Inflation slows down in South Korea. According to official data, the figure, measured by the consumer price index, increased at a slower pace in April than in March on an annual basis. The figure stood at 2.9% year-on-year, compared to March’s 3.1% increase, and also fell short of the 3% gain forecast by a survey Reuters conducted among economists.
Core CPI, excluding food and energy prices, rose 2.3%. That was slightly slower than March’s 2.4% increase.
Based on an essentially agricultural economy until the division from North Korea in 1948, in recent decades Korea has experienced the flourishing of a true economic miracle, thanks to a careful modernization effort begun in the 1960s and a policy of low wages and poor social protection, which allowed the South Korean industry to make its way into international markets (just remember the presence of giants such as Daewoo and Hyundai in the field of cars, as well as Samsung and LG in the field of electronics and computers) .
PHOTO: SHUTTERSTOCK
