2014.04.2320:45:00UTC+00South Korea GDP Climbs 0.9% In Q1

South Korea's gross domestic product expanded 0.9 percent on quarter in the first quarter of 2014, the Bank of Korea said in Thursday's advance estimate.

That beat forecasts for an increase of 0.8 percent, and it was unchanged from the previous quarter.

Real gross domestic income increased by 0.7 percent on quarter.

On the expenditure side, private consumption expanded 0.3 percent as expenditures on durables such as automobiles and on services increased, the bank said. Construction investment grew by 4.8 percent, due to growth in residential building construction.

Facilities investment fell by 1.3 percent, despite an increase in transport equipment investment, as machinery investment dropped.

Intellectual property products investment spiked 7.5 percent, centering around private sector R&D investment.

Exports added 1.7 percent, with increases in exports of electrical & electronic devices and petrochemical products. However, imports fell by 0.5 percent due to decreases in imports of machinery and chemical products.

On the production side, agriculture, forestry & fishing dropped 4.3 percent mainly due to a decrease in the number of hogs and beef cattle raised, the bank said.

Manufacturing rose by 2.1 percent, with increased production of electrical & electronic devices, metal goods and petrochemical products.

Electricity, gas & water supply contracted by 4.5 percent, as demand for heating decreased owing to warm weather.

Construction rose by 1.4 percent, centering on growth in residential building construction.

Services gained 0.6 percent, as transport & storage and health & social work increased, despite declines in restaurants & hotels.

On a yearly basis, GDP was up 3.9 percent - matching estimates and rising from 3.7 percent in the three months prior.