Korea's current account surplus continues for 10th consecutive month in February

Shipping containers are stacked at a pier in the southeastern port city of Busan on Jan. 1, 2024. [Yonhap]

Korea reported a current account surplus for the 10th straight month in February, driven by the recovery of chip exports.

The country's current account surplus reached $6.86 billion in February, following a surplus of $3.05 billion in January, according to Bank of Korea (BOK) data released on Friday.

February's surplus came as the country's trade balance remained in the black and dividend income from overseas increased.

The country's goods account racked up a $6.61 billion surplus in February, following a $4.24 billion surplus the previous month.

The nation's outbound shipments rose 3 percent on year in February to $52.16 billion, led by a 63 percent surge in semiconductor exports.

Imports dropped 12.2 percent over the same period to $45.55 billion, largely driven by a fall in energy prices that pushed down raw material prices.

The primary income account, which tracks the wages of foreign workers, dividend payments from overseas and interest income, reported a $2.44 billion surplus in February, following a $1.62 billion surplus in January, the data showed.

The services account deficit narrowed to $1.77 billion in February from a deficit of $2.66 billion the previous month, according to the data.

"The size of the current account surplus increased from a month earlier and is also the third largest for February," said a spokesperson for the BOK. "There are clear signs of recovery," he added.

"Chips are strongly driving the current account surplus. The trend is expected to continue with the rise in memory chip prices."

But the BOK said the recent increase in global oil prices could affect Korea's import price of crude oil after a certain period.

Oil prices have rallied this year amid the rise in Middle East tensions and OPEC+ supply restrictions. Brent crude, the world's oil benchmark, climbed above $90 a barrel on Thursday.

BY JIN MIN-JI, YONHAP [jin.minji@joongang.co.kr]