EconomicBulletin201902_english

Republic of Korea

Economic Bulletin February 2019 Vol.41 No.2

The Green Book: Current Economic Trends

Economic News Briefing Government Posts a 13.2 Trillion Won Surplus in 2018 Government Praises the Launch of 5G Mobile Service Korea Grows 2.7% in 2018

Statistical Appendices eb.kdi.re.kr ISSN 2287-7266

Guard post named ‘hanging around with flowers and willows’ This beautiful construction, named a little too much poetic for a guard post, is one of a number of guard posts located in Fortress Hawseong, which is in Suwon, a city near Seoul. Fortress Hawseong, built in 1796, has been praised for its beauty and advanced building techniques, and put on the UNESCO World Heritage List since 1997. Fortress Hawseong was planned and built by King Jeongjo of the Joseon Dynasty, who then wanted to build a new city in the area.

02

The Green Book: Current Economic Trends Overview

03

01. External economic situation

04

02. Private consumption

10

03. Facility investment

12

04. Construction investment

14

05. Exports and imports

16

06. Mining and manufacturing production

18

07. Service sector activity

20

08. Employment

22

09. Financial markets

26

9.1 Stock market

26

9.2 Exchange rate

26

9.3 Bond market

27

9.4 Money supply and money market

28

10. Balance of payments

29

11. Prices

31

11.1 Consumer prices

31

11.2 International oil and commodity prices

33

12. Real estate market

36

12.1 Housing market

36

12.2 Land market

38

13. Composite indices of business cycle indicators

42

02

Contents

40

Economic News Briefing Government posts a 13.2 trillion won surplus in 2018 Government praises the launch of 5G mobile service Korea grows 2.7% in 2018 (advance)

Editor-in-Chief Suh Joong-Hae (KDI) Yoon Tae-Sik (MOEF) Editorial Board Suk Ran (MOEF) Lee Jae-Yeal (KDI) Yu Seong-Im (KDI) Coordinators Kim Dae-Hyun (MOEF) Lee Hyun-Jin (KDI)

45 Statistical Appendices

Editors Shin Dong-Gyun (MOEF) Lee Ji-Youn (KDI)

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

Overview

Retail sales improved for the third consecutive month in December, however industrial production fell. Exports, investment and employment have been weak, and there are uncertainties over US-China trade relationship, Brexit negotiations and semiconductor markets.

The economy added 19,000 jobs year-on-year in January: Service jobs increased and manufacturing jobs continued to fall. The unemployment rate rose from 3.7 percent a year ago to 4.5 percent, unemployment among those aged 60 or older rising to 7.4 percent.

Consumer price inflation slowed to 0.8 percent in January, the lowest in 12 months (up 1.3% → up 0.8%, y-o-y) as oil product prices fell and fresh food prices became stable.

All industry production continued to fall in December (down 0.7% → down 0.6%, m-o-m) as manufacturing decreased (down 1.6% → down 1.4%, m-o-m).

Service output continued to decline (down 0.3% → down 0.3%, m-o-m) as information & communications services fell, as well as real estate & renting.

Financial & insurance services improved.

Retail sales continued to increase in December (up 0.5% → up 0.8%, m-o-m) as sales of durable, semi-durable and nondurable goods all increased.

Facility investment continued to fall in December (down 4.9% → down 0.4%, m-o-m) as machinery investment declined. Construction completed rose (down 1.2% → up 2.4%, m-o-m) as both building construction and civil engineering works improved.

In December, the cyclical indicator of the coincident composite index fell 0.2 points to 98.1, and the cyclical indicator of the leading composite index fell 0.2 points to 98.5.

Exports continued to fall in January (down 1.3 → down 5.8%, y-o-y), despite strong cars, steel and machinery, as smartphones, computers and semiconductors decreased.

In January KOSPI rose on expectations that the US and China would reach an agreement on trade issues. The dollar-won exchange rate fell as Fed slowed its rate hike, and government bond yields were mixed.

February 2019

03

The Green Book

Housing prices went down in January (down 0.01% → down 0.15%, m-o-m) as the prices fell in the Seoul metropolitan area, as well as outside the Seoul metropolitan area. Jeonse (lump-sum deposits with no monthly payments) prices continued to decline (down 0.19% → down 0.22%, m-o-m) nationwide.

Expansionary fiscal policies and strong consumption are positive aspects, but job markets have been weak, and there are external uncertainties, such as slowing global economies and volatility in global financial markets.

The government will strengthen its risk management and work to boost the economy by promoting industrial innovation and job creation. The government will fast implement the 2019 economic policies, drawn up to help achieve an inclusive and dynamic economy, and will work on measures to improve exports.

1. External economic situation Global economic growth is slowing down, and there are risks from trade conflicts, Brexit negotiations and a slowdown in the Chinese economy.

World GDP growth (%)

7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 -1.0 ‘01

‘02

‘03

‘04

‘05

‘06

‘07

‘08

‘09

‘10

‘11

‘12

‘13

‘14

‘15

‘16

‘17

‘18

Source: IMF

04

Economic Bulletin

US The US economy saw industrial production and consumption continue to rise in the fourth quarter, but growth slowed compared with the previous quarter.

Industrial production rose 0.4 percent month-on-month in December: Manufacturing (up 1.1%, m-o-m) and mining (up 1.5%, m-o-m) continued to improve, and public utilities (down 6.3%, m-o-m) fell. The ISM Manufacturing Index rose somewhat in January.

ISM Manufacturing Index (base=50)

60.8 (Aug 2018) → 59.5 (Sep) → 57.5 (Oct) → 58.8 (Nov) → 54.3 (Dec) → 56.6 (Jan 2019)

US GDP growth and industrial production (%)

6

4

2

0

-2

-4

GDP (q-o-q, annualized rate) Industrial production (q-o-q)

-6 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

Sources: US Department of Commerce, Federal Reserve Board

Retail sales rose 0.2 percent month-on-month in November as automobile sales continued to improve (up 0.2%, m-o-m), as well as nonstore retailer sales (up 2.3%, m-o-m). Consumer confidence continued to fall in January.

Conference Board Consumer Confidence Index (1985=100)

135.3 (Sep 2018) → 137.9 (Oct) → 136.4 (Nov) → 126.6 (Dec) → 120.2 (Jan 2019)

Existing home sales fell 6.4 percent month-on-month in December to an annual rate of 4,990,000 homes (down 10.3%, y-o-y). New home sales rose 16.9 percent month-on-month in November to an annual rate of 660,000 units (down 7.7%, y-o-y).

Case-Shiller Home Price Index (y-o-y, %)

6.3 (Jun 2018) → 5.9 (Jul) → 5.6 (Aug) → 5.2 (Sep) → 5.0 (Oct) → 4.7 (Nov)

New home sales (m-o-m, %)

-6.3 (Jun 2018) → -1.0 (Jul) → -0.8 (Aug) → 2.0 (Sep) → -8.3 (Oct) → 16.9 (Nov)

February 2019

05

The Green Book

Nonfarm payrolls rose by 304,000 in January 2019, the employment rate being 60.7 percent. The unemployment rate rose somewhat to 4.0 percent.

Labor force participation rate (%)

62.7 (Aug 2018) → 62.7 (Sep) → 62.9 (Oct) → 62.9 (Nov) → 63.1 (Dec) → 63.2 (Jan 2019)

Nonfarm payroll increase (m-o-m, thousands)

282 (Aug 2018) → 108 (Sep) → 277 (Oct) → 196 (Nov) → 222 (Dec) → 304 (Jan 2019)

Unemployment rate (%)

3.8 (Aug 2018) → 3.7 (Sep) → 3.8 (Oct) → 3.7 (Nov) → 3.9 (Dec) → 4.0 (Jan 2019)

(Percentage change from previous period)

2016

2017

Annual Annual Q3

Real GDP

2018

2019 Q4 Nov Dec Jan

Q4 Annual Q1

Q2

Q3

1.6

2.2

2.8

2.3

-

2.2

4.2

3.5

-

-

-

-

- Personal consumption expenditures 2.7

2.5

2.2

3.9

-

0.5

3.8

4.0

-

-

-

-

- Nonresidential fixed investment

0.5

5.3

3.4

4.8

-

11.5

8.5

0.8

-

-

-

-

- Residential fixed investment

6.5

3.3

-0.5 11.1

-

-3.4 -1.6 -4.0

-

-

-

-

Industrial production

-1.9

1.6

-0.4

1.9

4.0

0.6

1.3

1.2

0.9

0.4

0.4

-

Retail sales

2.9

4.7

1.0

2.3

-

0.4

1.8

1.1

-

0.2

-

-

Existing home sales

4.1

1.7

-2.6

3.5 -3.5 -1.5 -1.7 -2.6 -1.8

2.1 -6.4

-

Unemployment rate2

4.9

4.4

4.3

4.1

3.9

4.1

3.9

3.8

3.8

3.7

3.9

4.0

Consumer prices (y-o-y)

1.3

2.1

2.0

2.1

2.4

2.3

2.6

2.6

2.2

2.2

1.9

-

1

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

US nonfarm payroll growth and unemployment rate (thousands)

(%)

12

600 400

10

200 8

0

6

-200 -400

4

-600

Unemployment rate (right) Unemployment rate (m-o-m, left)

2

-800

0

-1,000 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: US Department of Labor

06

Economic Bulletin

China China’s economy continued to slow down in the fourth quarter (up 6.4%, y-o-y), despite fixed asset investment improving slightly, as production, consumption and exports grew at a slower rate. The economy grew 6.6 percent for the 2018 full year.

(Percentage change from same period in previous year)

2016

2017

Annual Annual Q3

2018 Q4 Annual Q1

Q2

Q3

Q4

Nov Dec

Real GDP

6.7

6.8

6.7

6.7

6.6

6.8

6.7

6.5

6.4

-

-

Industrial production

6.0

6.6

6.3

6.2

6.2

6.1

6.6

6.0

5.7

5.4

5.7

Fixed asset investment (accumulated, nominal)

8.1

7.2

7.5

7.2

5.9

7.5

6.0

5.4

5.9

5.9

5.9

Retail sales (nominal)

10.4

10.2 10.3

9.9

9.0

9.7

9.0

9.0

8.3

8.1

8.2

Exports

-6.6

6.5

6.1

9.4

9.9 13.7 11.5 11.7

4.0

3.9 -4.4

Consumer prices1

2.0

1.6

1.6

1.8

2.1

2.2

1.8

2.3

2.2

2.2

1.9

Producer prices

-1.3

6.3

6.2

5.9

3.5

3.7

4.1

4.1

2.3

2.7

0.9

1

1. Quarterly data show an average of monthly data Source: China National Bureau of Statistics

China’s GDP growth and fixed asset investment

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

(%)

(%)

14

50

12

40

10

30

8

20

6

10

0

4 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

Source: China National Bureau of Statistics

February 2019

07

The Green Book

Japan Japan’s economy improved in the fourth quarter (down 0.7% → up 0.3%, q-o-q), the recovery being weak, though. The economy grew 0.7 percent for the 2018 full year.

Unemployment rate (%)

2.5 (Jul 2018) → 2.4 (Aug) → 2.3 (Sep) → 2.4 (Oct) → 2.5 (Nov) → 2.4 (Dec)

(Percentage change from previous period)

2016

2017

Annual Annual

2018

Q3

Q4

Annual

Q1

Q2

Q3

Q4

Nov

Dec

Real GDP

0.6

1.9

0.6

0.5

0.7

-0.2

0.6

-0.7

0.3

-

-

Industrial production

-0.2

4.5

0.4

1.6

0.9

-1.1

1.2

-1.4

2.0

-1.1

-0.1

Retail sales (nominal)

-0.6

1.9

0.1

1.3

1.7

-0.6

0.4

1.1

1.1

-1.1

0.9

Exports (y-o-y)

-7.4

11.8 15.1 13.0

4.1

4.9

7.5

2.9

1.3

0.1

-3.9

Consumer prices (y-o-y)

-0.1

1.0

1.3

0.7

1.1

0.8

0.8

0.3

0.5

0.6

0.6

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 (%)

GDP (q-o-q, left) Industrial production (q-o-q, right)

(%)

3

15

2

10

1

5

0

0

-1

-5

-2

-10

-3

-15

-4

-20

-5

-25 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

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

08

Economic Bulletin

Eurozone Eurozone’s economy grew mere 0.2 percent in the fourth quarter due to struggling car industries and demonstrations. The economy grew 1.8 percent for the 2018 full year.

Unemployment rate (%)

8.2 (Jul 2018) → 8.1 (Aug) → 8.1 (Sep) → 8.1 (Oct) → 7.9 (Nov) → 7.9* (Dec) * Lowest since Oct 2018

Manufacturing PMI

54.6 (Aug 2018) → 53.2 (Sep) → 52.0 (Oct) → 51.8 (Nov) → 51.4 (Dec) → 50.5 (Jan 2019)

Eurozone Economic Sentiment Indicator (base 2010=100)

110.4 (Sep 2018) → 109.7 (Oct) → 109.5 (Nov) → 107.4 (Dec) → 106.2 (Jan 2019)

(Percentage change from previous period)

2016

2017

Annual Annual

2018

Q3

Q4

Annual

Q1

Q2

Q3

Q4

0.4

0.4

0.2

0.2

Nov Dec

Real GDP

1.9

2.4

0.7

0.7

1.8

Industrial production

1.6

2.9

1.6

1.3

1.0 -0.6

0.0 -0.1 -1.4 -1.7 -0.9

Retail sales

1.6

2.3

0.4

0.4

1.5

0.1

0.8

0.0

0.6

Exports (y-o-y)

0.3

7.1

6.0

6.2

-

2.1

4.3

4.6

-

1.9

-

Consumer prices (y-o-y)

0.2

1.5

1.4

1.4

1.7

1.3

1.7

2.1

1.9

1.6

1.4

-

-

0.8 -1.6

Sources: Eurostat, Bloomberg

Eurozone’s GDP growth and industrial production (%)

(%)

2

6 4

1 2 0

0 -2

-1 -4 -2

-6 -8

GDP (q-o-q, left) Industrial production (q-o-q, right)

-3 -10 -4

-12 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

Source: Eurostat

February 2019

09

The Green Book

2. Private consumption Private consumption (advance estimate of GDP) in the fourth quarter of 2018 rose 1.0 percent from the previous quarter and 2.5 percent compared with a year ago.

(Percentage change from previous period)

2016 Annual Q3

Private consumption2

2017 1

1

1

Q4 Annual Q1

Q2

2018 1

Q3

1

1

1

Q4 Annual Q1

Q21 Q31 Q41

2.5

0.5 0.3

2.6

0.5 1.0 0.8 1.0

2.8

0.7 0.3 0.5 1.0

-

2.8 1.4

-

2.1 2.4 2.6 3.4

-

3.5 2.8 2.5 2.5

(y-o-y)

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

Private consumption (%)

8 6 4 2 0 -2

Private consumption (y-o-y) Private consumption (q-o-q)

-4 -6 2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

2016.Q1

2017.Q1

2018.Q1

Source: Bank of Korea (national accounts)

Retail sales in December rose 0.8 percent from the previous month: Sales of durable goods (up 1.3%), semi-durable goods (up 1.6%) and nondurable goods (up 0.2%) all improved. Year-on-year the index rose 3.0 percent.

(Percentage change from previous period)

2016

2017

Annual Annual

Retail sales

2018 Q1

Q2

Q3

Q41

Nov1

Dec1

4,2

3.0

0.7

-0.5

-0.5

0.5

0.8

Q3

Q4

Annual

0.2

0.9

1

3.9

1.9

-

-

3.2

2.1

-

5.0

4.7

3.9

2.9

1.0

3.0

- Durable goods

4.6

5.4

-3.0

1.4

5.3

5.4

2.2

-4.7

-0.2

3.2

1.3

¡ Automobiles

2.8

0.9

-6.9

1.4

7.9

11.0

3.8

-8.6

2.4

3.7

3.4

- Semi-durable goods3

2.3

-1.1

1.1

1.4

6.0

2.8

1.0

2.2

-0.4

-3.6

1.6

- Nondurable goods4

4.2

1.7

1.4

0.5

2.7

2.1

-0.3

0.5

-0.8

1.2

0.2

(y-o-y) 2

1. Preliminary 2. Durable goods: Automobiles, electronic appliances, furniture, telecommunications devices and etc.

3. Semi-durable goods: Clothing, footwear and etc.

4. Nondurable goods: Food, medicine, cosmetics, fuel, tobacco and etc.

Source: Statistics Korea

10

Economic Bulletin

Retail sales (%)

15

10

5

0

-5

Retail sales (y-o-y) Retail sales (m-o-m)

-10 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Statistics Korea (industrial activity trends)

Retail sales by type (%)

30 25 20 15 10 5 0

Durable goods Semi-durable goods

-5 -10 -15

Nondurable goods

2009.1

2010.1

2011.1

2012.1

2013.1

Source: Statistics Korea (industrial activity trends)

In January sales improved at department stores and large discount stores, as well as consumer confidence. Credit card use at home and car sales at home grew at a slower rate.

2018 Jun

Jul

Aug

Sep

2019 Oct

Nov

Dec

Jan1

Credit card use at home (y-o-y, %)

7.7

9.7

8.8

1.9

13.2

6.7

7.1

6.6

Department store sales (y-o-y, %)

5.0

3.2

2.9

4.3

3.9

-3.4

0.5

6.4

Large discount store sales (y-o-y, %)

0.9

-2.5

2.0

7.5

-12.2

-1.7

-3.6

4.6

Car sales at home (y-o-y, %)

-5.9

3.3

6.8

-18.7

23.1

-0.4

3.3

2.1

105.4 100.8 Consumer sentiment index Number of Chinese tourists (y-o-y, %) 49.0 45.9

98.9

100.0

99.2

95.7

96.9

97.5

41.0

36.4

37.7

35.1

25.3

35.12

1. ‌ Preliminary 2. Advanced estimates based on all Chinese entries, which can be different from the statistic released by the Ministry of Culture, Sports and Tourism as it excludes diplomatic and military personnel Sources: Bank of Korea, Credit Finance Association of Korea, Korea National Oil Corporation, Korea Automobile Manufacturers Association, data provided by retail industries

February 2019

11

The Green Book

3. Facility investment Facility investment (advance estimate of GDP) in the fourth quarter of 2018 rose 3.8 percent quarter-on-quarter and fell 3.3 percent year-on-year.

(Percentage change from previous period)

2017 Annual1 Q11

Facility investment2

2018

Q21

Q31

Q41 Annual1 Q11

Q21

Q31

Q41

14.6

4.5

4.3

0.2

-0.7

-1.7

3.4

-5.7

-4.4

3.8

-

16.1

17.9

16.3

8.6

-

7.3

-3.0

-7.4

-3.3

- Machinery

23.0

7.1

3.9

2.4

-1.2

-

4.0

-4.5

-9.5

-

- Transportation equipment

-3.2

-1.7

5.3

-5.5

0.8

-

1.9

-9.3

10.6

-

(y-o-y)

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

Facility investment (%)

40 30 20 10 0 -10 -20

Facility investment (y-o-y) -30

Facility investment (q-o-q)

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

2016.Q1

2017.Q1

2018.Q1

Source: Bank of Korea (national accounts)

Facility investment by type (y-o-y, %)

40 30 20 10 0 -10 -20

Transportation equipment -30

Machinery

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

2016.Q1

2017.Q1

2018.Q1

Source: Bank of Korea (national accounts)

12

Economic Bulletin

The facility investment index in December fell 0.4 percent month-on-month as machinery investment decreased. The index fell 14.5 percent year-on-year.

(Percentage change from previous period)

2017 Facility investment index

2018 Q2

Q3

Q41

Nov1 Dec1

-4.2

8.4 -11.0

-6.2

0.8

-4.9

Annual

Q3

Q4

Annual

14.1

0.2

-1.7

(y-o-y)

-

1

Q1

-0.4

20.6

2.0

-

9.4

-5.9 -13.6

-5.9

-9.3 -14.5

- Machinery

22.4

-0.1

-2.0

-7.1

5.3

-9.5 -10.1

0.7

-5.7

-2.4

- Transportation equipment

-4.4

0.4

-0.8

3.7

0.6

-3.1

5.1

17.8 -15.5

4.8

1. Preliminary Source: Statistics Korea

Leading indicators are mixed: Domestic machinery orders received and facility investment pressure increased in December, but machinery imports and capacity utilization rates fell.

BSI in the manufacturing sector (base=100, Bank of Korea)

73 (Aug 2018) → 77 (Sep) → 78 (Oct) → 72 (Nov) → 71 (Dec) → 71 (Jan 2019) → 65 (Feb) (Percentage change from same period in previous year)

2017 Annual

2018

Q3

Q4

1

Annual

Q1

Q2

Q3

Q41

Nov1 Dec1

Domestic machinery orders received

19.2 31.3

4.2

0.9

4.4

-0.4

0.0

-0.3 -19.7 14.2

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

-

0.3

-

-8.9

7.2

1.8

-0.3 -12.9 25.3

1.4

-Public

-21.8

-Private

24.1 34.1 15.0

Machinery imports

18.8 22.7

Capacity utilization rate

72.6 73.0 71.8

Facility investment pressure2

-0.9 -54.0

0.5

3.9

9.1 -4.7

10.0 -12.7 18.9 0.2

6.1

-1.0 21.0

-1.7

8.2 31.2 -53.3 73.7 -0.6

-1.2 -13.1

-2.7 -18.1

8.0

-8.2 -12.5 -19.9

72.9 71.0 73.2 74.2 73.4 73.1 72.7 1.2

-2.5

1.5

-0.8

6.4

2.6

3.3

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

Leading indicators of facility investment (trillion won)

(y-o-y, %)

10

60

9 40

8 7

20

6 0

5 4

Machinery imports (right)

-20

3 -40

2

Machinery orders (left)

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

2016.Q1

2017.Q1

2018.Q1

Sources: Statistics Korea (machinery orders), Korea International Trade Association (machinery imports)

February 2019

13

The Green Book

4. Construction investment Construction investment (advance estimate of GDP) in the fourth quarter of 2018 rose 1.2 percent quarter-on-quarter. The index fell 6.0 percent year-on-year.

(Percentage change from previous period)

2017 Annual1

Construction investment2 (y-o-y)

7.6

2018

Q11

Q21

Q31

Q41

Annual1

Q11

Q21

Q31

Q41

4.2

0.9

1.1

-2.3

-4.0

1.8

-2.1

-6.7

1.2

-

11.3

8.5

8.0

3.8

-

1.8

-1.5

-8.9

-6.0

- Building construction

12.1

4.5

2.4

1.9

-1.6

-

0.7

-1.1

-6.7

-

- Civil engineering works

-3.5

3.5

-3.0

-1.2

-4.2

-

5.3

-4.7

-6.6

-

1. Preliminary

2. National accounts Source: Bank of Korea

Construction investment (%)

15

10

5

0

-5

Construction investment (y-o-y)

-10

Construction investment (q-o-q)

-15 2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

2016.Q1

2017.Q1

2018.Q1

Source: Bank of Korea (national accounts)

Construction investment by type (y-o-y, %)

40 30 20 10 0 -10

Building construction

-20

Residential buildings -30

Civil engineering works

2009.Q1

2010.Q1

2011.Q1

2012.Q1

2013.Q1

2014.Q1

2015.Q1

2016.Q1

2017.Q1

2018.Q1

Source: Bank of Korea (national accounts)

14

Economic Bulletin

Construction completed (constant) in December rose 2.4 percent month-onmonth as both building construction and civil engineering works increased.

The index fell 9.5 percent year-on-year.

(Percentage change from previous period)

2017

2018 1

Annual

Q3

Q4

10.1

-0.3

-0.1

Construction completed (constant) (y-o-y)

Annual

-5.1

Q1

Q2

Q3

Q41

2.5

-4.9

-4.4

-3.9

Nov1 Dec1 -1.2

2.4

-

12.7

-0.5

-

1.5

-3.4

-9.8

-7.8 -10.4

-9.5

- Building construction

18.2

1.8

-0.9

-4.1

0.8

-2.3

-5.1

-4.0

-3.6

2.1

- Civil engineering works

-8.4

-6.2

2.3

-7.9

7.4 -12.3

-2.3

-3.9

7.0

3.3

1. Preliminary

Source: Statistics Korea

Outlooks are mixed: Leading indicators, such as construction orders received and building permits, declined in December, but the government has raised its SOC budgets for 2019.

Government SOC budgets (trillion won) 19.0 (2018) → 19.8 (2019)

(Percentage change from same period in previous year)

2017 Annual

Construction orders received (current value)

Q3

2018 Annual1

Q4

-3.1 -10.2 -15.0

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

-

- Building construction

-6.5

3.6 -15.7

-5.7

8.0 -11.1

Q41

Nov1

Dec1

1.5

4.1

-7.0

20.1

11.6

6.7

-5.6

-0.5 -14.7 -23.6

-2.6

6.0 -17.6

- Civil engineering works

9.7 -17.3 -13.0

15.5

13.0 -19.1

16.2

-2.8

Building permits2

-4.0

-6.3

-2.4

-

Q3

-10.7

-0.3

-1.1

Q2

-8.3 -15.5

1. Preliminary

-10.6

-4.5

Q1

3.7

67.0

-7.2 -10.2 -10.4

27.6

-5.3 -14.5

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

Apartment presales (thousands, Real Estate 114)

89 (Q3 2017) → 100 (Q4) → 50 (Q1 2018) → 111 (Q2) → 66 (Q3) → 72 (Q4)

Leading indicators of construction investment (y-o-y, %)

200

150

100

50

0

-50

Construction orders -100

Building permit area

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Sources: Statistics Korea (construction orders), Ministry of Land, Infrastructure and Transport (building permit area)

February 2019

15

The Green Book

5. Exports and Imports Exports (preliminary) decreased 5.8 percent year-on-year to US $46.35 billion in January.

By item, automobiles, steel and machinery rose, while semiconductors, computers and wireless communications devices dropped. By region, shipments to the US, India and the EU increased, while exports to the Middle East, China and Latin America declined.

Export growth by item (y-o-y, %)

13.4 (automobiles), 3.3 (steel), 1.7 (machinery), -23.3 (semiconductors), -28.2 (computers), -29.9 (wireless communications devices)

Export growth by region (y-o-y, %)

20.4 (US), 17.1 (India), 11.9 (EU), 6.4 (ASEAN countries), -11.1 (Latin America), -19.1 (China), -26.3 (Middle East)

Average daily exports, an indicator calculated according to days worked, fell 5.8 percent year-on-year to US $1.93 billion.

Average daily export growth (y-o-y, %)

10.7 (Q1 2018) → 3.9 (Q2) → 7.0 (Q3) → 0.1 (Q4) → -5.8 (Jan 2019) (US $ billion)

2017 Exports

2018 Q1

Q2

Q3

2019

Annual

Annual

Q4

573.69

605.17 145.06 151.62 153.65 154.84

Dec

Jan

Jan1

48.38

49.22

46.35

(y-o-y, %)

15.8

5.5

9.8

3.1

1.7

7.9

-1.3

22.3

-5.8

Average daily exports

2.13

2.24

2.17

2.30

2.28

2.23

2.15

2.05

1.93

1. Preliminary Source: Korea Customs Service

Exports by item (y-o-y, %)

140 120 100 80 60 40 20

Export growth rate Automobiles Semiconductors

0 -20 -40 -60 -80

Steel

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

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

16

Economic Bulletin

Imports (preliminary) in January fell 1.7 percent year-on-year to US $45.02 billion.

Imports of consumer goods continued to grow, and commodities imports rose slightly. Capital goods imports fell at a faster rate.

Import growth by category (y-o-y, %, Dec 2018 → Jan 2019)

5.7 → 0.2 (commodities), -8.7 → -9.1 (capital goods), 7.6 → 8.6 (consumer goods)

(US $ billion)

2017

2018

Annual Annual

Imports

478.48

Q1

Q2

2019

Q3

Q4

535.17 132.39 133.14 130.32 139.32

Dec

Jan

Jan1

44.04

45.79

45.02

(y-o-y, %)

17.8

11.8

13.7

13.0

7.8

12.9

1.2

21.6

-1.7

Average daily imports

1.78

1.98

1.98

2.02

1.93

2.00

1.96

1.91

1.88

1. Preliminary Source: Korea Customs Service

Imports by category (y-o-y, %)

100 80 60 40 20 0 -20 -40

Import growth rate Commodities Capital goods

-80 -100 2009.1

2010.1

2011.1

2012.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

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

The trade balance (preliminary) posted a surplus of US $1.34 billion in January, staying in the black for the 84 th consecutive month. Surpluses decreased month-on-month.

(US $ billion)

2017 Annual

Trade balance

95.22

2018 Annual 70.00

2019

Q1

Q2

Q3

Q4

12.67

18.48

23.32

15.52

Dec 4.34

Jan 3.43

Jan1 1.34

1. Preliminary Source: Korea Customs Service

February 2019

17

The Green Book

6. ‌ Mining and manufacturing production Mining and manufacturing production fell 1.4 percent month-on-month in December as manufacturing declined, along with mining. Gas & electricity production improved. The index rose 1.6 percent year-on-year.

Compared to the previous month, production of electrical equipment (up 4.1%), electronic components (up 3.3%) and other transportation equipment (up 5.2%) rose, while automobiles (down 5.9%), semiconductors (down 4.5%) and processed metals (down 4.3%) fell.

Compared to a year ago, production of automobiles (up 18.9%), semiconductors (up 15.5%) and other transportation equipment (up 20.6%) rose, while broadcasting & communications equipment (down 40.3%), electronic components (down 8.7%) and mechanical equipment (down 1.7%) declined.

The manufacturing inventory-shipment ratio rose 4.3 percentage points month-on-month to 116.0 percent as inventories rose 2.2 percent and shipments fell 1.6 percent.

Inventories of automobiles (up 6.5%), broadcasting & communications equipment (up 33.5%) and primary metals (up 3.2%) rose, while electronic components (down 7.3%), precision optics (down 10.5%) and computers (down 36.8%) declined.

Shipments of other transportation equipment (up 3.5%), electrical equipment (up 2.2%) and electronic components (up 1.8%) rose, while automobiles (down 7.1%), semiconductors (down 5.1%) and broadcasting & communications equipment (down 9.4%) fell.

The average operation ratio of the manufacturing sector fell 0.4 percentage points month-on-month to 72.7 percent.

(Percentage change from same period in previous year)

2017 Annual Q4

Q41

Nov1 Dec1

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

-

-1.0

-2.0

-

0.6

-0.8

-1.6

-1.4

(y-o-y)

1.9

-3.8

-4.8

0.3

-1.8

4.7

1.1

1.6

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

-

-1.1

-2.5

-

0.3

-0.8

-1.6

-1.8

(y-o-y)

1.6

-4.8

-6.2

0.1

-2.3

5.0

1.3

2.0

Inventory

8.8

2.9

1.2

7.3

-2.6

4.8

1.8

2.2

Shipments

0.7

0.4

-3.8

-1.1

0.9

-1.2

-2.6

-1.6

Mining and manufacturing2

Production 3

Manufacturing

2018 Dec Annual1 Q3

Capacity utilization rate Production capacity (y-o-y)

72.6 71.8 70.3 72.9 74.2 73.4 73.1 72.7 1.1

-0.1

-0.5

-1.1

-1.5

-1.4

-1.3

-1.3

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

18

Economic Bulletin

Increased government spending and strong consumption are expected to support mining and manufacturing, but there are concerns with regard to trade tensions between the US and China, Fed’s rate hikes and global financial market volatility.

Industrial production (%)

50 40 30 20 10 0 -10

Industrial production (y-o-y)

-20 -30

Industrial production (m-o-m)

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Statistics Korea (industrial activity trends)

Capacity utilization rate (%)

90

85

80

75

70

65

60 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Statistics Korea (industrial activity trends)

February 2019

19

The Green Book

7. ‌ Service sector activity Service output decreased 0.3 percent month-on-month in December. Financial & insurance services and business services rose, while information & communications services and transportation & storage services declined.

Compared to a year ago, service output rose 0.8 percent.

(Percentage change from previous period)

Weight

2017

2018 1

Annual Annual

Q1

Q2

Q3

Q41

Nov1 Dec1

Service activity index

100.0

1.9

2.0

1.0

0.2

0.1

0.5

-0.3

-0.3

- Wholesale & retail

21.1

0.7

1.5

1.0

-0.6

0.0

0.5

1.6

-0.4

- Transportation & storage services

9.0

1.6

2.0

-0.6

3.7

-1.1

-0.5

1.0

-2.3

- Hotels & restaurants

6.2 -1.9

-1.6

-2.0

1.6

0.3

-0.1

1.5

-0.5

- Information & communications services

8.0

1.5

0.4

1.5

-2.0

1.2

-4.0

-0.7

-4.6

14.1

5.1

5.7

1.4

1.0

-1.5

1.8

-3.5

2.4

- Real estate & renting

3.2

1.2

-0.1

5.1

-0.6

0.2

-2.0

-3.7

-1.3

- Professional, scientific & technical services

7.1 -1.6

1.6

3.2

0.0

-1.5

1.9

1.4

-0.5

- Business services

4.8

4.3

0.6

0.2

-1.9

-1.2

2.5

0.0

1.5

- Education services

10.6

0.0

-0.1

0.1

0.4

-0.7

0.6

-0.7

-0.6

- Healthcare & welfare services

9.4

7.0

5.3

1.5

-0.2

6.4

0.9

0.4

0.2

- Entertainment & leisure

2.2

0.2

-0.6

2.0

-1.7

-0.6

-0.1

2.0

1.8

- Membership organizations & personal services

3.2

0.0

0.5

1.4

0.1

-2.0

1.8

-2.1

1.2

- Sewerage & waste management

1.1 -2.3

4.1

2.3

1.0

-0.8

1.4

-4.4

-3.7

- Financial & insurance services

1. Preliminary Source: Statistics Korea

Service sector activity (%)

10 8 6 4 2 0 -2

Service sector activity (y-o-y) -4

Service sector activity (m-o-m)

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Statistics Korea (industrial activity trends)

20

Economic Bulletin

Wholesale & retail (%)

10 8 6 4 2 0 -2

Wholesale & retail (y-o-y)

-4 -6

Wholesale & retail (m-o-m)

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Statistics Korea (industrial activity trends)

December 2018 service output by business (y-o-y, %)

10 8 6 4 Wholesale & retail

2 0 -2

Total index

Hotels & restaurants

Professional, scientific & technical services Financial & insurance services Education services Business services

Transportation & storage services Real estate & renting

-4

Entertainment & leisure

Healthcare & social welfare services

Sewerage & waste management

Membership organizations & personal services

-6 -8 -10

communications services

Source: Statistics Korea (industrial activity trends)

In December department store sales, large discount store sales and stock transactions increased, while car sales at home grew slowly.

2019

2018 Jun

Jul

Aug

Sep

Oct

Nov

Dec1

Jan1

23.1

-0.4

3.3

2.1

Car sales at home (y-o-y, %)

-5.9

3.3

6.8 -18.7

Department store sales (y-o-y, %)

5.0

3.2

2.9

4.3

3.9

-3.4

0.5

6.4

Large discount store sales (y-o-y, %)

0.9

-2.5

2.0

7.5 -12.2

-1.7

-3.6

4.6

Average daily stock transactions (trillion won) 12.5

9.0

8.8

10.8

9.6

8.4

8.7

9.3

45.9

41.0

36.4

37.7

35.1

Number of Chinese tourists (y-o-y, %)

49.0

25.3 35.12

1. Preliminary 2. ‌ Advanced estimates based on all Chinese entries, which can be different from the statistic released by the Ministry of Culture, Sports and Tourism as it excludes diplomatic and military personnel Sources: Korea Automobile Manufacturers Association, Korea Exchange, data provided by retail industries

February 2019

21

The Green Book

8. ‌ Employment The number of workers on payroll in January increased by 19,000 from a year earlier to 26,232,000, and the employment rate (aged 15-64) fell 0.3 percentage points to 65.9 percent.

By industry, jobs in services and agriculture, forestry & fisheries rose, while manufacturing jobs declined at a faster rate.

By employment status, permanent workers led job growth, while temporary and self-employed workers continued to decrease.

Number of persons employed and employment growth (thousands)

Number of employed (seasonally adjusted, right) Employment growth (y-o-y, left)

(millions)

1,000

28

800

27

600

26

400

25

200

24

0

23

-200

22

-400

21 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Statistics Korea (employment trends)

Employment by industry (%)

100

80

60

Services

71.9 71.5 71.1 70.6 70.2 70.1 70.4 70.6 70.4 70.3 70.5 70.9 71.1 71.2 70.9 70.3 70.0 70.1 70.1 70.2 69.9 69.8 70.1 70.7 71.1

40

Construction Manufacturing Agriculture, forestry & fisheries

20

7.3

7.3 7.3 7.4

7.5

7.5 7.4 7.3

7.5

7.5 7.6 7.7

7.6

7.5 7.5

7.5

7.5

7.5 7.5

7.5

7.6 7.7 7.8

7.8

7.5

17.4 17.5 17.2 17.0 17.0 17.1 17.0 16.9 16.9 16.9 17.0 17.4 17.6 17.5 17.1 16.6 16.7 16.5 16.6 16.5 16.7 16.7 16.5 16.9 16.9

0

3.4

3.7 4.4 5.0

2017.1 2

3

4

5.3 5.4 5.2 5.3

5.3

5

9

6

7

8

5.3 5.0 4.0

3.8

3.8 4.5

10 11 12 2018.1 2

3

5.2

5.5

5.5 5.4

5.5

4

5

6

8

7

5.5 5.5 5.3 4.4

9

4.2

10 11 12 2019.1

Source: Statistics Korea (employment trends)

22

Economic Bulletin

Employment by status of workers (%)

100

3.7 3.8 4.0

4.3 4.3 4.4

4.3 4.3 4.3 4.4 4.2

3.7 3.7

3.7

3.9 4.2 4.3 4.4

4.3 4.4 4.3

4.2 4.2

3.7 3.6

21.3 21.4 21.4 21.3 21.2 21.2 21.2 21.3 21.3 21.4 21.1 21.0 21.1 21.2 21.2 21.2 21.1 21.0 21.1 21.1 21.0 20.9 20.7 20.6 20.9

80 5.7 5.5 5.4

5.8 5.9 5.9

5.9 5.4 5.6 5.6 5.7

5.6 5.4 5.2

5.3 5.4 5.4 5.4

5.4 5.2 5.5

5.6 5.8

5.8 5.4

17 60 18.4 18.3 18.6 18.7 18.9 19.0 18.9 18.8 18.7 18.7 18.8 18.5 17.8 17.5 18.1 18.3 18.4 18.4 18.5 18.1 18.0 18.1 18.2 17.5

Unpaid family workers 40

Self-employed workers Daily workers

20

50.8 51.0 50.6 49.9 49.7 49.6 49.8 50.2 50.0 50.0 50.2 51.1 52.0 52.4 51.5 50.9 50.8 50.8 50.7 51.3 51.2 51.2 51.1 52.3 53.1

Temporary workers 0

Regular workers

2017.1 2

3

4

5

6

7

8

9

10 11

12 2018.1 2

3

4

5

6

7

8

9

10 11 12 2019.1

Source: Statistics Korea (employment trends)

2017 Annual

Number of employed (millions)

Q3

2018 Q4

Annual

26.73 27.00 26.88

Q1

Q2

2019 Q3

Q4

Jan

Jan

26.82 26.28 27.02 27.02 26.97 26.21 26.23

Employment rate (%)

60.8

61.4

61.0

60.7

59.6

61.2

61.1

60.9

59.5

59.2

(Seasonally adjusted)

60.8

60.8

60.9

60.7

60.9

60.7

60.5

60.7

61.1

60.7

- 15 to 64

66.6

67.0

66.9

66.6

66.0

66.9

66.7

66.8

66.2

65.9

Employment growth (y-o-y, thousands)

316

279

265

97

183

101

17

88

334

19

- Manufacturing

-18

30

41

-56

45

-91

-91

-88

106

-170

- Construction

119

84

92

47

69

16

45

56

99

-19

- Services

209

144

103

51

18

125

6

55

42

113

· Wholesale & retail

41

20

28

-72

-74

-50

-87

-77

-32

-67

· Hotels & restaurants

-3

-31

-40

-45

-24

-24

-69

-65

-31

-40

·H ‌ ealthcare & social welfare services

61

53

54

125

51

148

142

159

40

179

- Wage workers

265

291

265

150

228

113

65

192

322

92

· Permanent workers

366

417

382

345

409

335

293

342

485

279

· Temporary workers

-132

-145

-104

-141

-124

-109

-162

-170

-94

-212

31

19

-13

-54

-57

-113

-67

19

-69

25

51

-12

0

-52

-45

-13

-48

-104

12

-73

68

23

20

-44

-24

-3

-55

-93

10

-61

· Daily workers - Nonwage workers · Self-employed workers - Male

127

92

72

4

75

-14

-48

1

177

-79

- Female

189

187

193

94

109

115

65

87

158

98

- 15 to 29

-1

-7

-42

-3

26

-69

-27

58

31

4

- 30 to 39

-29

-18

-17

-61

-29

-33

-91

-92

-14

-126

- 40 to 49

-50

-55

-54

-117

-85

-101

-143

-139

-52

-166

- 50 to 59

152

139

134

44

67

62

26

21

147

44

- 60 and above

242

221

243

234

203

241

252

239

223

264

Source: Statistics Korea

February 2019

23

The Green Book

The number of unemployed persons in January moved up by 204,000 from a year earlier to 1,224,000, and the unemployment rate rose 0.8 percentage points to 4.5 percent.

The unemployment rate fell year-on-year among those in their 30s, and rose among those aged 40 and older.

2017 Annual

Q3

2018 Q4

Annual

Q1

Q2

2019 Q3

Q4

Jan

Jan

Number of unemployed (thousands)

1,023

963

892

Unemployment growth (y-o-y, thousands)

14

-20

14

50

19

31

102

50

12

204

- Male

12

-8

42

23

13

15

42

24

1

112

1

-12

-28

27

6

17

60

25

12

92

Unemployment rate (%)

3.7

3.4

3.2

3.8

4.3

3.9

3.8

3.4

3.7

4.5

(Seasonally adjusted)

3.7

3.7

3.7

3.8

3.7

3.8

4.0

3.8

3.6

4.4

- 15 to 29

9.8

9.3

9.0

9.5

10.0

10.1

9.4

8.3

8.7

8.9

- 30 to 39

3.3

3.0

3.0

3.4

3.3

3.6

3.6

3.0

3.1

3.0

- 40 to 49

2.1

2.0

1.8

2.5

2.5

2.5

2.6

2.3

2.2

2.6

- 50 to 59

2.2

2.3

1.8

2.5

2.5

2.6

2.6

2.3

2.2

2.9

- 60 and above

2.9

2.2

2.2

3.1

5.4

2.5

2.3

2.4

4.6

7.4

- Female

1,073 1,181 1,105 1,065

942 1,020 1,224

Source: Statistics Korea

Unemployment rate (%)

6

5

4

3

Seasonally adjusted rate Original data

2 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Statistics Korea (employment trends)

24

Economic Bulletin

The economically inactive population in January increased 23,000 from a year earlier to 16,864,000, and the labor force participation rate rose 0.1 percentage points to 61.9 percent.

The number of persons economically inactive due to rest (up 133,000) and old age (up 22,000) increased, and those due to education (down 158,000) and housework (down 65,000) decreased. Job seekers were up by 101,000.

2017 Annual

Economically inactive population (millions)

2018

Q3

Q4

16.18 16.01 16.26

Annual

Q1

Q2

2019 Q3

Q4

Jan

Jan

16.29 16.62 16.02 16.13 16.38 16.84 16.86

Labor force participation rate (%)

63.2

63.6

63.1

63.1

62.3

63.7

63.5

63.0

61.8

61.9

(Seasonally adjusted)

63.2

63.1

63.2

63.1

63.3

63.1

63.1

63.2

63.4

63.5

-5

56

30

104

68

110

126

112

-64

23

-96

-105

-107

-76

-80

-87

-86

-50

-102

-40

8

8

-33

76

52

85

94

75

-4

-65

- Education

-91

-88

-81

-106

-58

-62

-128

-176

-130

-158

- Old age

81

98

69

15

35

6

16

4

49

22

108

166

220

118

107

127

137

103

119

133

45

79

-10

24

15

17

2

64

-37

101

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

- Rest - Job seeking Source: Statistics Korea

Labor force participation rate (%)

65

64

63

62

61

60

Seasonally adjusted rate Original data

59 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Statistics Korea (employment trends)

February 2019

25

The Green Book

9. ‌ Financial markets 9.1 Stock market KOSPI moved up 8.0 percent in January backed by steady inflows of foreign capital amid growing expectations that the US and China might strike a trade deal and the Fed will slow down its rate hikes. KOSDAQ rose 6.1 percent.

(Closing rate)

KOSPI Dec 2018 Jan 2019

KOSDAQ 1

Change

Dec 2018 Jan 2019

Change1

Stock price index (points)

2,041.0

2,205.0

164 (8.0%)

675.7

717

41.3 (6.1%)

Market capitalization (trillion won)

1,344.0

1455.5

111.5 (8.3%)

228.2

242.2

14 (6.1%)

5.2

5.6

0.4 (7.7%)

3.2

3.7

0.5 (15.6%)

35.8

36.9

1.1 (3.1%)

11.1

10.9

-0.2 (-1.8%)

Daily trade (trillion won) Foreign stock ownership (%, %p)

1. Change from the end of the previous month as of end-January 2019 Source: Korea Exchange

Stock prices (monthly average, points)

2,700 2,400 2,100 1,800 1,500 1,200 900 600

KOSPI KOSDAQ

300 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Korea Exchange

9.2 Exchange rate The dollar-won exchange rate declined 0.3 percent in January to 1,112.7 won as the Fed had signaled fewer hikes and US-China trade tensions were likely to ease.

The 100 yen-won exchange rate rose 1.4 percent due to the stronger yen against the dollar.

26

Economic Bulletin

(Closing rate1)

2012

2013

2014

2015

2016

2017

2018

Dec

Dec

Dec

Dec

Dec

Dec

Dec

Jan

Change2

1,070.6

1,055.4

1,099.3

1,172.5

1,207.7

1,070.5

1,115.7

1112.7

-0.3

100 Yen-Won 1,238.3

1,002.3

913.0

974.1

1,035.4

949.3

1,008.9

1023.0

1.4

Dollar-Won

2019

1. The exchange rate is based on the closing price at 3:30 p.m., local time.

2. Appreciation from the end of the previous month as of end-January 2019 (%) Source: Bank of Korea

Foreign exchange rates (month-end, â‚Š)

1,600

1,400

1,200

1,000

Dollar-Won 100 Yen-Won

800 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Bank of Korea

9.3 Bond market Short-term Korea treasury yields declined as the Bank of Korea (Jan24) and the Fed (Jan 31) kept their interest rates unchanged. Long-term treasury yields rose as the US-China talks were expected to resolve the trade impasse and the US decided to temporarily halt the government shutdown.

Yield to maturity (m-o-m, basis points)

-0.8 (3 yrs), -0.1 (5 yrs), 5.3 (10 yrs), 9.6 (20 yrs), 12.1 (30 yrs) (Closing rate, %)

2012

2013

2014

2015

2016

2017

2018

2019

Dec

Dec

Dec

Dec

Dec

Dec

Nov

Dec

Jan

Call rate (1 day)

2.77

2.52

2.03

1.52

1.27

1.58

1.76

1.89

1.81

-8.0

CD (91 days)

2.89

2.66

2.13

1.67

1.52

1.66

1.90

1.93

1.86

-7.0

Treasury bonds (3 yrs)

2.82

2.86

2.10

1.66

1.64

2.14

1.90

1.82

1.81

-0.8

Corporate bonds (3 yrs)

3.29

3.29

2.43

2.11

2.13

2.68

2.37

2.29

2.26

-3.1

Treasury bonds (5 yrs)

2.97

3.23

2.28

1.81

1.80

2.34

1.97

1.88

1.88

-0.1

Change1

1. Basis points, change from the previous month as of end-January 2019 Source: Bank of Korea

February 2019

27

The Green Book

9.4 Money supply and money market M2 (monthly average) in November rose 6.8 percent from a year ago, continuing upward trends from September 2017.

(Percentage change from same period in previous year, average)

2011

2012

2013

2014

2015

2016

2017

Annual

Annual

Annual

Annual

Annual

Annual

Annual

Oct

2018 Nov

M12

6.6

3.8

9.5

10.9

18.6

15.4

9.2

1.7

2.7

840.7

M2

4.2

5.2

4.8

6.6

8.6

7.3

5.5

6.8

6.8

2,693.0

Lf 3

5.3

7.8

6.9

7.0

9.7

8.1

6.7

7.4

7.5

3,786.0

Nov1

1. Balance at end-November 2018, trillion won 2. M1 excludes corporate MMFs and individual MMFs, and includes CMAs 3. Liquidity aggregates of financial institutions (mostly identical with M3) Source: Bank of Korea

Bank deposits surged in December (up 0.2 trillion → up 14.7 trillion won) as instant access deposits jumped (up 30.8 trillion won). Time deposits declined (down 10.5 trillion won) as local governments withdrew funds for their yearend spending.

Asset management company (AMC) deposits continued to fall (down 1.2 trillion won → down 10.0 trillion won) as money market funds (MMFs) shrank (down 14.3 trillion won) due to both the corporate funds and government funds flowing out.

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

2011

2012

2013

2014

2015

2016

2017

Annual Annual Annual Annual Annual Annual Annual

2018 Oct

Nov

Dec

Dec1

Bank deposits

58.9

37.0

41.0 115.4 100.3

80.8

79.5

11.5

0.2

14.7 1643.0

AMC deposits

-16.6

18.8

17.7

47.6

27.9

20.6

-1.2

-10.0 551.0

42.4

44.4

1. Balance at end-December 2018 Source: Bank of Korea

Total money supply (y-o-y, monthly average balance, %)

35 30 25 20 15 10

Reserve money M1 Lf

5 0 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Bank of Korea

28

Economic Bulletin

10. Balance ‌ of payments Korea’s current account (preliminary) in November posted a surplus of US $5.06 billion, staying in the black for 81 consecutive months.

Goods account surpluses grew at a slower pace month-on-month from US $11.00 billion to US $7.97 billion.

Growth in goods exports (y-o-y, %) 22.6 (Oct 2018) → 4.1 (Nov)

Growth in goods imports (y-o-y, %) 28.1 (Oct 2018) → 11.5 (Nov)

Export growth by item in November (y-o-y, %, customs clearance basis)

158.6 (vessels), 16.9 (petroleum products), -10.8 (computers), 11.6 (semiconductors), -16.9 (home appliances)

Import growth by category in November (y-o-y, %, customs clearance basis) 25.2 (commodities), -3.8 (capital goods), 3.7 (consumer goods)

Services account deficits increased month-on-month from US $2.22 billion to US $2.29 billion.

Services balance (US $ billion, Oct → Nov)

-0.39 → -0.14 (transportation), 0.73 → 0.66 (construction), -0.27 → 0.08 (intellectual property rights), -0.67 → -0.67 (manufacturing), -0.95 → -1.27 (travel), -0.95 → -1.19 (others)

Surpluses in the primary income account decreased from US $0.96 billion to US $0.03 billion, and deficits in the secondary income account increased from US $0.54 billion to US $0.65 billion.

Capital & financial account balance (US $ billion)

15 12 9 6 3 0

Capital & financial account

-3

Portfolio investment

-6

Direct investment Financial derivatives

-9 -12 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Bank of Korea (balance of payments trends)

February 2019

29

The Green Book

(US $ billion)

2016

2017

Annual Annual

Current account

99.24

Q1

Q2

Q3

2018 Q4

Nov

Q1

1

Q21

Q31

Nov1

78.46 19.20 16.45 25.57 17.24 7.43 11.83 17.83 28.03 5.06

- Goods balance

118.90 119.89 27.31 29.56 34.75 28.27 11.46 23.91 31.78 35.91 7.97

- Services balance

-17.74 -34.47 -8.66 -6.75 -8.50 -10.56 -3.27 -9.41 -6.53 -7.75 -2.29

- Primary income balance

3.85

- Secondary income balance -5.77

0.12 1.37 -4.88 1.95

1.68 -0.07 0.39 -5.17 1.94 0.03

-7.08 -0.82 -1.48 -2.63 -2.15 -0.70 -3.06 -2.26 -2.07 -0.65

1. Preliminary Source: Bank of Korea

The capital and financial account (preliminary) in November posted an outflow of US $4.26 billion.

Capital & financial account balance* (US $ billion)

4.63 (Jun 2018) → 10.46 (Jul) → 7.28 (Aug) → 9.73 (Sep) → 10.59 (Oct) → 4.26 (Nov) * Positive figures represent net outflows, and negative figures represent net inflows.

Foreign direct investment (FDI) continued to post net outflows in November, but at a slower rate (US $3.36 billion in October → US $0.22 billion in November) as Korean FDI (US $4.32 billion outflows → US $2.01 billion outflows) went down and inbound FDI went up (US $0.96 billion inflows → US $1.79 billion inflows).

Net outflows declined in portfolio investment (US $6.75 billion in October → US $5.03 billion in November) as foreign investment in Korean shares declined slowly (US $4.08 billion outflows → US $0.19 billion outflows).

Korean investment in foreign shares continued to rise (US $2.67 billion outflows → US $4.84 billion outflows).

Financial derivatives investment continued to decline (US $0.77 billion outflows → US $0.34 billion outflows) and other investment rose at a slower rate (US $2.45 billion inflows → US $1.29 billion inflows).

Current account surpluses will shrink somewhat in December given a fall in trade surpluses (US $4.80 billion in November → US $4.30 billion in December).

30

Economic Bulletin

11. ‌ Prices 11.1 Consumer prices Consumer prices in January fell 0.1 percent from previous month and rose 0.8 percent from the same period of the previous year.

(Percentage change)

2018

2019

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Consumer price inflation (m-o-m) 0.2

0.0

-0.2

-0.2

0.9

0.8

-0.2

-0.7

-0.3

-0.1

(y-o-y)

1.5

1.5

1.1

1.4

2.1

2.0

2.0

1.3

0.8

1.5

Source: Statistics Korea

Consumer price inflation (%)

6 5 4 3 2 1 0

Consumer price inflation (y-o-y) Consumer price inflation (m-o-m)

-1 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Statistics Korea (consumer price trends)

Fresh food prices went up at a slower pace (up 5.2% → up 2.5%, y-o-y) as vegetable and meat prices declined.

Fresh food prices in January (m-o-m/y-o-y, %) 1.5/-2.0 (vegetables), -0.9/-1.5 (meat), -1.1/0.5 (fish)

Domestic oil prices declined at a faster pace compared to a year ago (down 2.8% → down 9.7%, y-o-y).

Public service prices fell (up 0.1% → down 0.3%, y-o-y) due to the expanded coverage of national health insurance and lowered costs of mobile communications.

Personal service prices continued to rise (up 2.5% → up 2.5%, y-o-y) due to the increased costs of auto insurance, despite free school lunch programs being expanded and physical checkup costs being partly covered by national health insurance.

February 2019

31

The Green Book

Consumer price inflation in major sectors Total

Agricultural, Manufactured Public Housing Public Personal Oil livestock & utilities rents services services fishery products products products

Dec 2018 (y-o-y, %)

1.3

5.2

0.1

-2.8

1.4

0.3

0.1

2.5

Jan 2019 (y-o-y, %)

0.8

2.5

-0.7

-9.7

1.4

0.2

-0.3

2.5

-

0.19

-0.22

-0.43

0.05

0.02

-0.04

0.79

- Contribution (%p) Source: Statistics Korea

Contribution to consumer price inflation (%p)

5

Personal services

3

Public services Housing rents 1

Public utilities Manufactured products Agricultural, livestock & fishery products

-1 2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

Source: Statistics Korea (consumer price trends)

Core inflation, which excludes oil and agricultural products, decelerated in January (up 1.3% → up 1.2%, y-o-y).

(Percentage change from same period in previous year)

2018

2019

Jun

Jul

Aug Sep

Oct

Nov Dec

Jan

Consumer prices excluding oil and agricultural products 1.2

0.8

0.9

1.3

1.2

1.4

1.3

1.2

Consumer prices excluding food and energy

1.0

1.0

1.1

1.0

1.2

1.1

1.0

1.3

Source: Statistics Korea

Both the basic necessities price index (up 0.4%, y-o-y) and the fresh food price index (up 1.2%, y-o-y) became stable in January.

(Percentage change from same period in previous year)

2018

2019

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Consumer prices for basic necessities

1.5

1.1

1.5

2.5

2.6

2.3

1.3

0.4

Fresh food prices

-0.2

-1.3

4.8

11.0

11.2

10.5

6.6

1.2

Source: Statistics Korea

32

Economic Bulletin

Prices (y-o-y , %)

9

6

3

0

Consumer price inflation Core inflation

-3

-6

Producer price inflation

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Sources: Statistics Korea (consumer price trends), Bank of Korea (producer prices)

11.2 International oil and commodity prices International oil prices rebounded in January as investor demand grew amid low prices, as well as due to OPEC’s output cuts and expectations that US-China trade tensions might be eased.

Dubai crude (US $/barrel)

53.55 (1st week Jan 2019) → 58.36 (2nd week) → 59.77 (3rd week) → 61.22 (4th week) → 60.68 (5th week)

International oil prices (US $/B)

140 120 100 80 60 40 20

WTI Dubai crude

0 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Korea National Oil Corporation

February 2019

33

The Green Book

(US $/barrel, period average)

2017

2019

2018

Annual

Q1

Q2

Q3

Q4

Nov

Dec

Jan

Dubai crude

53.2

64.0

72.1

74.2

68.3

65.6

57.3

59.1

WTI crude

50.9

62.9

67.9

69.4

59.3

56.7

49.0

51.6

Brent crude

54.7

67.2

75.0

75.8

68.6

65.9

57.7

60.2

Source: Korea National Oil Corporation

Domestic gasoline prices continued to fall in December due to retail competition.

Domestic gasoline prices (won/liter)

1,375.2 (1st week Jan 2019) → 1,355.0 (2nd week) → 1,348.0 (3rd week) → 1,345.5 (4th week) → 1,344.7 (5th week)

International gasoline prices (US $/barrel)

56.6 (3rd week Dec 2018) → 53.1 (4th week) → 55.5 (1st week Jan 2019) → 59.8 (2nd week) → 60.1 (3rd week)

Dollar-won exchange rate (won)

1,128 (3rd week Dec 2018) → 1,123 (4th week) → 1,204 (1st week Jan 2019) → 1,121 (2nd week) → 1,120 (3rd week) (Won/liter, period average)

2017

2019

2018

Annual

Q1

Q2

Q3

Q4

Nov

Dec

Jan

Gasoline prices

1,491

1,558

1,580

1,622

1,565

1,581

1,433

1,351

Diesel prices

1,283

1,353

1,380

1,423

1,411

1,425

1,324

1,249

Source: Korea National Oil Corporation

Dubai crude prices and import prices (thousand won/B)

Dubai crude (import prices, left) Dubai international prices (right)

(US $/B)

160

160

140

140

120

120

100

100

80

80

60

60

40

40

20

20 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Korea National Oil Corporation

34

Economic Bulletin

International corn and wheat prices declined in January as the production outlook was revised upward. Soybean prices increased amid concerns over supply disruption due to unfavorable weather conditions in Brazil.

International grain prices in January (monthly average prices, m-o-m, %) -0.6 (corn), -1.0 (wheat), 1.1 (soybeans)

Copper and aluminum prices fell as US lifted sanctions on Russian suppliers and concerns over China’s economic slowdown continued. Nickel prices went up on expectations that demand for electric vehicle batteries will increase.

Nonferrous metal prices in January (monthly average prices, m-o-m, %) -2.5 (copper), -4.3 (aluminum), 5.7 (nickel)

(Period average)

2017 Reuters Index1 (Sep 18, 1931=100)

2019

2018

Annual

Q1

Q2

Q3

Q4

Nov

Dec

Jan

2,472

2,342

2,317

2,309

2,382

2,378

2,373

2,386

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

International commodity prices (points)

(points)

4,000

500 450

3,000

400 350 300

2,000

250 200

1,000

150

CRB (left) Reuters index (right)

100

0 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Korea PDS *‌ 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

February 2019

35

The Green Book

12. Real ‌ estate market 12.1 Housing market Housing prices nationwide fell 0.15 percent month-on-month in January.

Housing prices declined 0.15 percent in the Seoul metropolitan area which includes Seoul (down 0.20%), Gyeonggi Province (down 0.13%) and Incheon (down 0.04%).

Housing prices went down 0.05 percent in the five metropolitan cities and declined 0.22 percent in the eight provinces.

Housing prices in five metropolitan cities (m-o-m, %)

Busan (-0.19), Daegu (0.15), Gwangju (0.18), Daejeon (0.25), Ulsan (-0.67)

Housing sales prices

(Percentage change from previous period)

2014

2015

2016

2017

2018

Annual Annual Annual Annual Annual

2019

Oct

Nov

Dec

Jan

Nationwide

1.7

3.5

0.7

1.5

1.1

0.19

0.13

-0.01

-0.15

Seoul metropolitan area

1.5

4.4

1.3

2.4

3.3

0.42

0.25

0.07

-0.15

- Seoul

1.1

4.6

2.1

3.6

6.2

0.51

0.20

0.04

-0.20

· Gangnam

1.2

5.2

2.5

4.4

6.5

0.45

0.08

-0.07

-0.31

· Gangbuk

1.1

3.9

1.8

2.9

5.9

0.57

0.34

0.16

-0.09

1.9

2.7

0.2

0.7

-0.9

-0.02

0.02

-0.08

-0.15

1

2

Areas excluding the Seoul metropolitan area

1. Southern Seoul 2. Northern Seoul Source: Korea Appraisal Board

Housing sales prices (m-o-m, %)

3

2

1

0

Nationwide

-1

Seoul metropolitan area Areas excluding Seoul metropolitan area

-2 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Korea Appraisal Board

36

Economic Bulletin

Housing rental prices nationwide declined 0.22 percent month-on-month in January.

Housing rental prices fell 0.28 percent in the Seoul metropolitan area and declined 0.16 percent in areas excluding the Seoul metropolitan area.

Housing rental prices in major districts in the Seoul metropolitan area (m-o-m, %) Gangnam (-0.82), Seocho (-0.93), Songpa (-0.69), Gangdong (-1.13), Hanam (-2.43)

Housing rental prices

(Percentage change from previous period)

2014

2015

2016

2017

2018

Annual Annual Annual Annual Annual

2019

Oct

Nov

Dec

Jan

Nationwide

3.4

4.8

1.3

0.6

-1.8 -0.05

-0.09

-0.19

-0.22

Seoul metropolitan area

4.7

7.1

2.0

1.4

-1.5

0.06

-0.06

-0.19

-0.28

- Seoul

3.6

7.2

2.0

2.0

0.3

0.17

0.00

-0.13

-0.32

¡ Gangnam

3.3

7.9

1.8

2.6

-0.3

0.18

-0.05

-0.19

-0.50

¡ Gangbuk

3.8

6.5

2.1

1.5

0.8

0.17

0.05

-0.06

-0.13

2.2

2.8

0.7

-0.1

-2.1 -0.15

-0.12

-0.18

-0.16

1

2

Areas excluding the Seoul metropolitan area

1. Southern Seoul 2. Northern Seoul Source: Korea Appraisal Board

Housing rental prices (m-o-m, %)

3

2

1

0

Nationwide

-1

Seoul metropolitan area Areas excluding Seoul metropolitan area

-2 2009.1

2010.1

2001.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2019.1

Source: Korea Appraisal Board

There were 55,681 housing transactions in December, down 14.1 percent from a month earlier (64,804) and down 22.3 percent from a year ago (71,646).

Housing transactions 2016

(Thousands)

2017

1

2018

1

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

Nationwide

88

79

72

70

70

93

72

68

65

64

66

76

93

65

56

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

February 2019

37

The Green Book

Housing transactions (thousands)

150

125

100

75

50

Nationwide Seoul metropolitan area Areas excluding Seoul metropolitan area

25

0 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Ministry of Land, Infrastructure and Transport

12.2 Land market Land prices nationwide rose 0.34 percent month-on-month in December.

Land prices rose 0.39 percent in the Seoul metropolitan area which includes Seoul (up 0.43%), Gyeonggi Province (up 0.36%) and Incheon (up 0.33%).

Land prices in Seoul metropolitan area (m-o-m, %)

0.46 (Jul) → 0.49 (Aug) → 0.52 (Sep) → 0.54 (Oct) → 0.50 (Nov) → 0.39 (Dec)

Land price growth has been decelerating in areas excluding the Seoul metropolitan area.

Land prices in areas excluding Seoul metropolitan area (m-o-m, %)

0.31 (Jul) → 0.30 (Aug) → 0.28 (Sep) → 0.31 (Oct) → 0.27 (Nov) → 0.25 (Dec)

Land prices

(Percentage change from previous period)

2014

2015

2016

2017

2018

Annual Annual Annual Annual Annual

Q2

Q3

Q4

Oct

Nov

Dec

Nationwide

1.96

2.40

2.70

3.88

4.58

1.05

1.25

1.22

0.45

0.42

0.34

Seoul

2.66

2.69

2.97

4.32

6.11

1.09

1.87

1.74

0.69

0.61

0.43

Gyeonggi

1.24

1.73

2.23

3.45

4.42

1.17

1.16

1.19

0.41

0.41

0.36

Incheon

1.35

1.95

1.74

3.10

3.59

0.82

0.94

1.14

0.42

0.39

0.33

Source: Korea Appraisal Board

There were 243,000 land transactions in December, down 2.3 percent from previous month (249,000) and down 18.1 percent from a year ago (296,000).

Land transactions (m-o-m, %)

Seoul (-4.6), Gyeonggi (-13.4), Daejeon (-12.4)

38

Economic Bulletin

Vacant land transactions increased 7.6 percent from previous month (91,000 → 98,000) accounting for 40.3 percent of the total land transactions. The index fell 9.1 percent compared with a year ago (108,000).

Land transactions 2016

(Land lots, thousands)

2017

1

2018

1

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

Nationwide

250

276

296 298 252 320 265 271 255 272 248 232 282 249 243

Seoul

31

32

35

35

31

43

26

29

24

34

28

32

35

22

21

Gyeonggi

63

75

84

81

75

91

76

76

75

85

80

78

92

77

67

Incheon

13

16

16

16

15

15

16

18

15

12

12

12

15

14

15

1. Monthly average Source: Korea Land & Housing Corporation

Land and consumer prices (y-o-y, %)

60 50 40 30 20 10 0 -10

Land price inflation Consumer price inflation

-20 1977

1982

1987

1992

1997

2002

2007

2012

2017

Sources: Korea Appraisal Board (land prices), Statistics Korea (consumer prices)

Land transactions (thousand ㎥)

300,000

250,000

200,000

150,000

100,000

Areas excluding Seoul metropolitan area Seoul metropolitan area

50,000

0 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Korea Appraisal Board

February 2019

39

The Green Book

13. ‌ Composite indices of business cycle indicators Industrial output fell 0.6 percent month-on-month in December. Construction (up 2.4%) rose, while mining & manufacturing (down 1.4%), services (down 0.3%), and public administration (down 1.5%) declined. Compared to a year ago, industrial output rose 0.3 percent.

Index of all industry production (%)

15

10

5

0

-5

Industrial output (y-o-y) -10

Industrial output (m-o-m)

2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

Source: Statistics Korea (industrial activity trends)

The cyclical indicator of the coincident composite index declined 0.2 points month-on-month to 98.1. Two components of the index rose, while the other five either fell or remained unchanged.

Components of the coincident composite index in December (m-o-m, %)

retail sales (0.5), imports (0.8), mining & manufacturing production (-0.2), service output (-0.1), domestic shipments (-0.3), nonfarm payroll employment (0.0), value of construction completed (0.0)

The cyclical indicator of the leading composite index fell 0.2 points from previous month to 98.5. Three components of the leading composite index rose, while the other six either declined or remained unchanged.

Components of the leading composite index in December (m-o-m)

value of construction orders received (2.1%), ratio of export to import prices (0.6%), ratio of job openings to job seekers (0.7%p), consumer expectations index (-1.0p), domestic shipments of machinery (-0.3%), KOSPI (-3.6%), spreads between long & short term interest rates (-0.16%p), inventory circulation indicator (0.0%p)

40

Economic Bulletin

2018 May

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

Jun

Jul

Aug

Sep

Oct

Nov1

Dec1

0.3

-0.6

0.7

0.4

-1.4

1.2

-0.7

-0.6

1.7

0.2

1.4

1.6

-4.9

7.3

0.6

0.3

109.1 109.2 109.2 109.2 109.1 109.3 109.4 109.5

Coincident composite index (2015=100) (m-o-m, %) Cyclical indicator of coincident composite index (m-o-m, p)

0.2

0.1

0.0

0.0

-0.1

0.2

0.1

0.1

99.6

99.4

99.1

98.9

98.6

98.5

98.3

98.1

-0.1

-0.2

-0.3

-0.2

-0.3

-0.1

-0.2

-0.2

112.8 113.0 113.3 113.2 113.4 113.4 113.6 113.7

Leading composite index (2015=100) (m-o-m, %)

0.4

0.2

0.3

-0.1

0.2

0.0

0.2

0.1

Cyclical indicator of leading composite index 100.1 100.0 (m-o-m, p) 0.0 -0.1

99.8

99.4

99.2

98.9

98.7

98.5

-0.2

-0.4

-0.2

-0.3

-0.2

-0.2

1. Preliminary

Cyclical indicator of coincident composite index (points)

110

105

100

95

90 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

2016.1

2017.1

2018.1

2016.1

2017.1

2018.1

Source: Statistics Korea (industrial activity trends)

Cyclical indicator of leading composite index (points)

110

105

100

95

90 2009.1

2010.1

2011.1

2012.1

2013.1

2014.1

2015.1

Source: Statistics Korea (industrial activity trends)

February 2019

41

01 Government posts a 13.2 trillion won surplus in 2018 02 Government praises the launch of 5G mobile service 03 Korea grows 2.7% in 2018 (advance)

Economic News Briefing

Government posts a 13.2 trillion won surplus in 2018 The government ran a 13.2 trillion won surplus in 2018, following an 11.3 trillion won surplus in 2017 and an 8.0 trillion won surplus in 2016. The general and special accounts revenues amounted to 385.0 trillion won, while expenditures amounted to 364.5 trillion won. The surplus reflects 3.3 trillion won expenditures carried over to 2018.

2018 revenues and expenditures

(trillion won)

Revenue Revenues Revenue Spending Surplus Spending Balance Unused target (A) (B) surplus (B-A) (C) (B-C) transferred (D) (B-C-D) Total

371.3

385.0

13.7

364.5

16.51

3.3

13.2

8.6

1

-General account

304.0

316.2

12.3

299.9

12.3

1.6

10.7

4.3

-Special account

67.3

68.8

1.5

64.6

4.2

1.7

2.5

4.3

1. The figure reflects 4.0 trillion won worth of government bond redemption

Government praises the launch of 5G mobile service The Korean government praised the launch of 5G mobile service, scheduled in coming March, at the regular ministerial gathering to discuss the country’s economy, and said it will announce measures to promote 5G services in March, which will include convergence between 5G technologies and devices other than mobile phones, such as driverless vehicles, as well as manufacturing, such as smart factories.

The government has so far focused on building 5G service infrastructure, such as by promoting R&Ds and network construction. As a result, over 3 trillion won worth of corporate investment is expected to be made this year.

Korea grows 2.7% in 2018 (advance) Korea’s real gross domestic product (GDP) expanded 2.7 percent last year, according to the advance data released by the Bank of Korea (BOK) on January 22. In the fourth quarter of 2018, the Korean economy grew 1.0 percent quarter-on-quarter and 3.1 percent year-on-year.

February 2019

43

Economic News Briefing

On the production side, agriculture, forestry & fisheries rose 5.8 percent compared to the previous quarter in the fourth quarter of 2018. Electricity, gas & water supplies grew 4.0 percent. Manufacturing and construction rose 0.8 percent and 1.1 percent, respectively. Services were up 0.7 percent backed by strong wholesale & retail and healthcare & welfare services. Information & communications services declined.

On the expenditure side, private consumption rose 1.0 percent quarter-onquarter as expenditures in services, such as healthcare and entertainment, increased. Facility investment grew 3.8 percent, backed by strong transportation equipment, and construction investment rose 1.2 percent as both building construction and civil engineering works rose. Intellectual property investment rose 0.4 percent.

Exports were down 2.2 percent due to weak electric and electronic equipment.

Imports increased 0.6 percent as crude oil, coal and petroleum products rose.

GDP by production and expenditure*

(Percentage change from previous period)

2017

20181

1

Annual

Q1

Q2

Q3

Q4

Annual

Q1

Q2

Q3

Q4

Total

3.1

1.0 (2.9)2

0.6 (2.8)2

1.4 (3.8)2

-0.2 (2.8)2

2.7

1.0 (2.8)2

0.6 (2.8)2

0.6 (2.0)2

1.0 (3.1)2

Agriculture, forestry & fisheries

0.3

3.9

-0.3

-1.8

0.2

1.4

6.0

-2.8

-5.5

5.8

Manufacturing

4.4

1.7

0.1

2.7

-1.7

3.6

1.6

0.6

2.3

0.8

Electricity, gas & water supply

3.1

0.3

3.4

1.7

0.4

2.3

-7.0

9.4

-0.4

4.0

Construction

7.1

4.8

-1.6

1.0

-1.6

-4.2

2.1

-3.1

-5.7

1.1

Services

2.1

0.4

0.7

1.0

0.3

2.8

1.1

0.5

0.5

0.7

Private consumption

2.6

0.5

1.0

0.8

1.0

2.8

0.7

0.3

0.5

1.0

Government consumption

3.4

0.6

1.2

1.9

0.5

5.6

2.2

0.3

1.5

3.1

Facilities investment

14.6

4.5

4.3

0.2

-0.7

-1.7

3.4

-5.7

-4.4

3.8

Construction investment

7.6

4.2

0.9

1.1

-2.3

-4.0

1.8

-2.1

-6.7

1.2

Intellectual property investment

3.0

0.3

0.5

1.5

1.1

2.0

0.3

-0.7

0.9

0.4

Exports

1.9

2.1

-2.7

5.6

-5.3

4.0

4.4

0.4

3.9

-2.2

Imports

7.0

4.9

-1.0

3.2

-2.9

1.5

4.9

-3.0

-0.7

0.6

3

*At 2010 chained prices in seasonally adjusted terms 1. Preliminary 2. Percentage change from the same period of the previous year (original data) 3. Wholesale & retail, hotels & restaurants, transportation & storage, communications services, financial & insurance services, real estate & renting, business services, public administration, defense, education services, healthcare & social welfare services, entertainment, cultural & other services are included.

44

Economic Bulletin

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

Statistical Appendices

Statistical Appendices

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

Real GDP Period

Agri., fores. & fisheries

Final consumption Private Manufacturing expenditure consumption

Gross fixed capital formation Construction

Facilities

2011

3.7

-2.0

6.5

2.7

2.9

0.8

-3.4

4.7

2012

2.3

-0.9

2.4

2.2

1.9

-0.5

-3.9

0.1 -0.8

2013

2.9

3.1

3.6

2.2

1.9

3.3

5.5

2014

3.3

3.6

3.5

2.0

1.7

3.4

1.1

6.0

2015

2.8

-0.4

1.8

2.4

2.2

5.1

6.6

4.7

5.6

10.3

-1.0

2016

2.9

-2.8

2.4

3.0

2.5

p

3.1

0.3

4.4

2.8

2.6

8.6

7.6

14.6

2018p

2.7

1.4

3.6

3.5

2.8

-2.3

-4.0

-1.7

2011 Ⅰ

4.9

-9.3

11.4

3.3

3.7

-0.7

-8.2

8.3

Ⅱ

3.6

-2.5

6.5

3.3

3.7

2.5

-2.5

8.3

Ⅲ

3.3

-5.8

5.6

2.8

2.5

1.7

-2.2

3.4

Ⅳ

3.0

7.1

3.4

1.7

1.7

-0.3

-2.0

-0.9

2017

2012 Ⅰ

4.9

-9.3

11.4

3.3

3.7

-0.7

-8.2

8.3

Ⅱ

3.6

-2.5

6.5

3.3

3.7

2.5

-2.5

8.3

Ⅲ

3.3

-5.8

5.6

2.8

2.5

1.7

-2.2

3.4

Ⅳ

3.0

7.1

3.4

1.7

1.7

-0.3

-2.0

-0.9

2013 Ⅰ

2.1

-1.2

2.7

1.5

1.5

-3.2

1.2

-12.3

Ⅱ

2.7

0.1

3.6

2.2

1.9

4.2

8.9

-3.2

Ⅲ

3.2

4.3

3.8

2.4

1.9

4.9

7.5

2.3 11.7

Ⅳ

3.5

7.0

4.2

2.6

2.2

6.5

3.5

2014 Ⅰ

3.9

5.9

4.7

2.9

2.8

6.2

4.5

7.5

Ⅱ

3.5

4.5

4.7

1.8

1.7

3.7

0.3

8.1

Ⅲ

3.3

2.7

3.1

2.0

1.4

3.6

2.3

4.3

Ⅳ

2.7

2.4

1.8

1.6

1.1

0.7

-1.7

4.1

2015 Ⅰ

1.1

1.8

1.4

3.8

4.0

5.1

2.6

8.5

Ⅱ

2.4

-3.0

0.9

2.0

1.7

3.8

4.6

4.1

Ⅲ

3.0

0.3

2.2

2.3

2.2

6.0

7.6

6.1

Ⅳ

3.2

-4.0

2.7

3.5

3.5

6.5

9.6

3.5

2016 Ⅰ

3.0

-2.4

2.1

3.0

2.4

3.2

8.4

-3.6

Ⅱ

3.5

1.1

2.7

3.8

3.6

5.2

9.4

-1.6

Ⅲ

2.7

-4.5

1.7

3.3

2.8

5.8

11.0

-2.5

Ⅳ

2.9

1.9

1.4

7.8

11.9

3.3

2.6

-4.6

2017 Ⅰ

2.9

-1.9

4.8

2.2

2.1

11.0

11.3

16.1

Ⅱ

2.8

0.5

3.6

2.5

2.4

10.0

8.5

17.9

p

Ⅲ

3.8

0.4

6.4

3.0

2.6

9.2

8.0

16.3

Ⅳ

2.8

1.5

2.7

3.5

3.4

5.0

3.8

8.6

2018p Ⅰ

2.8

4.1

2.7

4.0

3.5

3.7

1.8

7.3

Ⅱ

2.8

1.2

3.2

3.3

2.8

-1.3

-1.5

-3.0

Ⅲ

2.0

-2.4

2.8

3.0

2.5

-6.6

-8.9

-7.4

Ⅳ

3.1

2.9

5.5

3.6

2.5

-3.9

-6.0

-3.3

p: Preliminary Source: Bank of Korea

46

Economic Bulletin

2 Production, shipment and inventory (constant prices, 2015=100)

Production index* Period 2016 2017 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳp 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11p 12p

Shipment index*

y-o-y change (%)

102.3 104.2 104.5 98.6 102.1 100.2 108.4 103.2 104.3 104.8 104.3 100.9 105.0 102.9 109.2 98.8 91.6 105.3 99.6 102.5 104.2 103.1 98.5 99.0 104.9 109.0 111.3 100.3 98.6 110.6 103.3 104.3 105.4 104.8 100.8 108.9 99.0 107.8 106.0 104.5 91.9 106.3 104.3 105.6 105.1 105.9 103.3 99.5 110.8 109.0 107.7

2.3 1.9 0.3 1.4 2.2 1.9 3.7 4.7 2.2 4.6 -3.8 -2.2 0.7 -1.8 4.7 -0.9 3.3 2.0 -1.7 5.5 3.0 2.8 4.0 -1.0 -0.7 6.2 5.6 1.5 7.6 5.0 3.7 1.8 1.2 1.6 2.3 10.0 -5.6 -1.1 -4.8 4.2 -6.8 -3.9 1.0 1.2 -0.3 1.0 2.5 -8.6 11.9 1.1 1.6

Inventory index*

y-o-y change (%)

101.2 102.1 101.3 98.4 101.6 98.0 106.7 101.1 102.7 102.6 102.2 97.9 102.1 99.6 105.7 97.2 91.2 106.8 100.0 101.7 103.1 100.3 96.2 97.6 102.5 106.7 110.8 97.2 97.0 109.2 101.8 101.9 104.3 101.6 98.6 107.5 96.3 106.9 103.3 100.5 89.2 103.9 100.5 103.3 102.4 101.1 99.7 98.1 107.8 105.3 103.9

1.2 0.9 -0.8 0.4 1.3 0.1 2.7 2.7 1.1 4.7 -4.2 -3.2 -0.6 -2.9 3.4 -2.7 1.6 2.4 -1.5 3.8 1.8 0.7 1.6 -1.7 -2.5 5.1 5.4 0.0 6.4 2.2 1.8 0.2 1.2 1.3 2.5 10.1 -6.0 0.2 -6.8 3.4 -8.0 -4.9 -1.3 1.4 -1.8 -0.5 1.1 -8.7 11.9 -1.5 0.6

Service production index

y-o-y change (%)

97.8 106.4 114.2 107.1 103.5 101.0 97.8 101.2 103.6 103.5 106.4 111.8 112.1 109.0 114.2 105.4 106.2 107.1 105.7 105.6 103.5 105.2 102.6 101.0 100.8 101.3 97.8 101.6 101.7 101.2 103.7 107.1 103.6 106.9 107.0 103.5 107.3 106.3 106.4 110.9 110.7 111.8 113.5 112.9 112.1 111.6 111.8 109.0 110.3 112.8 114.2

-1.6 8.8 7.3 10.5 3.4 -1.2 -1.6 -5.5 0.1 2.5 8.8 10.5 8.2 5.3 7.3 9.4 9.1 10.5 6.7 6.9 3.4 1.8 -1.0 -1.2 -0.9 -0.2 -1.6 -3.6 -4.2 -5.5 -1.9 1.4 0.1 1.6 4.3 2.5 6.4 4.9 8.8 9.2 8.8 10.5 9.5 5.4 8.2 4.4 4.5 5.3 2.8 6.1 7.3

y-o-y change (%)

102.6 104.5 106.6 98.7 102.8 102.4 106.6 100.9 104.5 105.0 107.6 103.5 106.9 105.8 110.2 97.4 95.3 103.4 101.4 102.7 104.4 102.1 102.4 102.6 103.5 103.3 112.9 99.6 97.5 105.6 103.1 104.5 106.0 103.5 103.9 107.5 102.1 106.5 114.1 103.0 99.3 108.1 105.9 106.9 107.8 105.8 105.6 105.9 107.9 107.7 115.0

2.6 1.9 2.0 2.4 3.3 3.0 1.8 2.2 1.7 2.5 0.9 2.6 2.3 0.8 2.4 2.3 2.4 2.5 2.1 3.3 4.5 2.8 3.9 2.3 1.5 2.3 1.7 2.3 2.3 2.1 1.7 1.8 1.5 1.4 1.5 4.8 -1.4 3.1 1.1 3.4 1.8 2.4 2.7 2.3 1.7 2.2 1.6 -1.5 5.7 1.1 0.8

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

February 2019

47

Statistical Appendices

3 Production capacity and operation ratio (constant prices, 2015=100)

Production capacity index* (2010=100) Period 2016 2017 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳp 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 P 12P

Operation ratio index* (2010=100)

y-o-y change (%)

102.8 103.9 102.8 101.2 102.0 103.4 104.4 103.4 103.7 104.1 104.3 103.1 102.7 102.5 102.8 101.0 101.0 101.7 101.7 101.9 102.3 103.0 103.3 103.9 104.3 104.4 104.6 103.4 103.2 103.5 103.6 103.8 103.7 103.9 104.0 104.5 104.5 104.4 104.1 103.2 103.3 102.9 102.6 102.8 102.7 102.7 102.4 102.3 102.8 103.0 102.7

2.8 1.1 -1.1 1.9 2.4 3.3 3.4 2.2 1.7 0.7 -0.1 -0.3 -1.0 -1.5 -1.4 1.9 1.7 2.2 2.2 2.3 2.5 3.0 3.3 3.6 3.6 3.3 3.5 2.4 2.2 1.8 1.9 1.9 1.4 0.9 0.7 0.6 0.2 0.0 -0.5 -0.2 0.1 -0.6 -1.0 -1.0 -1.0 -1.2 -1.5 -2.1 -1.6 -1.3 -1.3

y-o-y change (%)

98.2 97.1 97.6 95.8 100.3 95.5 101.4 95.9 98.3 98.1 96.0 92.7 99.2 96.3 102.2 95.8 88.9 102.6 97.7 101.1 102.0 99.6 93.2 93.6 99.0 103.0 102.3 92.7 91.7 103.3 97.0 98.4 99.6 98.3 94.1 101.9 92.0 100.2 95.8 95.0 84.1 98.9 97.9 100.2 99.4 98.8 96.6 93.6 104.6 102.3 99.6

-1.8 -1.1 0.5 -1.0 -1.0 -2.9 -2.0 0.1 -2.0 2.7 -5.3 -3.3 0.9 -1.8 6.5 -3.3 0.9 -0.5 -4.5 2.5 -0.9 -1.5 -1.2 -6.3 -6.2 1.2 -1.0 -3.2 3.1 0.7 -0.7 -2.7 -2.4 -1.3 1.0 8.9 -7.1 -2.7 -6.4 2.5 -8.3 -4.3 0.9 1.8 -0.2 0.5 2.7 -8.1 13.7 2.1 4.0

Capacity utilization rate* (%) 72.9 72.6 72.9 73.4 72.8 72.1 73.5 73.5 72.0 73.0 71.8 71.0 73.2 74.2 73.4 72.4 74.9 72.8 72.1 74.6 73.6 73.7 72.5 72.3 70.3 73.7 72.4 74.9 72.3 73.4 71.7 72.6 71.8 72.7 73.5 72.7 73.3 71.7 70.3 70.6 72.1 70.3 72.5 74.0 73.1 73.2 75.7 73.7 74.3 73.1 72.7

* Manufacturing industry p: Preliminary Source: Statistics Korea

48

Economic Bulletin

4 Consumer goods sales index (constant prices, 2015=100)

2016 2017 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳp 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11p 12p

Consumer goods sales index Durable goods Semi-durable goods

Total

Period

y-o-y change (%)

103.9 105.9 110.3 99.9 104.3 101.7 109.6 101.5 105.3 105.0 111.9 106.6 110.2 109.1 115.2 99.6 95.6 104.5 102.1 107.3 103.4 102.1 100.8 102.2 108.4 109.1 111.2 103.5 95.4 105.5 104.0 107.7 104.2 104.7 101.0 109.3 107.9 114.9 112.8 105.2 101.6 112.9 109.6 112.5 108.4 110.5 106.8 109.9 113.4 116.0 116.2

3.9 1.9 4.2 4.7 5.6 3.1 2.2 1.6 1.0 3.2 2.1 5.0 4.7 3.9 2.9 5.7 2.9 5.3 3.4 4.6 8.8 4.3 5.4 0.0 2.0 2.6 2.0 3.9 -0.2 1.0 1.9 0.4 0.8 2.5 0.2 6.9 -0.5 5.3 1.4 1.6 6.5 7.0 5.4 4.5 4.0 5.5 5.7 0.5 5.1 1.0 3.0

y-o-y change (%)

104.6 110.2 116.0 99.4 108.8 99.2 111.2 102.8 112.9 111.1 113.8 111.8 119.3 113.6 119.3 92.9 92.8 112.5 103.3 108.4 114.7 103.5 100.9 93.2 107.3 110.6 115.6 94.7 100.0 113.7 108.5 114.2 115.9 115.0 107.0 111.4 104.0 122.8 114.6 110.0 101.3 124.2 119.5 120.4 117.9 122.0 117.5 101.2 116.3 122.9 118.8

4.6 5.4 5.3 6.7 11.5 0.8 0.3 3.4 3.8 12.0 2.3 8.8 5.7 2.3 4.8 -1.4 7.7 13.3 8.2 12.3 13.9 0.2 5.5 -3.1 0.7 1.6 -1.3 1.9 7.8 1.1 5.0 5.4 1.0 11.1 6.0 19.5 -3.1 11.0 -0.9 16.2 1.3 9.2 10.1 5.4 1.7 6.1 9.8 -9.2 11.8 0.1 3.7

Nondurable goods

y-o-y change (%)

102.3 101.2 107.3 96.4 103.4 91.5 117.7 94.7 101.0 90.8 118.4 99.2 107.0 98.3 124.8 97.3 89.3 102.6 104.9 110.5 94.8 94.1 85.1 95.4 118.2 119.9 115.0 96.3 88.4 99.3 105.5 104.9 92.6 91.6 83.4 97.5 113.7 124.6 117.0 94.5 91.8 111.3 107.8 112.2 101.1 98.8 89.1 107.0 123.6 126.7 124.1

2.3 -1.1 6.0 2.0 4.2 3.3 0.1 -1.8 -2.3 -0.8 0.6 4.8 5.9 8.3 5.4 3.2 0.9 1.8 1.4 0.7 12.2 7.5 1.1 1.3 0.5 0.1 -0.3 -1.0 -1.0 -3.2 0.6 -5.1 -2.3 -2.7 -2.0 2.2 -3.8 3.9 1.7 -1.9 3.8 12.1 2.2 7.0 9.2 7.9 6.8 9.7 8.7 1.7 6.1

y-o-y change (%)

104.2 106.0 108.9 101.7 102.5 107.4 105.2 103.9 103.6 108.4 108.1 107.4 107.3 111.7 109.1 103.7 99.7 101.6 100.3 105.4 101.9 105.0 107.7 109.4 104.6 103.7 107.4 110.9 96.4 104.4 101.2 105.8 103.8 105.7 106.0 113.5 107.2 107.0 110.1 107.7 106.1 108.4 105.8 109.0 107.2 110.3 109.6 115.1 107.5 108.1 111.6

4.2 1.7 2.7 5.0 3.3 4.2 4.3 2.2 1.1 0.9 2.8 3.4 3.6 3.0 0.9 10.2 1.7 3.1 2.2 2.9 5.1 5.0 7.1 0.7 3.5 4.5 4.9 6.9 -3.3 2.8 0.9 0.4 1.9 0.7 -1.6 3.7 2.5 3.2 2.5 -2.9 10.1 3.8 4.5 3.0 3.3 4.4 3.4 1.4 0.3 1.0 1.4

p: Preliminary Source: Statistics Korea

February 2019

49

Statistical Appendices

5 Machinery orders received and facility investment index

Period

Domestic machinery orders received excluding ship (billion won, constant value) Total Public Private Facility investment index y-o-y y-o-y y-o-y y-o-y (2010=100) change (%)

2016 2017 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳp 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11p 12p

26,643 31,753 32,035 6,398 6,942 5,765 7,538 7,749 8,584 7,568 7,852 8,094 8,549 7,564 7,827 1,662 2,282 2,454 2,006 2,210 2,727 2,030 1,672 2,063 1,825 2,339 3,374 2,144 2,464 3,142 2,777 2,588 3,219 2,799 2,357 2,412 2,351 2,936 2,564 2,621 2,271 3,201 2,951 2,787 2,810 2,647 2,520 2,397 2,544 2,356 2,928

4.7 19.2 0.9 -0.9 -1.3 4.8 16.7 21.1 23.7 31.3 4.2 4.4 -0.4 0.0 -0.3 -28.8 22.9 8.2 -27.6 5.2 26.3 1.0 2.5 11.0 -8.7 18.8 35.4 29.0 8.0 28.0 38.5 17.1 18.1 37.9 41.0 16.9 28.9 25.5 -24.0 22.3 -7.8 1.9 6.3 7.7 -12.7 -5.4 6.9 -0.6 8.2 -19.7 14.2

change (%)

2,862 2,239 2,462 637 575 465 1,184 691 542 461 545 603 645 499 715 71 255 312 188 175 213 47 84 334 63 154 967 122 226 342 241 117 184 296 82 84 167 137 242 269 141 193 302 118 224 67 324 108 232 64 419

49.0 -21.8 10.0 57.4 16.8 16.6 89.9 8.4 -5.8 -0.9 -54.0 -12.7 18.9 8.2 31.2 -39.0 80.7 110.8 48.7 -11.3 25.6 -64.6 -47.3 214.8 -35.2 -32.6 224.7 72.5 -11.1 9.8 28.1 -33.1 -13.5 526.3 -3.2 -74.8 162.8 -11.0 -75.0 120.7 -37.9 -43.6 25.2 1.4 21.8 -77.4 297.8 28.4 38.9 -53.3 73.7

change (%)

23,781 29,514 29,572 5,761 6,367 5,300 6,353 7,058 8,042 7,107 7,307 7,491 7,904 7,065 7,112 1,591 2,027 2,142 1,817 2,035 2,514 1,983 1,588 1,729 1,761 2,186 2,406 2,021 2,237 2,800 2,536 2,471 3,035 2,504 2,276 2,327 2,185 2,799 2,323 2,352 2,131 3,008 2,650 2,669 2,586 2,581 2,196 2,289 2,312 2,292 2,508

1.1 24.1 0.2 -4.8 -2.6 3.9 8.8 22.5 26.3 34.1 15.0 6.1 -1.7 -0.6 -2.7 -28.3 18.1 1.0 -31.3 6.9 26.3 5.7 7.9 -1.4 -7.4 25.5 9.6 27.0 10.4 30.7 39.5 21.4 20.7 26.3 43.3 34.6 24.0 28.1 -3.5 16.3 -4.8 7.4 4.5 8.0 -14.8 3.1 -3.5 -1.6 5.8 -18.1 8.0

change (%)

110.7 126.3 121.0 100.1 114.2 106.3 122.0 118.3 134.5 128.2 124.4 129.4 126.6 110.8 117.1 97.0 90.7 112.7 111.0 110.6 121.1 105.0 109.8 104.0 109.3 118.8 138.0 107.0 108.5 139.3 127.0 132.8 143.7 131.1 123.5 130.0 105.0 126.8 141.4 130.0 118.8 139.4 129.0 128.2 122.6 117.8 109.5 105.0 115.5 115.0 120.9

-1.3 14.1 -4.2 -7.6 0.6 -4.7 5.9 18.2 17.8 20.6 2.0 9.4 -5.9 -13.6 -5.9 -6.6 -8.4 -7.7 -2.5 2.5 2.1 -12.6 3.3 -4.0 -3.3 10.2 10.5 10.3 19.6 23.4 14.4 20.1 18.7 24.9 12.5 25.0 -3.9 6.7 2.5 21.5 9.5 0.1 1.6 -3.5 -14.7 -10.1 -11.3 -19.2 10.0 -9.3 -14.5

p: Preliminary Source: Statistics Korea

50

Economic Bulletin

6 Value of construction completed and domestic construction orders received

Period 2016 2017 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳp 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11p 12p

Total

Value of construction Public

y-o-y change (%)

119,971 138,484 136,669 24,533 29,977 29,573 35,889 30,579 35,562 34,841 37,502 32,259 35,792 32,805 35,813 7,509 7,424 9,600 9,027 9,347 11,603 9,545 9,832 10,195 10,473 11,458 13,959 8,986 9,593 12,000 11,229 11,253 13,080 11,204 11,104 12,534 10,829 12,137 14,536 10,693 9,827 11,739 11,525 11,433 12,834 10,997 10,923 10,884 10,980 11,269 13,564

16.9 15.4 -1.3 11.9 16.5 16.3 21.5 24.6 18.6 17.8 4.5 5.5 0.6 -5.8 -4.5 6.4 8.1 20.0 14.0 16.9 18.1 17.8 21.0 10.9 20.2 28.9 17.0 19.7 29.2 25.0 24.4 20.4 12.7 17.4 12.9 22.9 3.4 5.9 4.1 19.0 2.4 -2.2 2.6 1.6 -1.9 -1.8 -1.6 -13.2 1.4 -7.1 -6.7

Private

y-o-y change (%)

30,916 30,143 28,205 6,710 8,099 7,061 9,046 6,937 8,075 6,880 8,250 6,491 7,628 6,333 7,753 2,045 1,976 2,689 2,317 2,326 3,456 2,256 2,344 2,460 2,348 2,779 3,920 1,970 2,129 2,838 2,302 2,429 3,344 2,233 2,075 2,572 2,175 2,456 3,619 1,929 1,910 2,652 2,260 2,348 3,019 2,131 1,951 2,251 2,044 2,239 3,470

-0.4 -2.5 -6.4 0.4 -2.3 -2.6 2.6 3.4 -0.3 -2.6 -8.8 -6.4 -5.5 -8.0 -6.0 -1.1 -6.8 7.8 -7.1 -1.4 0.6 -2.4 5.4 -9.2 2.4 12.7 -3.5 -3.6 7.7 5.5 -0.7 4.4 -3.2 -1.0 -11.5 4.6 -7.3 -11.6 -7.7 -2.1 -10.3 -6.6 -1.8 -3.3 -9.7 -4.6 -6.0 -12.5 -6.0 -8.8 -4.1

(current value, billion)

Total

y-o-y change (%)

83,680 104,666 105,115 16,512 20,494 21,226 25,778 22,598 26,575 27,103 28,390 24,945 27,404 25,578 27,188 5,144 5,086 6,282 6,299 6,611 7,585 6,914 7,109 7,203 7,692 8,224 9,532 6,682 7,186 8,730 8,639 8,542 9,394 8,709 8,780 9,614 8,409 9,393 10,587 8,517 7,715 8,713 9,029 8,845 9,529 8,509 8,677 8,393 8,631 8,761 9,796

24.2 25.1 0.4 14.0 24.6 23.7 32.2 36.9 29.7 27.7 11.6 10.4 3.1 -5.6 -4.2 7.9 12.3 21.1 23.2 24.3 26.0 25.2 27.0 19.2 27.3 36.5 32.7 29.9 41.3 39.0 37.2 29.2 23.9 26.0 23.5 33.5 9.3 14.2 11.1 27.5 7.4 -0.2 4.5 3.6 1.4 -2.3 -1.2 -12.7 2.6 -6.7 -7.5

Domestic construction orders Public Private

y-o-y change (%)

145,386 140,844 134,557 28,922 32,790 36,709 46,966 29,273 38,675 32,958 39,938 30,341 32,593 31,083 40,540 7,335 9,994 11,593 10,848 9,658 12,284 12,006 13,329 11,374 14,793 12,624 19,548 8,527 12,350 8,397 14,647 11,450 12,578 8,470 12,745 11,743 8,258 11,129 20,551 11,885 7,946 10,509 9,209 12,670 10,714 10,610 9,251 11,221 9,844 11,588 19,109

8.1 -3.1 -4.5 13.6 -7.3 0.6 26.4 1.2 17.9 -10.2 -15.0 3.6 -15.7 -5.7 1.5 -2.5 84.0 -7.4 19.2 -23.6 -9.9 38.3 52.0 -40.3 42.4 -4.7 44.6 16.3 23.6 -27.6 35.0 18.6 2.4 -29.4 -4.4 3.2 -44.2 -11.8 5.1 39.4 -35.7 25.2 -37.1 10.7 -14.8 25.3 -27.4 -4.4 19.2 4.1 -7.0

y-o-y change (%)

33,832 33,468 29,482 7,753 5,565 7,914 12,600 7,290 7,542 6,986 11,650 4,821 6,296 6,212 12,153 2,687 2,354 2,712 1,185 2,127 2,254 2,626 3,362 1,925 3,209 2,792 6,600 2,246 3,091 1,953 2,122 1,486 3,934 1,811 3,031 2,144 905 2,306 8,438 1,325 2,271 1,225 1,449 2,739 2,108 1,621 2,213 2,377 1,941 2,889 7,324

18.5 -1.1 -11.9 68.6 -37.9 61.5 24.9 -6.0 35.5 -11.7 -7.5 -33.9 -16.5 -11.1 4.3 102.9 106.4 27.1 -53.9 -10.2 -44.0 46.6 75.1 62.2 78.0 -14.5 31.5 -16.4 31.3 -28.0 79.1 -30.1 74.6 -31.0 -9.8 11.4 -71.8 -17.4 27.9 -41.0 -26.5 -37.3 -31.7 84.3 -46.4 -10.5 -27.0 10.9 114.4 25.2 -13.2

y-o-y change (%)

107,748 102,327 98,325 20,458 26,702 26,985 33,603 17,914 30,375 25,830 28,209 21,182 25,520 23,517 28,105 4,371 7,559 8,528 9,295 7,412 9,995 8,513 9,464 9,008 11,509 9,729 12,365 6,277 5,912 5,725 11,915 9,906 8,554 6,638 9,701 9,491 7,330 8,805 12,075 6,339 5,660 9,183 7,491 9,772 8,257 8,921 5,877 8,719 7,828 8,573 11,705

4.4 -5.0 -3.9 -0.6 3.1 -12.6 30.1 -12.4 13.8 -4.3 -16.1 18.2 -16.0 -9.0 -0.4 -28.1 79.5 -17.2 43.6 -27.1 8.0 25.0 44.7 -48.6 34.1 3.3 58.0 43.6 -21.8 -32.9 28.2 33.6 -14.4 -22.0 2.5 5.4 -36.3 -9.5 -2.4 1.0 -4.3 60.4 -37.1 -1.4 -3.5 34.4 -39.4 -8.1 6.8 -2.6 -3.1

p: Preliminary Source: Statistics Korea

February 2019

51

Statistical Appendices

7 Composite indexes of business cycle indicators, CSI and BSI Period 2015 1 2 3 4 5 6 7 8 9 10 11 12 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 p 11p 12p 2019 1 2

Leading index (2015=100)

Cyclical indicator of leading index (2015=100)

Coincident index (2015=100)

Cyclical indicator of coincident index (2015=100)

CSI1

97.8 98.2 98.6 99.0 99.6 99.9 100.2 100.5 101.0 101.5 101.8 101.9 102.0 102.0 102.2 102.6 103.0 103.3 103.7 104.3 104.9 105.4 105.7 106.3 106.8 107.3 107.7 108.2 108.8 109.5 110.0 110.4 110.5 110.8 111.1 111.4 112.0 112.2 112.3 112.3 112.8 113.0 113.3 113.2 113.4 113.4 113.6 113.7 -

100.6 100.6 100.7 100.7 100.9 100.8 100.7 100.6 100.8 100.8 100.7 100.5 100.1 99.7 99.6 99.6 99.6 99.5 99.6 99.8 100.0 100.1 100.1 100.2 100.3 100.4 100.4 100.6 100.8 101.0 101.2 101.1 100.9 100.8 100.7 100.7 100.8 100.6 100.4 100.1 100.1 100.0 99.8 99.4 99.2 98.9 98.7 98.5 -

98.4 99.0 99.1 99.4 99.2 99.3 99.6 100.1 100.9 101.6 101.6 101.9 101.8 101.9 102.0 102.3 102.7 103.2 103.7 104.0 104.0 104.1 104.5 105.0 105.6 105.8 106.3 106.6 106.9 107.0 107.2 107.4 107.7 107.7 108.0 107.9 108.2 108.5 108.8 108.9 109.1 109.2 109.2 109.2 109.1 109.3 109.4 109.5 -

99.9 100.2 100.1 100.1 99.7 99.5 99.5 99.8 100.3 100.7 100.5 100.4 100.1 99.9 99.8 99.7 99.9 100.1 100.3 100.3 100.1 99.9 100.0 100.2 100.5 100.5 100.7 100.7 100.7 100.6 100.5 100.4 100.4 100.2 100.2 99.8 99.8 99.8 99.8 99.7 99.6 99.4 99.1 98.9 98.6 98.5 98.3 98.1 -

101.9 102.6 100.8 103.5 104.8 97.7 99.7 101.0 102.2 104.6 105.3 102.0 99.4 97.2 99.4 101.0 98.6 98.1 100.4 101.3 101.2 101.5 95.0 93.2 92.4 93.6 96.0 100.6 107.6 110.8 110.9 109.6 107.3 108.8 112.0 110.6 109.9 108.1 108.0 107.0 107.9 105.4 100.8 98.9 100.0 99.2 95.7 96.9 97.5 -

BOK BSI2 Results

Prospects

75 75 75 76 69 66 71 71 69 72 69 68 66 64 66 66 69 71 72 73 71 72 71 73 77 78 78 80 80 78 79 80 82 82 82 81 78 78 73 75 75 79 75 74 73 72 72 73 68 -

78 76 78 77 77 73 68 73 72 70 72 71 70 69 64 68 69 71 72 74 75 75 74 73 74 77 79 80 81 81 81 81 81 82 86 84 83 81 79 75 78 77 81 76 76 78 74 73 72 67

1. Consumer sentiment index 2. Business survey index (manufacturing, seasonally adjusted) p: Preliminary Sources: Statistics Korea, Bank of Korea

52

Economic Bulletin

8 Prices Period 2015 2016 2017 2018 2015 1 2 3 4 5 6 7 8 9 10 11 12 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 12 2019 1

Consumer prices(2015=100) Commodity Services

All Items y-o-y change (%)

100.0 101.0 102.9 104.5 99.8 99.7 99.7 99.8 100.0 100.1 100.2 100.4 100.1 100.1 99.9 100.2 100.4 100.8 100.6 100.8 100.8 100.8 100.6 100.9 101.5 101.6 101.5 101.6 102.6 102.9 102.9 102.7 102.8 102.6 102.8 103.4 103.5 103.4 102.6 103.0 103.4 104.2 104.1 104.3 104.3 104.1 103.9 104.9 105.7 105.5 104.7 104.4 104.2

0.7 1.0 1.9 1.5 1.0 0.6 0.5 0.4 0.6 0.7 0.7 0.7 0.5 0.8 0.8 1.1 0.6 1.1 0.8 1.0 0.8 0.7 0.4 0.5 1.3 1.5 1.5 1.3 2.2 2.1 2.3 2.0 2.0 1.8 2.2 2.5 2.0 1.8 1.2 1.4 0.8 1.3 1.2 1.5 1.5 1.5 1.1 1.4 2.1 2.0 2.0 1.3 0.8

y-o-y change (%)

100.0 99.4 101.3 102.7 100.6 100.4 100.1 99.8 100.3 100.4 100.0 100.1 99.8 99.6 99.3 99.7 99.2 99.9 99.1 99.3 99.1 99.1 98.2 98.5 100.0 100.3 100.1 100.1 101.4 101.8 101.6 100.9 101.1 100.9 100.6 101.7 102.2 101.7 100.6 101.1 101.5 102.7 102.3 102.4 102.5 102.3 102.4 103.4 105.1 104.6 103.2 102.2 101.6

-0.7 -0.6 1.9 1.3 0.1 -0.6 -1.0 -1.1 -0.8 -0.4 -0.8 -0.9 -1.3 -0.7 -0.7 -0.2 -1.4 -0.5 -1.0 -0.5 -1.2 -1.3 -1.8 -1.6 0.3 0.8 0.8 0.4 2.2 2.0 2.5 1.6 2.1 1.8 2.5 3.2 2.2 1.4 0.5 1.0 0.5 1.1 0.9 1.6 1.4 1.3 1.6 1.3 2.6 2.8 2.6 1.1 0.1

y-o-y change (%)

100.0 102.3 104.3 105.9 99.1 99.2 99.4 99.7 99.8 99.8 100.4 100.6 100.4 100.6 100.5 100.7 101.3 101.6 101.8 101.9 102.2 102.2 102.6 102.8 102.6 102.7 102.6 102.8 103.6 103.8 103.9 104.2 104.2 104.0 104.6 104.7 104.5 104.7 104.3 104.6 105.0 105.5 105.6 105.8 106.0 105.8 106.0 106.2 106.0 106.1 106.0 106.1 106.4

1.8 2.3 2.0 1.6 1.7 1.7 1.7 1.6 1.6 1.6 2.0 2.0 1.9 2.1 2.0 2.2 2.3 2.5 2.4 2.3 2.4 2.4 2.1 2.2 2.2 2.1 2.1 2.0 2.3 2.1 2.1 2.2 2.0 1.8 2.0 1.9 1.8 2.0 1.7 1.7 1.4 1.7 1.7 1.6 1.7 1.6 1.4 1.4 1.4 1.3 1.5 1.5 1.4

Producer prices(2010=100) All Items Commodity

Core y-o-y change (%)

100.0 101.6 103.1 104.3 99.4 99.5 99.6 99.6 99.9 99.9 100.2 100.3 100.2 100.4 100.4 100.6 101.0 101.2 101.3 101.5 101.7 101.8 101.5 101.6 101.7 102.1 102.0 101.9 102.6 102.8 102.8 102.9 103.1 103.1 103.4 103.4 103.3 103.5 103.1 103.3 103.5 103.9 104.1 104.4 104.5 104.4 104.2 104.3 104.7 104.7 104.6 104.6 104.8

2.2 1.6 1.5 1.2 2.6 2.4 2.2 2.1 2.1 2.0 2.1 2.1 2.0 2.2 2.2 2.3 1.6 1.7 1.7 1.9 1.8 1.8 1.3 1.3 1.5 1.8 1.6 1.2 1.6 1.6 1.5 1.4 1.4 1.3 1.8 1.8 1.6 1.3 1.1 1.4 0.9 1.1 1.3 1.4 1.3 1.2 0.8 0.9 1.3 1.2 1.4 1.3 1.2

y-o-y change (%)

101.0 99.1 102.5 99.0 101.9 101.9 101.8 101.8 101.8 101.8 101.4 100.8 100.3 99.7 99.3 99.0 98.5 98.5 98.4 98.7 98.8 99.0 98.9 99.0 99.2 99.5 100.0 100.9 102.3 102.7 102.7 102.4 102.2 101.8 101.9 102.3 103.0 103.1 103.0 103.1 103.6 104.0 104.0 104.2 104.4 104.5 104.9 105.5 105.8 105.4 104.6 104.0 103.8

-4.0 -1.8 3.5 2.0 -3.6 -3.6 -3.7 -3.6 -3.5 -3.6 -4.0 -4.5 -4.6 -4.6 -4.7 -4.0 -3.3 -3.4 -3.3 -3.0 -3.0 -2.7 -2.5 -1.8 -1.1 -0.1 0.7 1.8 3.9 4.3 4.3 3.8 3.4 2.8 3.0 3.3 3.8 3.6 3.1 2.2 1.2 1.3 1.3 1.7 2.2 2.6 3.0 3.1 2.7 2.2 1.5 0.9 0.2

y-o-y change (%)

98.0 94.6 99.0 101.1 99.7 99.7 99.5 99.3 99.3 99.3 98.6 97.7 97.0 96.0 95.3 95.0 94.0 93.9 93.8 94.1 94.3 94.6 94.4 94.4 94.7 95.0 95.7 97.0 99.0 99.5 99.3 99.0 98.5 97.8 97.9 98.5 99.5 99.6 99.4 99.5 99.9 100.5 100.5 100.6 100.9 101.0 101.6 102.3 102.8 102.2 101.1 100.1 99.6

-6.4 -3.4 4.6 2.2 -5.8 -5.8 -5.9 -5.8 -5.7 -5.8 -6.4 -7.1 -7.3 -7.4 -7.6 -6.6 -5.7 -5.9 -5.7 -5.2 -5.1 -4.7 -4.3 -3.4 -2.4 -1.0 0.4 2.2 5.3 6.0 5.9 5.1 4.4 3.4 3.7 4.4 5.1 4.8 3.9 2.5 0.9 1.0 1.1 1.6 2.5 3.2 3.8 3.8 3.3 2.6 1.6 0.8 -0.4

Source: Bank of Korea

February 2019

53

Statistical Appendices

9 Employment (I) Period 2016 2017 2018 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳ 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 12 2019 1

Economically Economically active persons inactive persons y-o-y change (thousands) y-o-y change (thousands) 27,418 27,748 27,895 26,896 27,578 27,702 27,497 27,262 27,993 27,961 27,775 27,464 28,125 28,080 27,912 26,631 26,925 27,133 27,398 27,617 27,720 27,737 27,690 27,679 27,666 27,613 27,211 26,886 27,321 27,579 27,911 27,987 28,081 28,037 27,903 27,943 27,920 27,889 27,516 27,232 27,348 27,811 28,029 28,184 28,161 28,123 28,039 28,079 28,063 28,092 27,582 27,455

265 329 148 266 197 308 289 366 414 259 278 202 132 120 137 251 254 293 195 164 233 202 396 325 307 315 246 255 396 446 513 370 360 299 214 263 254 276 305 346 27 232 117 198 80 86 136 137 143 203 66 223

16,187 16,183 16,287 16,576 15,991 15,950 16,233 16,556 15,906 16,006 16,263 16,624 16,017 16,131 16,375 16,808 16,546 16,373 16,138 15,955 15,880 15,889 15,962 15,998 16,038 16,117 16,544 16,904 16,497 16,267 15,960 15,916 15,844 15,909 16,064 16,044 16,095 16,151 16,543 16,840 16,744 16,289 16,093 15,956 16,000 16,064 16,172 16,158 16,199 16,192 16,733 16,864

102 -5 104 127 178 48 53 -20 -85 56 30 68 110 126 112 148 136 96 186 213 136 159 -40 25 40 29 91 96 -49 -107 -179 -39 -36 20 102 45 57 34 -1 -64 247 22 134 41 156 155 108 114 105 41 190 23

Labor force partication rate (%) 62.9 63.2 63.1 61.9 63.3 63.5 62.9 62.2 63.8 63.6 63.1 62.3 63.7 63.5 63.0 61.3 61.9 62.4 62.9 63.4 63.6 63.6 63.4 63.4 63.3 63.1 62.2 61.4 62.4 62.9 63.6 63.7 63.9 63.8 63.5 63.5 63.4 63.3 62.5 61.8 62.0 63.1 63.5 63.9 63.8 63.6 63.4 63.5 63.4 63.4 62.2 61.9

Employment Unemployment rate (%) rate (%) 60.6 60.8 60.7 59.2 60.9 61.2 60.9 59.6 61.3 61.4 61.0 59.6 61.2 61.1 60.9 59.0 58.9 59.7 60.5 61.1 61.3 61.3 61.2 61.1 61.2 61.2 60.2 59.1 59.3 60.3 61.0 61.5 61.5 61.6 61.2 61.4 61.4 61.4 60.4 59.5 59.2 60.2 60.9 61.3 61.4 61.3 60.9 61.2 61.2 61.4 60.1 59.2

3.7 3.7 3.8 4.3 3.7 3.5 3.2 4.3 3.8 3.4 3.2 4.3 3.9 3.8 3.4 3.7 4.9 4.2 3.9 3.6 3.6 3.5 3.6 3.5 3.3 3.1 3.2 3.7 4.9 4.1 4.2 3.6 3.8 3.4 3.6 3.3 3.2 3.1 3.3 3.7 4.6 4.5 4.1 4.0 3.7 3.7 4.0 3.6 3.5 3.2 3.4 4.5

Source: Statistics Korea

54

Economic Bulletin

10 Employment (II) Period

Employed persons (thousands) Manufacturing

All industry y-o-y change

2016 2017 2018 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018 Ⅰ Ⅱ Ⅲ Ⅳ 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 12 2019 1

26,409 26,725 26,822 25,747 26,552 26,719 26,618 26,100 26,919 26,998 26,883 26,283 27,019 27,015 26,971 25,646 25,615 25,980 26,325 26,613 26,718 26,765 26,696 26,697 26,746 26,762 26,347 25,878 25,979 26,443 26,744 26,992 27,020 27,078 26,904 27,011 27,026 27,019 26,604 26,213 26,083 26,555 26,868 27,064 27,126 27,083 26,907 27,055 27,090 27,184 26,638 26,232

231 316 97 204 211 255 256 353 367 279 265 183 101 17 88 254 145 214 172 182 278 227 327 209 227 293 249 232 364 463 420 379 302 314 208 314 281 257 257 334 104 112 123 72 106 5 3 45 64 165 34 19

SOC & services

y-o-y change

4,584 4,566 4,510 4,650 4,599 4,540 4,545 4,530 4,579 4,570 4,586 4,575 4,487 4,479 4,499 4,673 4,648 4,630 4,601 4,608 4,588 4,564 4,519 4,538 4,547 4,549 4,541 4,503 4,549 4,539 4,542 4,586 4,608 4,611 4,544 4,555 4,560 4,581 4,618 4,609 4,562 4,554 4,473 4,507 4,482 4,484 4,439 4,513 4,515 4,490 4,491 4,439

-21 -18 -56 113 15 -92 -119 -120 -21 30 41 45 -91 -91 -88 127 99 111 23 28 -6 -85 -97 -94 -125 -112 -120 -170 -99 -91 -60 -22 20 47 25 17 14 32 77 106 14 15 -68 -79 -126 -127 -105 -42 -45 -91 -127 -170

y-o-y change

20,534 20,857 20,953 20,051 20,530 20,763 20,792 20,546 20,913 20,986 20,986 20,630 21,053 21,039 21,090 20,056 19,984 20,113 20,350 20,566 20,674 20,797 20,759 20,733 20,759 20,841 20,775 20,462 20,453 20,721 20,842 20,963 20,933 21,037 20,922 20,999 21,008 21,061 20,888 20,596 20,503 20,792 20,979 21,054 21,127 21,114 20,967 21,036 21,068 21,241 20,962 20,683

312 323 96 144 283 429 390 494 383 223 194 85 141 53 104 199 104 129 210 255 385 425 493 370 399 377 393 406 469 608 492 396 260 240 162 266 249 220 113 134 49 71 137 92 194 77 45 37 60 179 74 87

Source: Statistics Korea

February 2019

55

Statistical Appendices

11 Balance of payments (I) (US $ million)

Period 2016 2017 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018p Ⅰ Ⅱ Ⅲ Ⅳp 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018p 1 2 3 4 5 6 7 8 9 10 11 12

Current account

Goods

97,923.7 75,230.9 76,408.5 26,367.7 27,085.0 21,759.4 22,711.6 15,980.6 14,455.0 25,944.5 18,850.8 11,653.2 17,248.1 28,115.5 19,391.7 7,317.4 7,927.5 11,122.8 4,184.3 10,491.0 12,409.7 8,831.8 5,410.1 7,517.5 7,476.8 7,873.3 7,361.5 3,401.7 7,438.6 5,140.3 3,184.0 4,262.1 7,008.9 7,467.4 6,139.4 12,337.7 6,890.0 7,474.3 4,486.5 2,644.6 3,904.7 5,103.9 1,355.7 8,434.5 7,457.9 8,552.3 8,550.2 11,013.0 9,348.8 5,223.6 4,819.3

116,461.7 113,592.9 111,866.6 29,714.6 32,544.1 27,172.4 27,030.6 24,699.4 27,303.8 33,090.7 28,499.0 22,531.9 29,946.9 34,718.1 24,669.7 8,255.0 8,143.3 13,316.3 9,893.3 10,237.7 12,413.1 10,486.8 6,791.0 9,894.6 8,874.9 9,453.1 8,702.6 6,687.5 9,432.3 8,579.6 10,925.8 7,675.6 8,702.4 9,920.7 8,647.3 14,522.7 9,417.9 11,165.6 7,915.5 7,549.7 5,571.0 9,411.2 9,620.4 10,785.4 9,541.1 10,788.5 10,922.3 13,007.3 10,654.5 7,485.8 6,529.4

Services Exports

Imports

511,926.1 580,310.2 625,437.4 119,093.5 127,675.2 128,305.0 136,852.4 139,598.3 142,985.7 149,655.5 148,070.7 150,104.6 157,666.0 158,973.9 158,692.9 37,326.8 36,545.0 45,221.7 40,501.1 42,155.7 45,018.4 42,616.0 41,847.1 43,841.9 43,111.2 46,297.1 47,444.1 44,498.9 44,777.1 50,322.3 48,155.0 46,728.9 48,101.8 47,108.0 47,834.3 54,713.2 46,115.1 51,690.0 50,265.6 52,224.4 44,990.5 52,889.7 51,506.8 53,846.7 52,312.5 54,184.3 53,472.4 51,317.2 57,403.2 51,716.0 49,573.7

395,464.4 466,717.3 513,570.8 89,378.9 95,131.1 101,132.6 109,821.8 114,898.9 115,681.9 116,564.8 119,571.7 127,572.7 127,719.1 124,255.8 134,023.2 29,071.8 28,401.7 31,661.4 30,607.8 31,918.0 32,605.3 32,129.2 35,056.1 33,947.3 34,236.3 36,844.0 38,741.5 37,811.4 35,344.8 41,742.7 37,229.2 39,053.3 39,399.4 37,187.3 39,187.0 40,190.5 36,697.2 40,524.4 42,350.1 44,674.7 39,419.5 43,478.5 41,886.4 43,061.3 42,771.4 43,395.8 42,550.1 38,309.9 46,748.7 44,230.2 43,044.3

-17,338.4 -36,734.1 -29,737.1 -3,711.0 -4,080.2 -5,417.2 -4,130.0 -9,393.4 -8,111.1 -8,616.1 -10,613.5 -9,313.8 -6,485.9 -7,610.5 -6,326.9 -1,808.4 -1,053.1 -874.1 -1,670.3 -1,129.8 -1,280.1 -1,418.0 -1,453.4 -2,545.8 -1,771.7 -1,703.2 -655.1 -4,174.6 -2,198.4 -3,020.4 -2,494.3 -2,807.2 -2,809.6 -3,304.6 -2,309.0 -3,002.5 -3,602.5 -3,303.6 -3,707.4 -4,441.5 -2,612.6 -2,259.7 -1,977.6 -2,085.1 -2,423.2 -3,092.5 -2,043.8 -2,474.2 -2,180.2 -2,198.0 -1,948.7

Primary income 4,567.1 5,336.9 2,777.7 1,335.3 -166.3 2,399.6 998.5 1,559.5 -3,106.4 3,940.3 2,943.5 1,312.2 -4,221.2 2,825.3 2,861.4 1,328.6 816.7 -810.0 -3,515.9 1,530.0 1,819.6 388.6 1,023.3 987.7 764.8 338.0 -104.3 1,206.7 755.2 -402.4 -4,669.9 36.4 1,527.1 1,534.5 592.1 1,813.7 1,547.2 272.6 1,123.7 1,157.9 1,444.5 -1,290.2 -5,622.8 478.7 922.9 1,535.4 318.5 971.4 1,327.6 490.7 1,043.1

Secondary income -5,766.7 -6,964.8 -8,498.7 -971.2 -1,212.6 -2,395.4 -1,187.5 -884.9 -1,631.3 -2,470.4 -1,978.2 -2,877.1 -1,991.7 -1,817.4 -1,812.5 -457.8 20.6 -534.0 -522.8 -146.9 -542.9 -625.6 -950.8 -819.0 -391.2 -214.6 -581.7 -317.9 -550.5 -16.5 -577.6 -642.7 -411.0 -683.2 -791.0 -996.2 -472.6 -660.3 -845.3 -1,621.5 -498.2 -757.4 -664.3 -744.5 -582.9 -679.1 -646.8 -491.5 -453.1 -554.9 -804.5

p: Preliminary Source: Bank of Korea

56

Economic Bulletin

12 Balance of payments (II) (US $ million)

Period

Financial account*

2016 2017p 2018p 2016 Ⅰ Ⅱ Ⅲ Ⅳ 2017 Ⅰ Ⅱ Ⅲ Ⅳ 2018p Ⅰ Ⅱ Ⅲ Ⅳ 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018p 1 2 3 4 5 6 7 8 9 10 11 12

99,811.3 84,425.3 70,489.3 28,236.5 22,642.8 24,612.6 24,319.4 19,114.9 12,386.9 29,836.8 23,086.7 12,384.7 11,706.6 26,806.9 19,591.1 6,747.0 9,439.7 12,049.8 1,596.3 10,132.2 10,914.3 9,202.8 6,855.4 8,554.4 8,419.5 8,505.1 7,394.8 4,325.0 9,012.8 5,777.1 1,863.3 2,118.2 8,405.4 8,911.6 9,399.0 11,526.2 7,192.7 9,369.1 6,524.9 3,560.9 4,418.6 4,405.2 5.7 6,905.9 4,795.0 9,998.2 7,030.0 9,778.7 10,280.7 3,871.3 5,439.1

Direct investment

Portfolio investment

17,785.2 16,156.5 24,437.9 5,691.9 4,489.3 1,828.4 5,775.6 7,140.3 4,050.0 4,851.8 114.4 2,244.4 8,283.1 8,890.6 5,019.8 206.1 2,181.3 3,304.5 808.9 1,442.8 2,237.6 710.9 -295.5 1,413.0 1,141.2 56.4 4,578.0 3,301.6 4,333.5 -494.8 1,773.0 872.7 1,404.3 637.2 1,953.7 2,260.9 198.6 -1.4 -82.8 240.3 419.8 1,584.3 1,951.5 6,079.9 251.7 2,268.1 4,372.2 2,250.3 3,414.6 200.9 1,404.3

66,970.2 57,853.0 43,884.0 16,794.1 13,981.8 15,865.5 20,328.8 8,131.0 11,965.1 23,755.5 14,001.4 12,833.6 4,505.1 7,784.3 18,761.0 5,412.9 5,749.6 5,631.6 3,277.6 4,546.1 6,158.1 145.0 7,111.8 8,608.7 9,921.6 7,011.4 3,395.8 4,794.5 1,003.6 2,332.9 3,460.2 5,511.1 2,993.8 2,727.2 11,338.8 9,689.5 313.3 1,616.1 12,072.0 3,337.9 9,391.1 104.6 4,061.5 533.0 -89.4 -3,427.9 1,692.4 9,519.8 6,626.2 5,023.5 7,111.3

Financial derivatives

Other investment

Reserve assets

10,880.8 14,312.0 -14,013.4 4,360.2 4,437.6 3,759.0 -1,676.0 6,061.1 -1,775.6 1,731.7 8,294.8 -1,776.7 -9,837.0 5,765.6 -8,165.3 -460.0 2,343.2 2,477.0 -2,763.3 4,205.3 2,995.6 6,852.0 -1,757.5 -1,335.5 -2,124.1 1,871.4 -1,423.3 -3,879.7 5,420.5 4,520.3 -2,286.6 -3,930.8 4,441.8 5,497.6 -4,079.2 313.3 5,809.4 7,262.0 -4,776.6 -145.9 -4,656.2 3,025.4 -8,375.7 -3,034.6 1,573.3 8,581.5 1,439.1 -4,255.0 -2,684.9 -1,619.6 -3,860.8

7,615.2 4,357.1 17,491.9 -1,333.7 919.4 6,959.2 1,070.3 733.5 214.2 -151.3 3,560.7 2,787.8 9,802.5 2,146.3 2,755.3 360.2 -1,591.0 -102.9 1,316.6 401.7 -798.9 1,966.8 3,089.0 1,903.4 220.3 -517.1 1,367.1 255.5 -151.6 629.6 -170.9 78.5 306.6 128.8 347.0 -627.1 1,427.0 1,369.5 764.2 1,440.3 159.7 1,187.8 3,119.0 3,707.9 2,975.6 1,485.1 -1,235.6 1,896.8 2,157.6 -42.0 639.7

-3,440.1 -8,253.3 -1,311.1 2,724.0 -1,185.3 -3,799.5 -1,179.3 -2,951.0 -2,066.8 -350.9 -2,884.6 -3,704.4 -1,047.1 2,220.1 1,220.3 1,227.8 756.6 739.6 -1,043.5 -463.7 321.9 -471.9 -1,292.4 -2,035.2 -739.5 83.0 -522.8 -146.9 -1,593.2 -1,210.9 -912.4 -413.3 -741.1 -79.2 -161.3 -110.4 -555.6 -877.1 -1,451.9 -1,311.7 -895.8 -1,496.9 -750.6 -380.3 83.8 1,091.4 761.9 366.8 767.2 308.5 144.6

Capital account -46.2 -26.8 188.9 -8.1 -7.0 13.9 -45.0 39.2 -60.4 -5.9 0.3 -21.3 -70.7 61.5 219.4 -2.6 -2.3 -3.2 -5.0 1.0 -3.0 5.8 17.2 -9.1 -6.3 -35.0 -3.7 42.9 -2.0 -1.7 -26.4 -1.9 -32.1 17.1 -21.8 -1.2 -7.4 38.8 -31.1 -6.5 -13.4 -1.4 -64.9 2.6 -8.4 -6.7 -5.1 73.3 82.8 -9.5 146.1

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

February 2019

57

Statistical Appendices

13 Financial indicators (period average)

Stock

Yields (%) Period Call rate (1 day)

CD (91 days)

Treasury bonds (3 years)

Treasury bonds (5 years)

Corporate bonds (3 years, AA-)

1.99 1.99 1.82 1.73 1.74 1.57 1.48 1.49 1.48 1.48 1.49 1.48 1.49 1.49 1.49 1.49 1.49 1.28 1.23 1.23 1.24 1.23 1.23 1.22 1.24 1.23 1.23 1.23 1.23 1.24 1.24 1.23 1.25 1.24 1.26 1.51 1.49 1.49 1.49 1.47 1.50 1.49 1.49 1.50 1.54 1.52 1.51 1.77 1.75

2.26 2.24 2.00 1.88 1.87 1.73 1.70 1.70 1.69 1.70 1.74 1.90 1.83 1.76 1.71 1.70 1.68 1.56 1.52 1.51 1.50 1.50 1.53 1.65 1.67 1.64 1.64 1.63 1.62 1.60 1.59 1.59 1.59 1.59 1.70 1.80 1.80 1.80 1.81 1.82 1.82 1.82 1.82 1.81 1.81 1.82 1.85 1.91 1.87

2.04 2.02 1.87 1.74 1.88 1.77 1.78 1.74 1.65 1.63 1.75 1.72 1.63 1.47 1.50 1.47 1.46 1.33 1.22 1.24 1.31 1.36 1.61 1.69 1.64 1.67 1.71 1.68 1.69 1.67 1.74 1.78 1.79 2.03 2.15 2.10 2.19 2.28 2.27 2.19 2.25 2.18 2.10 2.02 1.95 2.01 1.94 1.83 1.81

2.16 2.12 1.97 1.86 2.11 2.04 2.05 1.95 1.85 1.78 1.95 1.90 1.77 1.59 1.61 1.57 1.55 1.41 1.25 1.26 1.35 1.41 1.74 1.87 1.82 1.86 1.91 1.86 1.91 1.86 1.94 1.99 1.99 2.25 2.36 2.30 2.44 2.54 2.50 2.44 2.53 2.44 2.34 2.24 2.13 2.16 2.05 1.89 1.88

2.36 2.30 2.13 1.99 2.12 2.01 2.00 1.98 1.95 1.96 2.12 2.14 2.09 1.95 1.98 1.94 1.91 1.79 1.65 1.65 1.70 1.78 2.02 2.16 2.10 2.13 2.21 2.20 2.22 2.21 2.28 2.32 2.33 2.57 2.71 2.65 2.72 2.82 2.83 2.79 2.86 2.81 2.75 2.66 2.40 2.45 2.40 2.30 2.26

2015 1 2 3 4 5 6 7 8 9 10 11 12 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 12 2019 1

KOSPI (end-period)

1,949 1,986 2,041 2,127 2,115 2,074 2,030 1,941 1,963 2,029 1,992 1,961 1,912 1,917 1,996 1,994 1,983 1,970 2,016 2,035 2,044 2,008 1,983 2,026 2,068 2,092 2,160 2,205 2,347 2,392 2,403 2,363 2,394 2,523 2,476 2,467 2,566 2,427 2,446 2,515 2,423 2,326 2,295 2,323 2,343 2,030 2,097 2,041 2,205

Source: Bank of Korea

58

Economic Bulletin

14 Monetary indicators (period average, billion won)

Reserves Period 2015 2016 2017 2018p 2015 1 2 3 4 5 6 7 8 9 10 11 12 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 12p

M1

y-o-y change (%)

120,691.4 137,441.5 151,858.1 164,963.2 113,304.2 116,502.4 115,974.9 115,132.7 117,726.3 118,688.2 122,041.0 121,854.4 126,572.2 125,616.2 126,767.1 128,117.5 131,279.3 134,913.0 132,957.9 135,038.9 135,971.3 135,758.4 135,906.7 139,073.9 142,079.6 141,103.5 141,757.2 143,458.7 147,380.8 150,092.9 145,049.0 149,630.1 149,446.2 150,519.7 149,955.1 152,170.5 154,578.6 159,248.2 155,623.3 158,603.1 157,220.1 163,852.7 160,760.7 161,527.1 160,475.5 164,397.3 163,223.4 165,629.2 170,529.6 170,478.9 168,326.2 173,137.8

16.8 13.9 10.5 8.6 15.0 15.9 15.3 16.4 15.7 17.0 20.6 13.2 20.1 17.3 18.8 16.3 15.9 15.8 14.6 17.3 15.5 14.4 11.4 14.1 12.3 12.3 11.8 12.0 12.3 11.3 9.1 10.8 9.9 10.9 10.3 9.4 8.8 12.9 9.8 10.6 6.7 9.2 10.8 8.0 7.4 9.2 8.8 8.8 10.3 7.1 8.2 9.2

M2

y-o-y change (%)

636,639.0 734,411.8 802,016.5 841,014.4 579,964.2 592,737.4 600,719.9 610,803.3 621,985.5 630,546.3 645,975.4 653,105.9 665,691.1 669,737.7 677,629.2 690,772.4 699,767.3 708,014.0 713,861.2 720,818.5 722,544.4 730,637.8 735,172.2 738,120.9 751,408.5 753,367.3 762,639.7 776,589.6 780,995.5 776,362.5 789,187.8 791,859.3 791,074.8 798,890.2 804,853.4 805,103.3 810,905.0 826,892.1 817,624.5 830,003.7 830,732.8 839,555.2 840,991.0 841,002.2 839,880.5 846,240.2 843,752.8 837,607.5 845,523.7 840,678.4 840,084.9 846,123.7

18.6 15.4 9.2 4.9 12.5 14.3 15.5 17.7 18.9 18.5 21.0 21.3 21.4 21.5 20.6 19.6 20.7 19.4 18.8 18.0 16.2 15.9 13.8 13.0 12.9 12.5 12.5 12.4 11.6 9.7 10.6 9.9 9.5 9.3 9.5 9.1 7.9 9.8 7.2 6.9 6.3 8.1 6.6 6.2 6.2 5.9 4.8 4.0 4.3 1.7 2.7 1.9

Lf

y-o-y change (%)

2,182,911.9 2,342,621.3 2,471,225.6 2,626,902.0 2,092,223.5 2,109,892.3 2,127,887.8 2,148,114.7 2,166,741.1 2,179,561.1 2,200,510.9 2,218,660.3 2,230,000.7 2,232,432.0 2,242,848.2 2,246,070.1 2,261,356.4 2,285,313.5 2,294,544.7 2,299,081.3 2,312,801.2 2,334,256.2 2,352,245.1 2,377,323.1 2,383,040.5 2,391,059.2 2,406,393.5 2,414,040.9 2,417,635.8 2,420,285.6 2,436,994.7 2,450,220.9 2,454,386.7 2,470,861.1 2,472,110.4 2,485,629.9 2,492,388.4 2,504,594.2 2,521,786.3 2,527,641.3 2,551,196.0 2,570,764.6 2,578,361.8 2,590,840.7 2,600,274.3 2,622,268.3 2,637,421.8 2,651,503.4 2,652,829.5 2,674,506.5 2,692,974.8 2,699,882.3

8.6 7.3 5.5 6.3 8.0 8.0 8.3 9.0 9.3 9.0 9.3 9.2 9.4 8.8 7.7 7.5 8.1 8.3 7.8 7.0 6.7 7.1 6.9 7.2 6.9 7.1 7.3 7.5 6.9 5.9 6.2 6.6 6.1 5.9 5.1 4.6 4.6 4.7 4.8 4.7 5.5 6.2 5.8 5.7 5.9 6.1 6.7 6.7 6.4 6.8 6.8 6.8

y-o-y change (%)

2,986,699.4 3,229,857.2 3,445,685.0 3,686,359.0 2,857,610.1 2,876,467.8 2,907,976.4 2,936,746.7 2,960,998.1 2,986,316.5 3,013,503.9 3,028,981.1 3,049,823.2 3,059,051.9 3,076,029.2 3,086,887.8 3,110,535.8 3,133,492.2 3,158,687.8 3,170,277.9 3,189,899.3 3,223,154.5 3,242,338.3 3,270,365.6 3,288,026.0 3,305,950.4 3,328,489.7 3,337,069.4 3,359,110.8 3,365,200.1 3,387,986.2 3,404,957.2 3,416,320.2 3,440,571.4 3,454,563.6 3,472,041.5 3,483,119.8 3,501,084.6 3,521,139.1 3,541,553.2 3,573,130.0 3,596,261.3 3,614,934.9 3,628,930.4 3,643,255.3 3,671,929.8 3,698,202.0 3,718,480.4 3,734,526.2 3,759,646.9 3,786,039.7 3,808,950.3

9.7 8.1 6.7 7.0 8.4 8.6 9.3 10.0 10.3 10.5 10.6 10.4 10.5 10.2 9.2 8.9 8.9 8.9 8.6 8.0 7.7 7.9 7.6 8.0 7.8 8.1 8.2 8.1 8.0 7.4 7.3 7.4 7.1 6.7 6.5 6.2 5.9 5.9 5.8 6.1 6.4 6.8 6.7 6.6 6.6 6.7 7.1 7.1 7.2 7.4 7.5 7.6

Source: Bank of Korea

February 2019

59

Statistical Appendices

15 Exchange rates (end-period)

US $/\ Period 2015 2016 2017 2018 2015 1 2 3 4 5 6 7 8 9 10 11 12 2016 1 2 3 4 5 6 7 8 9 10 11 12 2017 1 2 3 4 5 6 7 8 9 10 11 12 2018 1 2 3 4 5 6 7 8 9 10 11 12 2019 1

Won

1,172.0 1,208.5 1,071.4 1,181.1 1,190.8 1,099.2 1,105.0 1,068.1 1,108.0 1,124.1 1,166.3 1,176.3 1,194.5 1,142.3 1,150.4 1,172.0 1,208.4 1,235.4 1,153.5 1,143.9 1,190.6 1,164.7 1,125.7 1,118.5 1,096.3 1,145.2 1,168.5 1,208.5 1,157.8 1,132.1 1,116.1 1,130.1 1,123.9 1,139.6 1,119.1 1,122.8 1,146.7 1,125.0 1,082.4 1,071.4 1,071.5 1,071.0 1,066.5 1,076.2 1,081.3 1,121.7 1,116.7 1,108.8 1,112.7 1,140.6 1,121.8 1,118.1 1,170.2

Euro/\

100/\ y-o-y change (%)

6.6 3.1 -11.3 4.4 1.1 3.0 3.4 3.5 8.5 10.8 13.9 16.1 13.7 8.4 4.5 6.6 10.8 12.4 4.4 7.1 7.5 3.6 -3.5 -4.9 -8.2 0.3 1.6 3.1 -4.2 -8.4 -3.2 -1.2 -5.6 -2.2 -0.6 0.4 4.6 -1.8 -7.4 -11.3 -7.5 -5.4 -4.4 -4.8 -3.8 -1.6 -0.2 -1.2 -3.0 1.4 3.6 4.4 4.3

Won

972.0 1,036.8 949.1 1013.2 921.4 920.7 920.3 897.2 894.6 917.2 939.3 970.1 996.8 994.1 936.7 972.0 1,017.1 1,083.8 1,026.0 1,058.2 1,072.8 1,132.2 1,073.7 1,086.3 1,083.7 1,094.4 1,038.8 1,036.8 1,017.9 1,004.0 998.5 1,016.0 1,014.3 1,017.6 1,012.3 1,017.4 1,020.4 994.2 966.5 949.1 985.0 997.3 1,001.5 985.9 994.0 1,014.8 1,006.0 998.7 981.2 1,008.9 989.0 1,013.2 1,024.8

y-o-y change (%)

5.6 6.7 -8.5 6.8 -11.7 -11.9 -11.4 -10.8 -10.9 -8.3 -5.7 -0.8 3.8 -2.1 0.3 5.6 10.4 17.9 11.5 17.9 19.9 23.4 14.3 12.0 8.7 15.9 10.9 6.7 0.1 -7.5 -2.7 -4.0 -5.4 -10.1 -5.7 -6.3 -5.8 -9.2 -7.0 -8.5 -3.2 -0.7 0.3 -3.0 -2.0 -0.3 -0.6 -1.8 -3.8 1.5 2.3 6.8 4.0

Won

1,280.5 1,267.6 1,279.3 1,279.2 1,235.7 1,230.7 1,196.8 1,187.0 1,215.2 1,260.5 1,275.4 1,317.3 1,343.9 1,254.8 1,218.3 1,280.5 1,322.2 1,348.3 1,307.4 1,298.4 1,326.8 1,295.5 1,246.7 1,246.9 1,230.3 1,257.1 1,244.3 1,267.6 1,239.5 1,198.6 1,192.6 1,228.1 1,255.6 1,304.0 1,315.7 1,335.6 1,350.9 1,310.1 1,282.7 1,279.3 1,329.1 1,310.4 1,312.0 1,304.5 1,261.3 1,297.0 1,307.4 1,293.2 1,294.6 1,294.0 1,277.7 1,279.2 1,283.1

y-o-y change (%)

-4.2 -1.0 0.9 0.0 -16.1 -15.9 -18.6 -16.7 -12.6 -8.9 -7.0 -1.4 0.8 -5.6 -11.2 -4.2 7.0 9.6 9.2 9.4 9.2 2.8 -2.3 -5.3 -8.5 0.2 2.1 -1.0 -6.3 -11.1 -8.8 -5.4 -5.4 0.7 5.5 7.1 9.8 4.2 3.1 0.9 7.2 9.3 10.0 6.2 0.5 -0.5 -0.6 -3.2 -4.2 -1.2 -0.4 0.0 -3.5

Source: Bank of Korea

60

Economic Bulletin

Useful websites

Ministry of Economy and Finance http://english.moef.go.kr Korea Development Institute http://www.kdi.re.kr/kdi_eng Ministry of Trade, Industry and Energy http://english.motie.go.kr Financial Services Commission http://www.fsc.go.kr/eng Financial Supervisory Service http://english.fss.or.kr Fair Trade Commission http://www.ftc.go.kr/eng Ministry of Employment and Labor http://www.moel.go.kr/english Bank of Korea http://www.bok.or.kr/eng Statistics Korea http://kostat.go.kr/portal/eng

Republic of Korea

Economic Bulletin February 2019

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