Lee Hyo-jin covers the Bank of Korea, the banking industry and broader financial news. Her previous beats include foreign affairs, North Korea and general reporting on Korean society.
Korea's economy grows 0.6% in Q2 on strong chip exports, beating forecasts
Containers are stacked at a port in Pyeongtaek, Gyeonggi Province, July 1. Yonhap
By Lee Hyo-jin
Korea's economy expanded 0.6 percent from the previous quarter in the second quarter, according to the Bank of Korea (BOK), Thursday. While the pace slowed from the more than 1 percent quarterly growth recorded in the first quarter, it exceeded the market consensus of 0.3 percent.
Preliminary data from the central bank showed that real gross domestic product (GDP) grew 0.6 percent from the previous quarter in the April-June period, slowing from a 1.8 percent expansion in the first quarter.
The reading topped the median market forecast of 0.3 percent as well as the BOK's own projection of 0.2 percent for the quarter.
The expansion was supported by a 1.4 percent increase in exports, driven by semiconductors and machinery and equipment, while private consumption rose 0.4 percent and facility investment edged up 0.2 percent. Construction investment slipped 0.2 percent.
Compared with a year earlier, real GDP grew 3.7 percent.
Meanwhile, real gross domestic income (GDI), a measure of the purchasing power generated by domestic production, rose 3.6 percent from the previous quarter and 15.6 percent from a year earlier, reflecting an improvement in the terms of trade.