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  • South Korea Economy Growth Forecast 2025 GDP Contraction
  • Business & Economy

South Korea Economy Growth Forecast 2025 GDP Contraction

editor 3월 10, 2026
South Korea Economy Growth Forecast 2025 GDP Contraction
Containers stacked high at Sinseondae Pier and Gamman Pier at Busan Port.

South Korea’s economy experienced a 1% growth in 2025, driven by robust exports, according to central bank data released Tuesday. However, the fourth quarter revealed negative growth.

The nation’s real gross domestic product (GDP), a primary indicator of economic expansion, decreased by 0.2% in the fourth quarter (October-December) compared to the previous quarter. This is an improvement from the initial estimate of a 0.3% contraction, as reported by the Bank of Korea (BOK).

This contraction marks the first quarterly decline since the first quarter (January-March) of the previous year, when the economy also contracted by 0.2%.

Year-on-year GDP growth for the fourth quarter stood at 1.6%, a decrease from the 1.8% year-on-year growth recorded in the preceding quarter.

Overall, the South Korean economy grew by 1% in 2025, aligning with the BOK’s prior forecast, but representing a slowdown from the 2% growth achieved in the previous year.

The data also indicated that South Korea’s per capita gross national income (GNI) reached $36,855 in 2025, a 0.3% increase compared to the previous year.

Klook.com
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