South Korea's economy grew at a faster-than-expected pace in the final quarter of 2021, notching the strongest annual growth in 11 years and continuing its recovery from the pandemic-induced slump.
Gross domestic product grew 1.1% during the October-December period from the prior quarter, following a 0.3% expansion during the third quarter, showed preliminary Bank of Korea data on Tuesday.
The latest reading--beating a market forecast of 0.9%--showed that exports remained strong on brisk demand for computer chips and petroleum products while private consumption and construction investment swung to expansion.
Year-on-year, the economy expanded 4.1% in the fourth quarter following the prior quarter's a 4.0% growth.
The market forecast was for a 3.7% expansion in the final quarter.
For the full year of 2021, the economy grew 4.0%--the strongest annual performance since 2010--as projected by the Bank of Korea. It followed the 0.9% contraction in 2020--the worst annual performance since the height of the Asian financial crisis in 1998.
The Bank of Korea expects the economy to continue to recover and expand 3.0% in 2022.
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