Construction Drop Slows S. Korean Economy

• 10 July 2016
• Local News
• 1412 Views

A drop in construction investment caused a slow in South Korea\’s economic growth in the final quarter of 2015, according to the Bank of Korea.

tab-stops:14.15pt\”> “Arial”,”sans-serif”\”>Though the estimated growth of 0.6 percent reported in January was upgraded to an improved 0.7 percent at the end of March, concern remains focused on the 6 percent decline in construction investment during this period in Asia’s fourth-largest economy.

tab-stops:14.15pt\”> “Arial”,”sans-serif”\”>The upward revision owed mostly to the fact that construction spending turned out to have contracted less than earlier estimated, the data showed.

tab-stops:14.15pt\”> “Arial”,”sans-serif”\”>Interest rate cuts by the government in 2015 boosted the property market which contributed to a 1.2 percent growth in Q3.