Last year, per capita gross national income of ‘31,755 dollars’… Decrease for 2 consecutive years

Last year, per capita gross national income (GNI) declined for the second consecutive year. The real gross domestic product (GDP) growth rate reached the lowest level since the financial crisis.

According to the ‘4th Quarter of 2020 and Annual National Income (provisional)’ released by the Bank of Korea on the 4th, last year’s per capita gross national income (GNI) was $31,755, a decrease of 1.1% from the previous year.

Gross national income per capita declined last year following 2019.

GNI per capita is an indicator of the average living standard of a country’s citizens. The nominal gross national income is divided by the population estimated by the National Statistical Office and calculated by reflecting the won-dollar exchange rate. Korea entered the 30,000 dollar level for the first time at 31,734 dollars in 2017. It increased to $33,564 in 2018, but decreased again in 2019.

In addition, last year’s real gross domestic product (GDP) recorded -1.0%. It is the lowest level since it recorded -5.1% during the 1998 financial crisis.

Last year, the decline in the construction industry (-0.9%) slowed. However, the manufacturing sector (-0.9%) and the service sector (-1.1%) declined, driving down GDP.

By expenditure category, government consumption continued to increase to 4.9%, and facility investment increased by 6.8%. Private consumption and exports declined to -4.9% and -2.5%, respectively.

The total savings rate was 35.8%, up 1.2%p from the previous year, and the total domestic investment rate rose 0.2%p to 31.4% from the previous year.