SEOUL :South Korea’s economy grew in the third quarter by the fastest pace in a year and a half, advanced central bank estimates showed on Tuesday, helped by strong exports and solid private consumption as government stimulus measures boosted spending.
Gross domestic product expanded 1.2 per cent in the third quarter from three months earlier on a seasonally adjusted basis, faster than the 0.9 per cent expected in a Reuters poll and after expanding 0.7 per cent in the preceding three months.
The pickup was driven by solid domestic consumption, which rose 1.3 per cent quarter-on-quarter, after the government’s supplementary budget and cash subsidies rolled out under President Lee Jae Myung’s government, while capital expenditure rebounded by 2.4 per cent in the third quarter after contracting earlier.
Exports expanded 1.5 per cent quarter-on-quarter, slower than the 4.5 per cent growth in the second quarter.
On an annual basis, South Korea’s economy grew 1.7 per cent, compared with a 0.6 per cent expansion in the second quarter.
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