 -6.5

3,305 56.7 3,158 -4.0 3,165 -16.3 5,454 72.6 4,767 5.1 6,316 27.8 5,298 27.7 6,849 115.9 6,029 46.3 6,157 0.2 4,415 -15.2 6,381 0.6

2015 1P

6,870

-2.6

2,022

-12.6

4,612

3.6

7,092

28.3

1,310

-35.6

5,745

P: Preliminary Source: Statistics Korea

-60.0 -46.3 -23.1 -29.2 -26.0 -41.9 -4.2 -21.3 -0.9 62.2 8.5 92.7

73.8


61

ECONOMIC BULLETIN • Mar 2015

8. Composite indexes of business cycle indicators and BSI Period

Leading index (2010=100)

Cyclical indicator of leading index (2010=100)

Cyclical Coincident index indicator of (2010=100) coincident index (2010=100)

BSI (results)

BSI (prospects)

2011 1 2 3 4 5 6 7 8 9 10 11 12

101.5 101.7 101.8 101.4 101.7 102.2 102.8 103.0 103.1 103.3 103.5 103.8

101.0 100.7 100.3 99.5 99.4 99.4 99.5 99.2 99.0 98.7 98.4 98.3

103.5 103.5 104.0 104.0 104.9 105.6 106.2 106.7 106.8 107.2 107.3 107.7

101.7 101.4 101.4 101.1 101.5 101.8 101.9 102.0 101.6 101.6 101.2 101.2

99.1 92.2 107.8 98.4 98.9 99.6 96.2 86.8 96.4 95.0 93.0 90.1

101.8 98.0 113.5 99.3 104.3 104.3 101.3 98.9 96.3 101.4 96.4 94.8

2012 1 2 3 4 5 6 7 8 9 10 11 12

104.6 105.7 106.2 106.6 106.7 107.8 108.3 108.4 108.1 108.5 109.3 110.1

98.5 99.2 99.1 99.1 98.7 99.3 99.3 98.9 98.2 98.1 98.4 98.7

107.7 108.6 108.8 109.2 109.3 109.7 110.5 110.4 110.8 110.9 111.5 112.1

100.8 101.3 101.0 101.0 100.6 100.7 100.9 100.4 100.4 100.0 100.2 100.3

88.6 92.2 101.4 97.5 95.7 90.4 82.1 84.4 89.3 88.9 82.2 87.0

88.3 91.0 106.1 98.4 104.7 98.3 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

110.4 110.9 111.4 111.9 112.7 113.8 114.5 115.1 115.3 116.2 117.1 118.1

98.5 98.5 98.5 98.6 98.8 99.3 99.5 99.6 99.3 99.6 99.9 100.3

112.4 112.9 113.0 113.6 114.1 114.8 115.2 115.8 116.1 116.8 117.2 117.8

100.2 100.2 99.8 100.0 100.0 100.2 100.2 100.3 100.1 100.3 100.2 100.3

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

118.7 118.9 119.0 119.4 119.8 120.5 121.1 122.4 123.6 124.4 124.9 125.9

100.4 100.2 99.8 99.7 99.6 99.7 99.8 100.4 101.0 101.2 101.1 101.5

118.5 118.9 119.4 119.6 119.8 120.2 120.8 121.5 121.8 121.9 122.2 123.0

100.5 100.5 100.5 100.3 100.1 100.1 100.2 100.4 100.2 99.9 99.8 100.1

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

127.8 -

102.5 -

123.6 -

100.2 -

94.0 89.4 -

90.3 92.1 103.7

Sources: Statistics Korea, The Bank of Korea


62

Statistical Appendices

9. Balance of payments (I) (US $ million)

Period

Current account

Goods

2012 2013 2014p

50,835.0 79,883.6 89,220.1

2012 Ⅰ Ⅱ Ⅲ Ⅳ

Services

Primary income

Secondary income

554,103.2 536,559.0 528,611.3

-5,213.6 -7,927.4 -8,163.4

12,116.7 11,424.8 10,197.7

-5,474.1 -4,182.3 -5,501.8

144,260.1 150,834.0 149,619.5 158,795.6

142,598.6 142,299.0 133,724.9 135,480.7

-2,970.8 172.0 -679.8 -1,735.0

2,045.3 3,942.3 2,972.2 3,156.9

-1,482.0 -1,044.2 -1,300.2 -1,647.7

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

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

15,185.9 24,240.4 22,565.7 27,228.1

17,745.2 26,428.1 21,676.0 26,838.3

152,688.6 159,385.4 153,482.3 155,742.6

134,943.4 132,957.3 131,806.3 128,904.3

-3,503.4 -1,838.7 -904.0 -1,917.3

1,905.8 1,330.9 3,143.5 3,817.5

-961.7 -1,679.9 -1,349.8 -1,510.4

2012 1 2 3 4 5 6 7 8 9 10 11 12

-2,151.2 -2,409.5 3,814.7 87.8 5,265.5 6,251.8 8,413.0 1,808.7 6,665.1 7,494.2 8,293.6 7,301.3

-1,727.4 -863.1 4,252.0 -222.9 3,387.9 5,370.0 7,529.7 2,118.1 6,246.8 7,472.8 8,580.9 7,261.2

44,738.1 48,304.2 51,217.8 49,330.2 50,854.0 50,649.8 51,530.7 47,379.6 50,709.2 53,409.2 54,492.4 50,894.0

46,465.5 49,167.3 46,965.8 49,553.1 47,466.1 45,279.8 44,001.0 45,261.5 44,462.4 45,936.4 45,911.5 43,632.8

-1,017.2 -2,018.3 64.7 288.4 545.9 -662.3 110.0 -844.3 54.5 -415.4 -833.9 -485.7

1,243.3 873.2 -71.2 364.5 1,660.1 1,917.7 1,260.7 965.2 746.3 867.8 988.6 1,300.5

-649.9 -401.3 -430.8 -342.2 -328.4 -373.6 -487.4 -430.3 -382.5 -431.0 -442.0 -774.7

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

3,075.6 2,473.1 7,065.6 5,334.6 9,886.4 7,126.4 7,323.2 6,745.6 8,181.6 11,108.9 6,229.9 6,597.3

3,953.0 3,256.4 7,088.6 5,510.6 9,363.1 5,711.6 7,462.2 7,271.4 8,572.1 9,767.8 8,024.8 6,799.4

51,765.7 44,916.0 51,141.6 51,704.7 53,477.3 48,883.9 53,326.3 49,899.2 50,490.3 56,820.8 52,702.3 53,028.8

47,812.7 41,659.6 44,053.0 46,194.1 44,114.2 43,172.3 45,864.1 42,627.8 41,918.2 47,053.0 44,677.5 46,229.4

-1,556.6 -1,144.9 33.6 496.2 -28.7 180.4 -879.0 -869.3 -330.2 405.8 -2,088.9 -717.6

1,169.5 623.3 19.6 -482.0 721.6 1,420.9 1,032.7 665.9 648.0 1,335.7 674.8 1,225.7

-490.3 -261.7 -76.2 -190.2 -169.6 -186.5 -292.7 -322.4 -708.3 -400.4 -380.8 -710.2

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

3,323.7 4,537.5 7,324.7 7,163.1 9,119.2 7,958.1 7,881.7 7,235.1 7,448.9 8,883.2 11,322.1 7,022.8

4,367.0 5,403.4 7,974.8 10,648.0 9,133.5 6,646.6 6,794.4 7,367.3 7,514.3 8,487.1 10,031.4 8,319.8

50,599.8 47,993.3 54,095.5 56,721.4 52,383.0 50,281.0 53,811.7 48,920.1 50,750.5 51,970.8 50,063.0 53,708.8

46,232.8 42,589.9 46,120.7 46,073.4 43,249.5 43,634.4 47,017.3 41,552.8 43,236.2 43,483.7 40,031.6 45,389.0

-1,873.7 -1,020.3 -609.4 -1,004.4 -297.7 -536.6 31.0 -694.3 -240.7 -212.6 -164.6 -1,540.1

1,211.4 371.8 322.6 -1,619.7 725.1 2,225.5 1,488.8 1,048.0 606.7 967.6 1,667.5 1,182.4

-381.0 -217.4 -363.3 -860.8 -441.7 -377.4 -432.5 -485.9 -431.4 -358.9 -212.2 -939.3

2015P 1

6,938.2

7,091.9

45,517.1

38,425.2

-2,435.0

2,900.4

-619.1

Exports

Imports

49,406.0 80,568.6 92,687.6

603,509.2 617,127.6 621,298.9

-746.0 11,605.1 16,886.8 23,089.1

1,661.5 8,535.0 15,894.6 23,314.9

2013 Ⅰ Ⅱ Ⅲ Ⅳ

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

2014P Ⅰ Ⅱ Ⅲ Ⅳ

P: Preliminary Source: The Bank of Korea


63

ECONOMIC BULLETIN • Mar 2015

10. Balance of payments (II) (US $ million)

Period

Capital & financial account

Direct investment

Portfolio investment

Financial derivatives

Other investment

Capital transfers & acquisition of nonfinancial assets

Reserve assets

2012 2013 2014p

-51,582.4 -80,104.6 -90,383.3

-21,136.2 -15,593.2 -20,659.5

6,747.8 -9,344.5 -33,605.3

2,627.8 4,410.3 3,704.9

-26,637.3 -43,281.1 -21,937.9

-41.7 -27.0 -9.0

-13,184.5 -16,296.1 -17,885.5

2012 Ⅰ Ⅱ Ⅲ Ⅳ

-4,564.4 -4,278.7 -18,096.1 -24,643.2

-7,579.6 -4,057.3 -5,705.4 -3,793.9

14,759.6 -6,803.0 4,177.7 -5,386.5

1,198.5 -270.6 595.3 1,104.6

-6,495.1 6,181.1 -13,247.2 -13,076.1

-19.2 -6.7 -9.0 -6.8

-6,447.8 671.1 -3,916.5 -3,491.3

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

-2.7 -27.5 12.8 -9.6

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

2014P Ⅰ Ⅱ Ⅲ Ⅳ

-17177.8 -24,208.1 -22,481.5 -26,515.9

-3,657.7 -7,552.9 -3,908.6 -5,540.3

-13,596.7 -5,867.2 -4,762.4 -9,379.0

892.6 2,083.5 1,531.9 -803.1

6,207.4 -1,701.9 -9,510.4 -16,933.0

-2.1 -4.3 3.6 -6.2

-7,023.4 -11,169.6 -5,832.0 6,139.5

2012 1 2 3 4 5 6 7 8 9 10 11 12

-1,295.1 435.0 -3,704.3 1,566.7 -2,645.3 -3,200.1 -9,113.6 -3,219.3 -5,763.2 -7,172.4 -9,211.9 -8,258.9

-2,022.6 -3,631.3 -1,925.7 -1,225.9 -1,687.4 -1,144.0 -1,695.4 -1,719.8 -2,290.2 -1,001.3 -1,599.7 -1,192.9

7,904.1 6,238.0 617.5 -3,114.3 -1,893.6 -1,795.1 1,730.8 646.6 1,800.3 -4,742.4 -3,886.7 3,242.6

452.6 245.8 500.1 215.0 -480.7 -4.9 358.8 -35.5 272.0 -137.8 631.8 610.6

-5,167.1 -190.9 -1,137.1 5,832.0 147.6 201.5 -8,171.9 -1,016.0 -4,059.3 185.2 -1,759.5 -11,501.8

-9.6 -5.8 -3.8 0.3 -1.0 -6.0 -5.5 -1.9 -1.6 -4.9 0.7 -2.6

-2,462.1 -2,226.6 -1,759.1 -140.1 1,268.8 -457.6 -1,335.9 -1,094.6 -1,486.0 -1,476.1 -2,597.8 582.6

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

-2,694.7 -1,707.1 -7,046.9 -2,435.7 -12,288.9 -4,921.0 -9,446.1 -6,236.3 -6,993.1 -10,139.4 -7,433.1 -8,762.3

-802.5 -909.3 -2,166.6 401.3 -2,175.6 -1,623.5 -796.8 -1,157.2 -1,472.8 -340.7 -2,243.9 -2,305.6

-5,964.7 2,149.9 -3,471.1 -2,060.8 -1,642.1 -6,073.6 1,785.8 1,584.1 6,005.5 4,942.8 -1,557.9 -5,042.4

579.6 651.0 165.2 -301.1 719.1 -931.6 431.4 210.0 1,014.9 805.3 466.9 599.6

4,123.7 -1,158.3 -85.2 -1,382.5 -8,189.7 -491.6 -8,821.6 -5,172.4 -9,617.4 -10,754.2 -1,248.6 -483.3

-8.0 -2.9 8.2 -1.6 -11.0 -14.9 1.1 18.2 -6.5 -2.0 0.0 -7.6

-630.8 -2,440.4 -1,489.2 907.4 -1,000.6 4,199.3 -2,044.9 -1,700.8 -2,923.3 -4,792.6 -2,849.6 -1,530.6

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

-4,477.0 -6,920.5 -5,780.3 -6,238.8 -8,132.4 -9,836.9 -5,916.9 -7,802.4 -8,762.2 -6,801.5 -9,915.5 -9,798.9

529.9 -2,163.5 -2,024.1 -2,157.8 -3,338.8 -2,056.3 -1,011.5 -749.5 -2,147.6 -2,088.9 -2,098.2 -1,353.2

-4,193.1 -7,394.4 -2,009.2 1,662.3 -3,311.0 -4,218.5 -1,743.7 504.4 -3,523.1 -382.4 -2,835.6 -6,161.0

155.5 223.1 514.0 858.1 534.5 690.9 504.1 557.7 470.1 -570.7 -81.8 -150.6

1,937.4 4,739.0 -469.0 -5,935.6 3,950.6 283.1 -338.1 -7,288.1 -1,884.2 -4,007.0 -7,797.4 -5,128.6

-3.0 3.5 -2.6 2.6 -4.3 -2.6 -6.3 11.2 -1.3 -1.1 -0.9 -4.2

-2,906.7 -2,324.7 -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

2015P 1

-8,240.4

-1,001.5

-3,623.7

-76.2

489.1

-13.0

-4,028.1

P: Preliminary Source: Statistics Korea


64

Statistical Appendices

11. Prices (2010=100)

Consumer Prices Commodities Services

All Items

Period

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 (%)

2012

106.3

2.2

108.9

3.0

104.2

1.4

104.9

1.6

107.5

0.7

108.9

0.2

2013

107.7

1.3

110.1

1.0

105.8

1.5

106.6

1.6

105.7

-1.6

106.2

-2.5

2014

109.0

1.3

111.1

0.9

107.4

1.6

108.8

2.0

105.2

-0.5

104.8

-1.4

2012 1

105.7

3.4

107.9

4.4

103.9

2.7

104.6

3.2

107.7

3.2

109.5

3.6

2

106.1

3.1

108.5

3.9

104.2

2.5

104.7

2.5

108.4

3.1

110.5

3.6

3

106.0

2.6

109.2

4.1

103.5

1.4

104.3

1.9

108.9

2.4

111.2

2.7

4

106.0

2.5

108.9

4.1

103.7

1.3

104.4

1.8

109.0

1.9

111.1

1.9

5

106.2

2.5

109.2

4.3

103.9

1.3

104.6

1.6

108.4

1.0

110.3

0.7

6

106.1

2.2

108.8

3.6

104.0

1.2

104.9

1.5

107.1

0.0

108.4

-0.7

7

105.9

1.5

107.9

1.9

104.2

1.1

104.9

1.2

106.6

-0.6

107.6

-1.5

8

106.3

1.2

108.8

1.6

104.4

1.1

105.1

1.3

107.2

-0.1

108.6

-0.9

9

107.0

2.0

110.4

3.1

104.4

1.3

105.2

1.4

107.6

0.2

109.2

-0.4

10

106.9

2.1

109.8

3.0

104.6

1.4

105.2

1.5

106.8

-0.5

107.8

-1.4

11

106.5

1.6

108.9

2.0

104.6

1.3

105.3

1.3

106.1

-0.9

106.8

-1.9

12

106.7

1.4

109.0

1.6

104.8

1.3

105.5

1.2

105.8

-1.2

106.4

-2.3

2013 1

107.3

1.6

109.9

1.7

105.3

1.5

105.9

1.3

106.0

-1.6

106.8

-2.5

2

107.7

1.6

110.4

1.6

105.6

1.5

106.2

1.4

106.7

-1.6

107.8

-2.5

3

107.6

1.5

110.4

1.1

105.4

1.7

106.0

1.6

106.3

-2.4

107.1

-3.7

4

107.5

1.3

109.9

0.9

105.6

1.7

106.0

1.6

105.9

-2.8

106.6

-4.1

5

107.5

1.1

109.6

0.4

105.7

1.8

106.4

1.7

105.6

-2.6

106.1

-3.8

6

107.3

1.2

109.4

0.7

105.7

1.6

106.6

1.6

105.5

-1.4

106.0

-2.2

7

107.6

1.6

109.7

1.7

105.9

1.5

106.7

1.7

105.5

-1.0

106.0

-1.6

8

107.9

1.5

110.3

1.5

106.1

1.5

106.7

1.5

105.8

-1.3

106.2

-2.1

9

108.1

1.0

110.9

0.4

106.0

1.5

107.0

1.7

105.7

-1.8

106.1

-2.8

10

107.8

0.9

110.1

0.3

106.0

1.4

107.1

1.8

105.3

-1.4

105.5

-2.2

11

107.8

1.2

110.1

1.0

106.0

1.3

107.4

2.0

105.1

-0.9

105.2

-1.5

12

107.9

1.1

110.2

0.9

106.2

1.3

107.5

1.9

105.4

-0.4

105.5

-0.9

2014 1

108.5

1.1

110.9

0.9

106.6

1.3

107.7

1.7

105.6

-0.3

105.7

-1.0

2

108.8

1.0

111.4

0.9

106.7

1.1

108.0

1.7

105.8

-0.9

105.9

-1.7

3

109.0

1.3

111.6

1.1

107.0

1.5

108.3

2.1

105.7

-0.5

105.7

-1.3

4

109.1

1.5

111.3

1.3

107.3

1.6

108.5

2.3

105.6

-0.3

105.4

-1.1

5

109.2

1.7

111.5

1.7

107.5

1.6

108.8

2.2

105.5

0.0

105.3

-0.7

6

109.1

1.7

111.2

1.7

107.4

1.6

108.9

2.1

105.6

0.1

105.4

-0.6

7

109.3

1.6

111.2

1.4

107.7

1.7

109.1

2.2

105.7

0.2

105.5

-0.4

8

109.5

1.4

111.4

1.0

107.9

1.7

109.2

2.4

105.6

-0.2

105.1

-1.1

9

109.4

1.1

111.5

0.5

107.8

1.7

109.1

1.9

105.2

-0.5

104.7

-1.3

10

109.1

1.2

110.6

0.5

107.8

1.7

109.1

1.8

104.5

-0.8

103.6

-1.8

11

108.8

1.0

110.2

0.2

107.7

1.6

109.1

1.6

104.1

-0.9

103.1

-2.0

12

108.8

0.8

110.1

0.0

107.8

1.6

109.3

1.6

103.1

-2.1

101.9

-3.6

2015 1

109.4

0.8

110.9

-0.1

108.2

1.5

110.3

2.4

101.7

-3.6

99.7

-5.7

Source: The Bank of Korea


65

ECONOMIC BULLETIN • Mar 2015

12. Employment Economically active persons (thousand)

Period

All industry

y-o-y change (%)

Employed persons (thousand) Manufacturing SOC & services

y-o-y change (%)

y-o-y change (%)

y-o-y change (%)

Unemployment rate (%)

2012

25,501

1.6

24,681

1.8

4,105

0.3

19,033

2.4

3.2

2013

25,873

1.5

25,066

1.6

4,184

1.9

19,347

1.6

3.1

2014

26,536

2.6

25,599

2.1

4,330

3.5

19,805

2.4

3.5

2012 1

24,585

2.0

23,732

2.3

4,034

-2.8

18,631

3.5

3.5

2

24,825

1.6

23,783

1.9

4,060

-2.1

18,599

3.2

4.2

3

25,210

1.2

24,265

1.8

4,018

-2.5

18,870

3.4

3.7

4

25,653

1.6

24,758

1.9

4,027

-2.0

19,103

3.1

3.5

5

25,939

1.8

25,133

1.9

4,071

-1.6

19,292

3.0

3.1

6

25,939

1.4

25,117

1.5

4,084

-1.2

19,248

2.3

3.2

7

25,901

1.7

25,106

1.9

4,114

0.8

19,265

2.2

3.1

8

25,623

1.4

24,859

1.5

4,111

2.0

19,040

1.6

3.0

9

25,755

2.7

25,003

2.8

4,153

3.5

19,125

2.8

2.9

10

25,787

1.5

25,069

1.6

4,188

3.6

19,128

1.4

2.8

11

25,652

1.3

24,941

1.4

4,218

4.0

19,088

0.9

2.8

12

25,139

1.0

24,402

1.1

4,183

2.8

19,010

0.9

2.9

2013 1

24,901

1.3

24,054

1.4

4,189

3.9

18,810

1.0

3.4

2

24,973

0.6

23,984

0.8

4,139

1.9

18,736

0.7

4.0

3

25,397

0.7

24,514

1.0

4,141

3.1

18,989

0.6

3.5

4

25,928

1.1

25,103

1.4

4,192

4.1

19,303

1.0

3.2

5

26,195

1.0

25,398

1.1

4,175

2.6

19,492

1.0

3.0

6

26,291

1.4

25,478

1.4

4,180

2.3

19,531

1.5

3.1

7

26,301

1.5

25,473

1.5

4,167

1.3

19,577

1.6

3.1

8

26,074

1.7

25,291

1.7

4,116

0.1

19,438

2.1

3.0

9

26,186

1.7

25,466

1.9

4,174

0.5

19,540

2.2

2.7

10

26,268

1.9

25,545

1.9

4,218

0.7

19,558

2.2

2.8

11

26,230

2.3

25,530

2.4

4,253

0.8

19,670

3.0

2.7

12

25,736

2.4

24,962

2.3

4,264

2.0

19,514

2.7

3.0

2014 1

25,650

3.0

24,759

2.9

4,280

2.2

19,376

3.0

3.5

2

25,997

4.1

24,819

3.5

4,274

3.3

19,407

3.6

4.5

3

26,187

3.1

25,163

2.6

4,284

3.5

19,538

2.9

3.9

4

26,714

3.0

25,684

2.3

4,288

2.3

19,819

2.7

3.9

5

26,762

2.2

25,811

1.6

4,324

3.6

19,815

1.7

3.6

6

26,825

2.0

25,875

1.6

4,345

3.9

19,841

1.6

3.5

7

26,891

2.2

25,979

2.0

4,358

4.6

20,003

2.2

3.4

8

26,775

2.7

25,885

2.3

4,335

5.3

19,940

2.6

3.3

9

26,766

2.2

25,917

1.8

4,347

4.1

19,949

2.1

3.2

10

26,809

2.1

25,951

1.6

4,361

3.4

19,973

2.1

3.2

11

26,786

2.1

25,968

1.7

4,355

2.4

20,098

2.2

3.1

12

26,270

2.1

25,384

1.7

4,406

3.3

19,896

2.0

3.4

2015 1

26,094

1.7

25,106

1.4

4,421

3.3

19,693

1.6

3.8

Source: Statistics Korea


66

Statistical Appendices

13. Financial indicators (period average)

Period

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

Treasury bonds (5 years)

Stock KOSPI(endperiod)

Call rate (1 day)

CDs (91 days)

2011 1 2 3 4 5 6 7 8 9 10 11 12

2.7 2.8 2.9 3.0 3.0 3.2 3.3 3.3 3.3 3.2 3.3 3.3

2.9 3.1 3.4 3.4 3.5 3.5 3.6 3.6 3.6 3.6 3.6 3.6

4.5 4.7 4.5 4.5 4.4 4.4 4.5 4.2 4.2 4.3 4.2 4.2

3.7 3.9 3.7 3.7 3.7 3.7 3.8 3.6 3.5 3.5 3.4 3.4

4.3 4.4 4.1 4.1 4.0 3.9 4.0 3.7 3.6 3.6 3.5 3.5

2,069.73 1,939.30 2,106.70 2,192.36 2,142.47 2,100.69 2,133.21 1,880.11 1,769.65 1,909.03 1,847.51 1,825.74

2012 1 2 3 4 5 6 7 8 9 10 11 12

3.3 3.3 3.3 3.3 3.3 3.3 3.1 3.0 3.0 2.8 2.8 2.8

3.6 3.5 3.5 3.5 3.5 3.5 3.3 3.2 3.1 2.9 2.9 2.9

4.2 4.3 4.4 4.3 4.0 3.9 3.6 3.4 3.3 3.3 3.3 3.3

3.4 3.4 3.6 3.5 3.4 3.3 3.0 2.8 2.8 2.8 2.8 2.9

3.5 3.6 3.7 3.6 3.5 3.4 3.1 2.9 2.9 2.9 2.9 3.0

1,955.79 2,030.25 2,014.04 1,981.99 1,843.47 1,854.01 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

2.0 2.0

2.1 2.1

2.4 2.3

2.0 2.0

2.2 2.1

1,949.26 1,985.80

Source: The Bank of Korea


67

ECONOMIC BULLETIN • Mar 2015

14. Monetary indicators (billion won)

Period

Reserve money y-o-y change (%)

2012

82,131.1

9.2

441,963.6

3.8

1,798,625.7

5.2

2,379,518.7

7.8

2013

91,379.4

11.3

484,062.9

9.5

1,885,781.3

4.8

2,543,299.4

6.9

2014

103,331.5

13.1

536,733.4

10.9

2,009,576.3

6.6

2,721,747.4

7.0

2012 1

81,635.4

11.0

439,352.9

2.3

1,757,058.7

4.8

2,292,213.5

6.5

2

81,655.3

8.3

437,193.9

1.1

1,762,988.4

5.3

2,302,065.8

7.2

3

79,068.0

8.3

440,075.4

2.1

1,773,172.9

5.7

2,341,626.9

8.8

4

80,641.8

10.2

437,445.3

2.8

1,777,114.7

5.5

2,349,723.2

8.6

5

80,547.7

9.1

438,795.3

3.5

1,784,220.5

5.5

2,357,701.0

8.4

6

81,804.0

9.5

441,611.0

4.7

1,796,981.5

5.9

2,377,071.3

8.5

7

81,555.7

10.1

441,760.6

5.4

1,807,289.2

6.0

2,393,737.7

8.4

8

82,369.1

8.9

439,573.2

4.0

1,817,134.9

5.7

2,405,239.9

7.8

9

82,958.7

6.4

440,034.3

3.5

1,819,290.1

5.2

2,415,263.5

7.6

10

85,078.6

10.6

444,477.8

5.5

1,822,420.9

4.6

2,424,000.4

7.1

11

82,956.5

8.3

445,463.9

5.3

1,830,280.3

4.4

2,440,062.8

7.1

12

85,302.7

9.6

457,778.9

5.8

1,835,556.7

4.5

2,455,962.9

7.3

2013 1

85,839.3

5.1

464,914.5

5.8

1,841,128.1

4.8

2,469,789.3

7.7

2

88,855.7

8.8

472,239.6

8.0

1,857,135.0

5.3

2,488,539.0

8.1

3

89,523.5

13.2

472,430.1

7.4

1,862,405.5

5.0

2,499,718.1

6.8

4

87,729.0

8.8

475,330.0

8.7

1,867,726.3

5.1

2,512,459.7

6.9

5

89,654.8

11.3

475,526.7

8.4

1,870,289.7

4.8

2,518,239.1

6.8

6

91,207.6

11.5

486,587.5

10.2

1,884,193.2

4.9

2,533,750.8

6.6

7

90,643.7

11.1

488,982.7

10.7

1,890,728.6

4.6

2,549,443.5

6.5

8

93,729.6

13.8

481,416.9

9.5

1,888,658.4

3.9

2,557,336.3

6.3

9

95,130.6

14.7

490,518.7

11.5

1,903,187.1

4.6

2,577,546.7

6.7

10

93,640.4

10.1

491,947.9

10.7

1,908,557.6

4.7

2,587,071.4

6.7

11

93,609.9

12.8

499,242.7

12.1

1,923,339.2

5.1

2,605,873.9

6.8

12

96,988.5

13.7

509,617.9

11.3

1,932,026.4

5.3

2,619,029.5

6.6

2014 1

98,541.6

14.8

515,742.5

10.9

1,937,045.6

5.2

2,635,100.1

6.7

2

100,547.9

13.2

518,475.5

9.8

1,954,340.7

5.2

2,647,674.0

6.4

3

100,624.0

12.4

520,299.0

10.1

1,964,954.0

5.5

2,659,370.7

6.4

4

98,898.5

12.7

518,809.3

9.1

1,970,361.6

5.5

2,669,341.4

6.2

5

101,791.4

13.5

523,069.9

10.0

1,982,390.9

6.0

2,684,643.9

6.6

6

101,412.3

11.2

532,041.2

9.3

1,999,376.3

6.1

2,703,088.1

6.7

7

101,164.2

11.6

534,028.8

9.2

2,013,935.1

6.5

2,725,737.6

6.9

8

107,682.4

14.9

538,640.3

11.9

2,031,777.2

7.6

2,743,972.5

7.3

9

105,354.1

10.7

548,550.8

11.8

2,037,600.8

7.1

2,759,390.8

7.1

10

107,117.5

14.4

551,416.0

12.1

2,051,149.8

7.5

2,776,971.6

7.3

11

106,667.9

13.9

562,006.2

12.6

2,083,253.5

8.3

2,817,698.0

8.1

12

110,175.6

13.6

577,721.1

13.4

2,088,729.8

8.1

2,837,910.9

8.2

2015 1

113,304.2

15.0

579,964.2

12.5

2,092,223.5

8.0

2,857,238.3

8.4

Source: The Bank of Korea

M1

M2

y-o-y change (%)

Lf

y-o-y change (%)

y-o-y change (%)


68

Statistical Appendices

15. Exchange rates (end-period)

100/ \

US $/ \

Period

Euro/ \

Won

y-o-y change (%)

Won

y-o-y change (%)

Won

y-o-y change (%)

2012

1,071.1

-7.1

1,247.5

-16.0

1,416.3

-5.2

2013

1,055.3

-1.5

1,004.7

-19.5

1,456.3

2.8

2014

1,099.2

4.2

920.1

-8.4

1,336.5

-8.2

2012 1

1,125.0

1.0

1,473.1

8.6

1,478.2

-2.4

2

1,126.5

-0.1

1,399.2

1.3

1,516.3

-2.1

3

1,137.8

2.8

1,380.7

3.7

1,513.4

-3.2

4

1,134.2

5.8

1,412.0

7.5

1,501.7

-5.6

5

1,177.8

9.0

1,489.1

11.5

1,456.6

-6.0

6

1,153.8

7.0

1,453.8

8.8

1,435.0

-8.0

7

1,136.2

7.9

1,453.6

7.4

1,393.1

-7.6

8

1,134.6

5.9

1,444.0

3.4

1,419.6

-8.3

9

1,118.6

-5.2

1,441.1

-6.2

1,444.3

-9.8

10

1,094.1

-0.9

1,374.5

-5.7

1,418.3

-9.2

11

1,084.7

-5.7

1,320.6

-10.5

1,407.3

-8.2

12

1,071.1

-7.1

1,247.5

-16.0

1,416.3

-5.2

2013 1

1,082.7

-3.8

1,188.5

-19.3

1,469.3

-0.6

2

1,085.4

-3.6

1,176.2

-15.9

1,425.8

-6.0

3

1,112.1

-2.3

1,180.1

-14.5

1,425.2

-5.8

4

1,108.1

-2.3

1,132.0

-19.8

1,451.3

-3.4

5

1,128.3

-4.2

1,116.6

-25.0

1,471.4

1.0

6

1,149.7

-0.4

1,167.2

-19.7

1,498.2

4.4

7

1,113.6

-2.0

1,135.4

-21.9

1,476.7

6.0

8

1,110.9

-2.1

1,129.2

-21.8

1,470.6

3.6

9

1,075.6

-3.8

1,098.7

-23.8

1,451.3

0.5

10

1,061.4

-3.0

1,077.5

-21.6

1,456.6

2.7

11

1,062.1

-2.1

1,038.2

-21.4

1,444.8

2.7

12

1,055.3

-1.5

1,004.7

-19.5

1,456.3

2.8

2014 1

1,079.2

-0.3

1,043.7

-12.2

1,473.6

0.3

2

1,067.7

-1.6

1,044.8

-11.2

1,463.6

2.7

3

1,068.8

-3.9

1,038.7

-12.0

1,469.4

3.1

4

1,031.7

-6.9

1,005.3

-11.2

1,425.0

-1.8

5

1,021.6

-9.5

1,004.2

-10.1

1,389.6

-5.6

6

1,014.4

-11.8

1,000.0

-14.3

1,384.2

-7.6

7

1,024.3

-8.0

995.7

-12.3

1,371.8

-7.1

8

1,013.6

-8.8

977.6

-13.4

1,336.2

-9.1

9

1,050.6

-2.3

960.2

-12.6

1,333.3

-8.1

10

1,054.0

-0.7

964.1

-10.5

1,328.8

-8.8

11

1,101.1

3.7

933.9

-10.0

1,372.2

-5.0

12

1,099.2

4.2

920.1

-8.4

1,336.5

-8.2

2015 1

1,090.8

1.1

921.3

-11.7

1,235.7

-16.1

2

1,099.2

3.0

920.7

-11.9

1,230.7

-15.9

Source: The Bank of Korea


Baekja The baekja is a white porcelain that gained popularity during the Joseon Dynasty. It is characterized by subtle hues and simple decorations, in contrast to the cheongja (blue porcelain), which has more intricate designs.

Useful websites Ministry of Strategy and Finance http://english.mosf.go.kr Ministry of Trade, Industry and Energy http://www.motie.go.kr/language/eng 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 The Bank of Korea http://www.bok.or.kr/eng Statistics Korea http://kostat.go.kr/portal/english


ISSN 2287-7266

ECONOMIC BULLETIN (Republic of Korea)

Republic of Korea

Vol.37 No.3 March 2015

conomic u l l e t i n

Vol.37 No.3 March 2015

The Green Book: Current Economic Trends Featured Issue Opening the Door to Latin America: Korea Hosts the 2015 IDB Annual Meeting in Busan

Policy Issue Follow-up Measures to Promote President Park’s Middle East Agenda

Economic News Briefing BOK Cuts Key Rate to 1.75% Government to Support Space Technology Startups Korea Initials FTA with China Korea, Turkey Sign FTA in Investment and Services

Statistical Appendices

ECONOMIC BULLETIN

(Republic of Korea)

For free subscriptions and enquiries, please contact: International Media Relations Division Ministry of Strategy and Finance Government Complex, 477 Galmae-ro

March 2015

Sejong, 339-012 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 15 Giljae-gil (Bangok-dong) Sejong, 339-007 Republic of Korea Fax. +82 44 550 4941 E-mail. jiyounlee@kdi.re.kr Website. http://eiec.kdi.re.kr

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