08.06.202623:04:37UTC+00South Korea Q1 GDP Growth Revised Up to 1.8%

South Korea’s economy grew by 1.8% quarter-on-quarter in Q1 2026, beating the preliminary estimate of 1.7% and rebounding from a downwardly revised 0.1% contraction in Q4 2025. This was the strongest quarterly GDP growth since the first quarter of 2021, underpinned by robust exports and resilient domestic demand. Exports increased by 5.9%, led by IT products such as semiconductors, while imports rose at a more moderate pace of 3.9%. Private consumption expanded by 0.6%, supported by stronger spending on both goods and services, whereas government consumption declined by 0.4%. Construction investment rose by 1.4%, reflecting gains in both building construction and civil engineering. Facilities investment surged 6.6%, driven by higher spending on machinery and transportation equipment. On an annual basis, the economy grew 3.8% in Q1, above the initial estimate of 3.6% and accelerating from 1.6% in Q4 2025, marking the fastest pace of growth since the fourth quarter of 2021.