South Korea records lowest economic results in more than 20 years. The central bank said in the second quarter that South Korea ‘s economy. But was in its poorest economic results in more than 20 years. As the Coronavirus Pandemic battered its exports.
South Korea experienced one of the worst early records of the Coronavirus outbreaks. And although it never enforced a mandatory lock down. Hence tight social intervals were commonly observed from March to May.
The central bank said on Thursday, after decreasing 1.3 percent in the previous quarter. And even worse than a 2.3 percent fall expected in the Reuters survey. Moreover, the GDP had declined 3.3 percent in the June-quarter, the worst showing in more than 20 years.
In Q2, exports decreased by 13.6 per cent annually, the sharpest fall since 1974 in the wake of the crisis over OPEC crude. This country was strongly commercial-dependent.
South Korea Shatters In Economic Crisis
The fourth largest Asian economy shrank by 2.9% in April and June a year ago and dramatically reversed a rise of 1.4% three months earlier and more quickly than was projected to fall by 2.0%.
The decline was driven by “decreases in motor vehicles and coal & petroleum products”, the Bank of Korea stated.
In May the BOK expects a 0.2% drop in the economy by 2020. Also a drastic decrease in its 2.1% rise in February projection.
Yet his Governor Lee Ju-yeol said a further downward adjustment of the clause last week was ‘inevitable’. And that decreases in exports was “deeper than previously expected.”
The COVID-19 pandemic has advanced at an unprecedented pace. And caused millions of citizens to become infected and economic activity to fall to a halt. As countries have placed limited travel to stop the virus spread.
As health and human tolls rise, global disruption is already apparent. And reflects the biggest economic impact the world has witnessed in decades.
