Korea Racks Up 30 Months of Trade Surplus

Korea achieved a current account surplus for the 30th straight month in August. The Bank of Korea on Monday said the August current account surplus totaled US$7.27 billion.

This comes closer to the record for consecutive current account surpluses of 38 months starting in June 1986.

A spokesman for the Ministry of Strategy and Finance said, "If there are no major fluctuations in the global economy, it is likely that a new record will be set."

The accumulated surplus for the first eight months of this year totals $54.3 billion, with the annual total projected at $84 billion, which should beat the record of $70.7 billion last year.

But analysts point out that the surplus is largely due to a drop in imports as domestic consumption remains lackluster.

In August, both exports and imports dropped compared to the previous month and on-year and imports much more sharply.

The ministry is analyzing the impact of the weak Japanese yen on the Korean economy. The exchange rate stands at W950 per 100 yen, the lowest in six years.