Overview

• GDP fell by 0.2% from the previous quarter, missing the expected 0.1% growth.
• Consumer spending and construction investment both declined, while exports saw a modest increase.
• The Bank of Korea has maintained its key interest rate at 3.50% for the 12th consecutive meeting.
• Economists are divided on whether the central bank will cut rates in August or October.
• Strong AI-driven export growth, particularly in semiconductors, is expected to support future economic recovery.