Understanding the Rise in Consumer Prices

In a recent announcement, Kim Woong, deputy governor of the Bank of Korea, highlighted the primary drivers behind the March inflation surge. Processed food prices and university tuition fees were identified as the main contributors to this upward trend.

Future Inflation Outlook

Kim provided insights into the future, stating, "Consumer price inflation is expected to stabilize around the 2% target." He also mentioned that core inflation would continue to rise at a high 1% level, with various factors balancing each other out.

Monitoring Economic Indicators

With uncertainties surrounding exchange rates, oil prices, and domestic consumption trends, Kim emphasized the importance of vigilant monitoring to anticipate future inflation developments.

According to the latest Statistics Korea’s March Consumer Price Trends report, the consumer price index (CPI) reached 116.29 last month, a 2.1% increase from the previous year.