Korea posts fifth consecutive current account surplus in September, driven by exports

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Korea posts fifth consecutive current account surplus in September, driven by exports

Published: 07 Nov. 2024, 15:09

Shipping containers are stacked up at a port in Busan on Nov. 1. [YONHAP]

Korea racked up a current account surplus for the fifth consecutive month in September, driven by robust exports, central bank data showed Thursday.

The country's current account surplus reached $11.12 billion in September, marking a surplus for the fifth consecutive month following a $6.5 billion surplus in August, according to data compiled by the Bank of Korea.

The country's goods account racked up a $10.67 billion surplus in September following a $6.52 billion surplus the month before.

The nation's outbound shipments rose 9.9 percent on year in September to $61.67 billion, while imports increased 4.9 percent over the cited period to $51 billion, according to the central bank's data.

The primary income account, which tracks the wages of foreign workers, dividend payments from overseas and interest income, reported a $3.09 billion surplus in September, following a $1.69 billion surplus the previous month, the data showed.

The services account deficit widened to $2.24 billion from a $1.23 billion deficit over the cited period, it showed.

In the first nine months of the year, the country racked up a current account surplus of $64.64 billion, far higher than the $16.75 billion surplus recorded during the same period of last year.

The central bank said this year's current account surplus may be greater than earlier expected at $73 billion.

"October may also see a large current account surplus, and this year's estimate may be adjusted this month," a BOK official said.

As to the weakness of the Korean won, the official said the won's slide will have a limited impact on exports, although the won's weakness may work to reduce the current account surplus and boost inflation.

Yonhap