Korean economy continues to 'grow at solid pace': finance ministry
Tourists walk around Myeong-dong in Seoul, Nov. 3. Yonhap
The Korean economy continues to "grow at a solid pace," although inflationary pressures stemming from high oil prices could weigh on people's livelihoods, the finance ministry said Friday.
The Ministry of Finance and Economy offered the assessment in the November edition of its economic report, known as the Green Book, signaling a more positive view of economic conditions after previously describing the economy as continuing to "recover."
The finance ministry began using the term "recovery" in November 2025 and maintained the assessment through October this year, except in April.
In its April report, the ministry temporarily dropped the reference to "recovery," instead citing "increased downside risks" amid the Middle East war, before returning to the previous wording in May.
"Recently, the Korean economy has continued to grow at a solid pace, supported by a substantial increase in exports and accelerating investment growth, with consumption improving gradually," the finance ministry said.
"However, with uncertainties stemming from the Middle East war lingering, inflationary pressures from high oil prices and difficult employment conditions for vulnerable groups and sectors could weigh on people's livelihoods," it added.
In October, Korea's exports jumped 93.7 percent year-on-year to a record $115.3 billion, driven largely by a sharp increase in semiconductor shipments.
Korea also added 139,000 jobs in October from a year earlier, with job growth exceeding the 100,000 mark for the fourth consecutive month.
The employment rate for people aged 15 to 64 came to 70.4 percent, up 0.3 percentage point from a year earlier. However, the rate for those aged 15 to 29 fell 1.7 percentage points year-on-year to 42.9 percent, marking the 30th consecutive month of decline.
The number of employed people in that age group fell by 196,000 from a year earlier, declining for the 48th consecutive month.
Korea's consumer prices rose 2.8 percent year-on-year in October, easing from 2.9 percent in September and 3.1 percent in August.
The data ministry, meanwhile, noted that petroleum product prices rose 14.9 percent year-on-year in October, contributing 0.56 percentage point to the month's annual inflation rate. It marked the sharpest increase since the 15.5 percent rise recorded in July.
The finance ministry added that while the global economy continues to grow at a moderate pace, uncertainties persist over developments in the Middle East war and the direction of policies related to the artificial intelligence (AI) industry.
The ministry pledged to accelerate efforts to broaden the foundations for growth while strengthening policies to stabilize people's livelihoods and reduce disparities so the benefits of growth spread throughout the economy.