December Consumer Prices Up 0.5%... Third Consecutive Month of '0%' Range Increase (Update)

Statistics Korea Announces Consumer Price Trends for December and Annual Summary

[Sejong=Asia Economy Reporter Joo Sang-don] The consumer price inflation rate in December recorded 0.5%, continuing the rise in the 0% range for three consecutive months. For the entire year, it rose by only 0.5%, marking a 0% range inflation rate for this year following last year.

On the 31st, Statistics Korea announced the 'December and Annual Consumer Price Trends' containing this information.

According to the report, the consumer price index in December rose by 0.5% compared to the same month last year. This marks the third consecutive month of 0% range inflation following October (0.1%).

The core inflation rate, which excludes seasonal factors and temporary shocks, represented by the index excluding agricultural products and petroleum products, rose by 0.9% compared to the previous year. This figure excludes the downward pressure on prices due to low oil prices.

The food and energy excluding index, which covers 317 items excluding food and energy-related items based on the OECD standard for core inflation, rose by 0.5%.

The living cost index, composed of 141 items with high purchase frequency and expenditure weight among the total 460 items, fell by 0.1% compared to the same month last year. Food prices rose by 3.4%, but non-food items fell by 2.1%.

The fresh food index, composed of 50 items with large price fluctuations due to weather conditions, rose by 10.0% compared to the same month last year. In particular, fresh fruits increased by 24.3%.

By expenditure purpose, food and non-alcoholic beverages (6.2%), other goods and services (2.0%), health (1.3%), food service and accommodation (1.1%), clothing and footwear (0.6%), and housing, water, electricity, and fuel (0.1%) increased. Meanwhile, household goods and household services remained unchanged, and alcoholic beverages and tobacco (-0.1%), recreation and culture (-0.5%), communication (-0.7%), education (-2.8%), and transportation (-3.7%) decreased.

By item nature, goods rose by 0.7% compared to the same month last year. Industrial products increased by 0.9%, electricity, water, and gas fell by 4.1%, but agricultural, livestock, and fishery products jumped by 9.7%. Services rose by 0.4% due to increases in personal services (1.3%) and rent (0.7%). In particular, jeonse (long-term lease) rose by 0.9%, and monthly rent increased by 0.4%.

Overall, consumer prices rose by 0.5% compared to the previous year. This marks two consecutive years of inflation in the 0% range following 2019 (0.4%).

This content was produced with the assistance of AI translation services.