In June, total industrial production, retail sales, and facility investment increased. In July, employment growth accelerated, while consumer price growth slowed from the previous month.

In June, output increased in industrial sector (up 6.4% m-o-m and up 5.8% y-o-y), services (up 0.7% m-o-m and up 5.3% y-o-y) and construction (up 4.1% m-o-m and down 4.0% y-o-y), resulting in an increase in total industrial production (up 2.3% m-o-m and up 4.2% y-o-y).

The cyclical indicator of the coincident composite index for June rose by 0.5 points and the cyclical indicator of the leading composite index increased by 0.9 points.

Facilities investment moved up (up 5.8% m-o-m and up 21.7% y-o-y) and retail sales also increased (up 2.7% m-o-m and up 4.2% y-o-y).

In July, the consumer sentiment index (CSI) rose by 0.2 points month-on-month to 106.8. The composite business sentiment index (CBSI) went up by 0.8 points to 98.5 and the CBSI outlook for August increased by 1.3 points to 96.5.

In July, exports climbed by 62.8 percent year-on-year, supported by strong exports of semiconductor, computers, and ships. Average daily exports rose by 69.6 percent in July compared to the same month of last year.

In July, the number of employed persons grew by 108,000 from a year earlier, and the unemployment rate increased by 0.2 percentage points to 2.6 percent.

In July, the year-on-year consumer price index (CPI) climbed by 2.8 percent, down from 3.2 percent last month, while the index excluding food and energy rose by 2.6 percent, the index excluding agricultural products and petroleum products rose by 2.5 percent, and the CPI for living necessities increased by 2.5 percent.

In July, stock prices fell, Korean Treasury Bond yields rose, and the Korean won strengthened against the U.S. dollar.

In July, both housing prices (up 0.35% m-o-m) and Jeonse (lump-sum deposits with no monthly payments) prices (up 0.38% m-o-m) climbed.

The Korean economy has recently shown stronger signs of recovery, with exports increasing sharply and domestic demand, including consumption, continuing to improve.

However, amid persistent uncertainty stemming from the conflict in the Middle East, pressures on livelihoods remain, including inflationary pressures from high oil prices and challenging employment conditions for vulnerable groups and sectors.

The global economy continues to grow at a moderate pace, but uncertainties surrounding the conflict in the Middle East and U.S. tariff measures persist.

The government plans to make every effort to minimize the impact of the Middle East conflict by ensuring stable supplies of key items, maintaining price stability and supporting people’s livelihoods, while swiftly implementing the Economic Growth Strategy for the Second Half of 2026 to address structural challenges, including a post-conflict strategy, measures to boost potential growth and efforts to address economic polarization.

■ Current Economic Trends
　Overview
　Economic Activity
　1. Gross Domestic Product
　2. Total Production and composite index of business indicators
　3. Private consumption
　4. Facility investment
　5. Construction investment
　6. Exports and imports
　7. Employment
　8. Prices
　9. Housing market

　Financial Markets
　1. Stock market
　2. Bond market
　3. Foreign exchange market
　4. Money market
　5. Official foreign reserves
　6. External debt

　Public Finance
　1. Fiscal balance
　2. National debt

■ Current Economic Trends
　1. Roadmap for KRW Internationalization
　2. 2026 Tax Revision Bill

■ Economic News Briefing
　1. Deputy Prime Minister Koo Meets with Uzbek Deputy Prime Minister Jamshid Khodjaev
　2. FX Soundness Council and TF for Korea’s Inclusion in the MSCI Developed Markets Index Convened
　3. Deputy Prime Minister Koo Shares Korea’s Economic Vision and Discuss Ways to Strengthen Cooperation with AMCHAM Korea