South Korea’s annual consumer inflation eased to 2.9% in September, helped by lower agricultural prices and government measures to contain domestic fuel costs, official data showed on Friday.
The Consumer Price Index rose 2.9% from a year earlier, down from the 3.1% increase recorded in August and in line with the median forecast of economists polled by Reuters.
On a monthly basis, consumer prices increased 0.3%, accelerating slightly from the 0.2% rise recorded in August.
The Ministry of Data and Statistics said agricultural, livestock and fisheries prices fell 0.3% year-on-year, marking a second consecutive monthly decline.
The finance ministry attributed part of the moderation to government measures ahead of the Chuseok holiday, including price controls on domestic petroleum products.
“Agricultural, livestock, and fisheries prices fell year-on-year for a second consecutive month, supported by targeted government measures ahead of the Chuseok holiday,” it said in a statement.
Despite the easing in headline inflation, import-related costs remained elevated. Industrial product prices rose 4.2% year-on-year, driven by an 11.8% increase in petroleum products.
Diesel prices surged 20%, while transport costs rose 7.7%. Restaurant and hotel prices increased 2.8% from a year earlier.
Reuters
