South Korea's Economy Contracts 0.3% in Q4 2025, Missing Forecasts
South Korea's economy shrank 0.3% in Q4 2025, the largest decline in three years, missing the 0.1% growth forecast. Annual growth hit a low of 1.0%.
Insights:
South Korea's economy contracted by 0.3% in the fourth quarter of 2025 on a seasonally adjusted basis, marking the largest quarterly decline in three years. This contraction fell short of median economist expectations for a 0.1% growth, highlighting a significant reversal from the strong 1.3% expansion recorded in the third quarter of 2025, which was the sharpest in nearly four years.
