South Korea GDP Annual Growth Rate

Last Release

Jun 30, 2025

Actual

0.5

Units In

-0.1

Frequency

Quarterly

Next Release

Sep 02, 2025

Time to Release

4 Days 14 Hours

Highest	Lowest	Average	Date Range	Source
20.8 Dec 1969	-7.3 Jun 1998	6.82 %	1961-2025	The Bank of Korea

South Korea’s economy became one of the most diversified and technologically advanced in the world in the last 50 years. Like in most developed countries, services account for the highest percentage of GDP (around 57 percent of GDP). Within services the most important ones are public administration (6 percent ); education (5.3 percent); information and communication (5 percent); and business activities (4.6 percent of GDP). A strong manufacturing industry which has turned South Korea into a major exporter accounts for 32 percent of GDP.

Latest Updates

South Korea unveiled a record KRW 728 trillion budget plan for 2026, marking an 8.1% increase from this year, more than triple the pace of 2025’s rise. The expansion, aimed at reviving an economy strained by U.S. tariffs, rising welfare costs, and demographic pressures, will be financed partly through a record KRW 232 trillion bond issuance, the finance ministry noted. President Lee Jae Myung’s government said the spending will drive an “economic transformation,” channeling support into AI, semiconductors, shipbuilding, and K-culture, while fostering small businesses and regional growth. Defense outlays will climb 8.3% to KRW 66.3 trillion, funding advanced weapons, drones, and responses to North Korean threats. While President Trump has pressed U.S. allies to raise defense spending, officials said talks with Washington are ongoing, noting the increase would bring defense spending to about 2.4% of GDP.