Consumer prices in Korea rise 2.3 percent in 2024
Date
12/31/2024 2:21:25 AM
(MENAFN) Inflationary pressures in the Republic of Korea eased significantly in 2024, marking a sharp decline after years of elevated price growth during the post-pandemic period. Data released on Tuesday revealed that inflation has slowed considerably following the highest levels of price increases seen in decades. This trend suggests a stabilization in the country’s economic environment as inflationary concerns subside.
Statistics Korea reported that the consumer price index, a key measure of inflation, rose by 2.3 percent year-on-year in 2024, representing the slowest growth in four years. By comparison, inflation rates were higher in the preceding years, reaching 2.5 percent in 2023, 3.6 percent in 2022, and peaking at 5.1 percent in 2021. The 2024 figure aligns with the Bank of Korea’s projection issued in November, which forecasted a 2.3 percent increase. It also brings inflation closer to the central bank’s target rate of 2 percent, as noted by Yonhap News Agency.
Core inflation, which excludes the more volatile prices of food and energy, rose 2.2 percent on a year-on-year basis in 2024. This measure highlights the underlying price stability in the economy and reflects a broader reduction in inflationary pressures across various sectors.
Korea’s consumer inflation has remained below 3 percent since April 2024, with a notable drop below the target rate of 2 percent for the first time in September. This consistent decline signals improved control over inflation and offers a positive outlook for economic stability moving forward. The subdued inflation environment is expected to benefit households and businesses by easing cost pressures across the board.
MENAFN31122024000045015839ID1109043799
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.