Economic Bulletin | KDI 경제교육·정보센터

KDI 경제교육·정보센터

Economic Information and Education Center

발행물

Economic Trends

Current Economic Trends

In February, industrial production, facility investment, and construction investment increased, whileretail sales remained flat. In March, the number of employed persons rose, and consumer prices roseat a faster pace. In February, production in the industrial sector (up 5.4% m-o-m and down 2.2% y-o-y), construction sector(up 19.5% m-o-m and up 1.2% y-o-y), and services sector (up 0.5% m-o-m and up 2.1% y-o-y) rose, leadingto an increase in total industrial production (up 2.5% m-o-m and up 0.5% y-o-y). In February, the cyclical indicator of the coincident composite index went up by 0.8 points and the cyclicalindicator of the leading composite index increased by 0.6 points. In February, facility investment moved up (up 13.5% m-o-m and up 5.3% y-o-y) while retail salesremained unchanged (0.0% m-o-m and up 4.7%). In March, the Consumer Sentiment Index (CSI) went down by 5.1 points month-on-month to 107.0. TheComposite Business Sentiment Index (CBSI) decreased by 0.1 point to 94.1 and the CBSI outlook for Aprilfell by 4.5 points to 93.1. In March, exports climbed by 49.2 percent year-on-year, supported by expanded exports ofsemiconductors, computers, and wireless communication devices. The daily average exports rose by 42.7percent compared to the same month of last year. In March, the number of employed persons grew by 206,000 year-on-year and the unemployment ratefell by 0.1 percent point to 3.0 percent. In March, the Consumer Price Index (CPI) climbed by 2.2 percent year-on-year, up from 2.0 percent inFebruary. The CPI excluding food and energy rose by 2.2 percent, and the index excluding agriculturalproducts and petroleum and the index for living necessities increased by 2.3 percent, respecitvely. In March, both housing prices (up 0.15% m-o-m) and Jeonse (lump-sum deposits with no monthlypayments) prices (up 0.28% m-o-m) rose. In March, Korean equity prices declined, yields for Korean Treasury Bond rose, and the Korean Wonweakened against the dollar. Recently, the Korean economy has faced increased downside risks due to heightened geopoliticalrisks stemming from the Middle East conflict. Exports, led by semiconductors, have remained robust, and domestic demand, including consumption,has continued to improve. However, the Middle East conflict has weighed on consumer and businesssentiment, raising concerns about higher inflation driven by rising global oil prices and increasing burdenson households. Globally, financial markets and energy prices have become more volatile amid ongoing geopoliticaltensions and a worsening trade environment driven by tariff measures in major economies, heighteningrisks of a slowdown in trade and growth. To minimize the impact of the Middle East conflict, the government will maintain an emergency economicresponse framework, closely monitor developments and sector-specific impacts, and swiftly implementthe supplementary budget while actively addressing difficulties faced by businesses on the ground. * For further details, please refer to the attached file.

May 2026