4 months of sluggish economy… “Consumption reduction through distance”
Manufacturing industry is recovering… “Improved flow will lead”
[세종=뉴스핌] Reporter Min Gyeong-ha = The Korea Development Institute (KDI) recently diagnosed that the Korean economy is suffering from an economic slowdown due to the re-proliferation of Corona 19.
On the 8th, KDI evaluated through the’Economic Trends of January 2021′, “Recently, despite the recovery trend in the manufacturing industry, the economy continues to slump mainly in the service industry as Corona 19 rapidly re-spreads in Korea.” . For the 4th month since October last year, the expression’economic sluggish’ has been used.
All industrial production in November of last year decreased by 0.6% from the same period last year as the number of working days (-0.5 days) decreased and Corona 19 re-proliferated. In the manufacturing industry, durable goods consumption, facility investment, and product exports continued to increase, and while the service industry continued to recover, it is judged that the sluggishness of the service industry is intensifying.
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| Corona 19 Spread Time and Credit Card Sales [자료=KDI] 2021.01.08 [email protected] |
Mining industry production increased by 0.5% from the same period last year, increasing mainly in semiconductors (8.5%) and machinery equipment (8.3%). The manufacturing industry’s average utilization rate was 73.8%, exceeding the previous year’s average (73.2%). Shipments (1.2%) increased and inventory rates (107.4%) decreased.
The service industry production declined 1.4% from the same period last year due to the corona 19 effect. The lodging and restaurant businesses declined 17.3% from the same period last year, and the transportation and warehouse businesses also fell 11.1%.
The cyclical fluctuation of the coincident index, which shows the current economic situation, rose 0.5p from the previous month, to 98.8p, and the cyclical fluctuation of the leading index, which shows the future economic situation, also rose 0.7p to 102.5p.
KDI observed that despite the recovery of the manufacturing industry, the service industry’s sluggishness will intensify as the number of corona19 confirmed cases has soared since mid-November last year.
Regarding the future prospects, KDI said, “As quarantine measures such as ban on grouping of more than 5 people and restrictions on some service businesses are strengthened, credit card sales are rapidly decreasing.” It looks like economic uncertainty is expanding.”