Economy of South Korea


Oct 16, 2021

South Korea is considered a developed country. A nation's stage of development is determined by a number of factors, including economic prosperity, life expectancy, income equality, and quality of life. As a developed nation, South Korea is able to provide social services such as public education, health care, and law enforcement to its citizens. Citizens of developed countries enjoy a high standard of living and a longer life expectancy than citizens of developing countries. South Korea exports around $ 557.3 billion and imports approximately $ 516.6 billion each year. 3.8% of the country's population are unemployed. The total number of unemployed in South Korea is 1,944,249. In South Korea, 12.5% ​​of the population live below the poverty line. The proportion of citizens living below the poverty line in South Korea is low, which suggests a stable economy. Investors should view South Korea as a safe place for investing and other financial companies. Government spending on education is 5% of GDP. The country's Gini index is 30.2. South Korea is experiencing good equality. The majority of South Korean citizens are in a narrow income range, although in some cases there can be significant differences. South Korea has a Human Development Index (HDI) of 0.891. South Korea has a very high HDI value. This suggests that almost all citizens are able to lead a desirable life thanks to social and economic support; Citizens with a low standard of living receive help and support and have the opportunity to move forward in society. The Global Peace Index (GPI) for South Korea is 1,701. Due to the strong presence of law enforcement agencies and the high level of social responsibility, South Korea is very safe by international standards. The strength of the Legal Rights Index for South Korea is 5. Overall, it is viewed as rather inadequate - bankruptcy and collateral laws can protect the rights of borrowers and lenders to a certain extent; Credit information may be sufficient, but hardly available, or, conversely, it may be available but not sufficient.


The currency of South Korea is the South Korean won. The plural form of the word South Korean won is won. The symbol used for this currency is ₩ and is abbreviated as KRW. The South Korean won is divided into Jeon; there are 100 won in one.


Credit rating
The loan depth index for South Korea is 8, which means the information is for the most part adequate and fairly detailed; Accessibility is not a problem. According to the rating agency S&P, South Korea has a credit rating of AA- and the prospects for this rating are stable. According to the rating agency Fitch, South Korea has a credit rating of AA- and the outlook for this rating is stable. According to the rating agency Moody's, South Korea has a credit rating of Aa3 and the outlook for this rating is positive.


Central bank
In South Korea, the institution that manages the state's currency, money supply and interest rates is called the Bank of Korea. The local central bank of South Korea is called 한국 은행. The average deposit rate of the local banks in South Korea is 2.5%.


National debt
South Korea has a national debt of 17.36% of the country's gross domestic product (GDP) as assessed in 2014.


Tax information
Corporate income tax in South Korea is 24.2%. Income tax ranges from 6% to 38%, depending on your specific situation and income. The VAT in South Korea is 10%.



The total gross domestic product (GDP), valued as purchasing power parity (PPP), is $ 1783,950 billion in South Korea. The gross domestic product (GDP) valued as purchasing power parity (PPP) per capita in South Korea was most recently 35 million US dollars. PPP in South Korea is considered below average compared to other countries. A below-average PPP indicates that citizens in this country are finding it difficult to buy local goods. Local goods can include groceries, shelter, clothing, health care, personal hygiene, essential home furnishings, transportation and communications, laundry, and various types of insurance. Countries with below average PPPs are dangerous places to invest. The total gross domestic product (GDP) in South Korea is 1.304.554 billion. Based on these statistics, South Korea is considered a large economy. Countries with large economies support a wide variety of industries and companies and offer numerous investment opportunities. Large economies support a sizable financial sector, which makes it easy to organize investments and financial transactions. It should be very easy to find good investment opportunities in South Korea. The gross domestic product (GDP) per capita in South Korea was last measured at 25 million US dollars. The average citizen in South Korea has very little wealth. Countries with very low per capita wealth often have a lower life expectancy and a dramatically lower quality of life for their citizens. In countries with very low wealth, it can be very difficult to find a highly skilled workforce as it is difficult for citizens to get the education needed to specialize in industries. However, compared to countries with higher wealth per capita, workers can be found at very low prices. The annual GDP growth rate in South Korea averaged 3.5% in 2014. Accordingly, South Korea is currently experiencing modest growth.


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