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Seoul, March 7 (Yonhap) – South Korea’s current account surplus continued its upward trajectory in January, marking the 21st consecutive month of positive balance. According to preliminary data released by the Bank of Korea (BOK) on March 7, the nation recorded a current account surplus of $2.94 billion in January 2025.

This figure, while maintaining the surplus streak, represents a near-identical level compared to the $3.05 billion surplus recorded in January of the previous year. However, it reflects a significant decrease from the substantial $12.37 billion surplus seen in December 2024.

A closer examination reveals a narrowing of the goods trade surplus, which stood at $2.5 billion in January. This represents a decrease compared to both January 2024 ($4.36 billion) and December 2024 ($10.43 billion). The decline is primarily attributed to a 9.1% year-on-year decrease in goods exports, totaling $49.81 billion.

Analyzing export performance by product category based on customs data, IT products such as computers (14.8%) and semiconductors (7.2%) experienced growth. Conversely, exports of petroleum products (-29.2%) and passenger cars (-19.2%) saw significant declines.

Conclusion:

While South Korea’s current account continues to maintain a surplus, the narrowing gap indicates potential challenges ahead. The decline in exports, particularly in key sectors like petroleum products and automobiles, warrants close monitoring. Future economic policies should focus on bolstering export competitiveness and diversifying export markets to ensure sustainable economic growth.

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