Korea’s per capita GNI likely to surpass $40,000 this year, central bank predicts

Korea's economy is expected to experience strong growth in 2026, with nominal GDP likely to surpass $40,000 per capita, according to predictions from the Bank of Korea (BOK). The second quarter saw a remarkable 26.4% surge in nominal GDP, the fastest growth in 47 years, primarily due to a boom in semiconductor exports.

Kim Hwa-yong, director of the national income division at the BOK, attributes the growth to increased profitability, particularly in semiconductor businesses, which led to higher operating profits and consequently, increased government and household income.

The data showed a 3.1% increase in real GNI from the previous quarter and a 15.6% rise from the same period in 2025, marking the highest year-on-year increase since 1988. This growth was mainly driven by improved trade conditions for the semiconductor sector, with export prices exceeding import costs.

Savings increased by 3.9 percentage points to 45.6%, the highest level since 1970, with the BOK attributing this to higher national disposable income exceeding final consumption expenditures. The bank forecasts Korea could achieve an economic growth rate of 3.3% and a per capita national income of US$40,000 if current trends persist.