[Anchor]
Boosted by a strong boom in semiconductor exports, the South Korean economy has posted surprise growth in the second quarter as well. Achieving 3% annual growth and a GDP per capita of $40,000 this year has come within sight, while the KOSPI has also recovered the 7,000 mark.
Reporter Kim Hye-min has the details.
[Reporter]
Real gross domestic product (GDP) continued its better-than-expected growth trend, rising 0.6% in the second quarter following a 1.8% expansion in the first quarter.
This was driven by an unprecedented boom in semiconductor exports.
Real gross domestic income (GDI), which shows how much a country actually earned, increased by 15.6% compared to the second quarter of last year.
While export volume also grew, the upward trend in export prices was even sharper, widening the gap between the two indicators.
[Lee Dong-won, Director General of the Economic Statistics Department II at the Bank of Korea: If the upward trend in real GDI continues, it will have the effect of expanding corporate investment capacity and household purchasing power, thereby having a positive impact on domestic industries...]
The growth rate of facility investment expanded from 1.5% last year to 5.4% in the first half of this year, while private consumption increased from 1.5% to 2.5%.
It is estimated that at least 3 trillion won was spent on home appliances alone, driven by events such as Samsung Electronics' Onnuri gift certificate refund promotions.
An official from the Bank of Korea explained that "we understand Samsung Electronics' Onnuri gift certificates are even being used at Sokcho Jungang Market," indicating that the semiconductor boom has spilled over into private consumption.
With the sharp surge in the KOSPI during the second quarter, consumption in department stores, apparel, and handbags also increased significantly.
Prospects are emerging that, at this pace, an annual growth rate of 3% and a GNI per capita of $40,000 are achievable.
As purchasing power increases and inflationary pressures grow, expectations for an additional benchmark interest rate hike are becoming a fait accompli.
Some voices in the market are even projecting a rate hike as early as next month.
Experts pointed out that how to distribute the warmth of high growth is a crucial policy task for the second half of the year.
[Seok Byung-hoon, Professor of Economics at Ewha Womans University: We see that K-shaped (polarized) growth is still persisting. Recently, the delinquency rate for small and medium-sized enterprises has risen to an all-time high, and the delinquency rate for sole proprietors is also rising...]
The domestic stock market also received a boost.
Following Google parent Alphabet's announcement of plans to expand semiconductor investments, coupled with news of the semiconductor-led surprise growth, the KOSPI recovered the 7,000 mark in five trading sessions.
(Video by Park Hyun-cheol | Video Editing by Choi Jin-ki | Graphics by Jang Seong-beom, Hwang Se-yeon, and Cho Su-in)
※
Copying, redistribution, and unauthorized use in AI training are strictly prohibited.