South Korea’s annual inflation rate slowed to 2.8% in July 2026, marking the softest increase since April and down from 3.2% in the previous month, which was the fastest pace since December 2023. The latest reading was below market expectations of 3.0%, though it remained above the central bank’s 2% target. Transport inflation eased (7.7% vs 11.1% in June), as the impact of rises in diesel and gasoline prices started to fade. Food and non-alcoholic beverages inflation also moderated to a three-month low (0.9% vs 2.0%), as did alcoholic beverages and tobacco (0.2% vs 0.5%). By contrast, inflation accelerated for housing and utilities (1.8% vs 1.7%), clothing and footwear (2.8% vs 2.6%), recreation and culture (5.5% vs 5.4%), and restaurants and hotels (2.8% vs 2.7%). On a monthly basis, consumer prices unexpectedly fell 0.2%, compared with market forecasts of a 0.1% rise, marking the first monthly decline since November 2025, due to lower transport, food, and housing prices. source: Statistics Korea

Inflation Rate in South Korea decreased to 2.80 percent in July from 3.20 percent in June of 2026. Inflation Rate in South Korea averaged 6.69 percent from 1966 until 2026, reaching an all time high of 32.50 percent in October of 1980 and a record low of -0.40 percent in September of 2019. This page provides the latest reported value for - South Korea Inflation Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. South Korea Inflation Rate - data, historical chart, forecasts and calendar of releases - was last updated on August of 2026.

Inflation Rate in South Korea decreased to 2.80 percent in July from 3.20 percent in June of 2026. Inflation Rate in South Korea is expected to be 3.30 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the South Korea Inflation Rate is projected to trend around 2.20 percent in 2027 and 2.00 percent in 2028, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-07-01 11:00 PM
Inflation Rate YoY
Jun 3.2% 3.1% 3.2% 3.2%
2026-08-03 11:00 PM
Inflation Rate YoY
Jul 2.8% 3.2% 3.0% 3.3%
2026-09-01 11:00 PM
Inflation Rate YoY
Aug 2.8%


Related Last Previous Unit Reference
CPI 119.77 119.99 points Jul 2026
Core Consumer Prices 118.18 118.06 points Jul 2026
Core Inflation Rate 2.50 2.40 percent Jul 2026
CPI Clothing 119.71 119.52 points Jul 2026
CPI Education 110.27 110.15 points Jul 2026
CPI Food 126.94 127.27 points Jul 2026
CPI Health 107.16 106.92 points Jul 2026
CPI Housing Utilities 117.29 118.55 points Jul 2026
CPI Recreation and Culture 116.27 115.44 points Jul 2026
CPI Restaurants and Hotels 128.61 127.70 points Jul 2026
CPI Transportation 124.73 126.82 points Jul 2026
Food Inflation 0.90 2.00 percent Jul 2026
Inflation Rate YoY 2.80 3.20 percent Jul 2026
Inflation Rate MoM -0.20 0.10 percent Jul 2026


South Korea Inflation Rate
In South Korea, the most important categories in the Consumer Price Index are: Housing, Water, Electricity, Gas & Other Fuels (17% of the total weight) and Food & Non-alcoholic Beverages (15%). The index also includes: Restaurants & Hotels (13%), Alcoholic Beverages & Tobacco (10%), Education (11%), Health (9%), and Recreation & Culture (6%). The components with the least weights are Miscellaneous Goods & Services at 5.42%, Furnishings, Household Equipment & Routine Maintenance at 5.39%, and Clothing & Footwear at 4.86%.
Actual Previous Highest Lowest Dates Unit Frequency
2.80 3.20 32.50 -0.40 1966 - 2026 percent Monthly
NSA

News Stream
South Korea Inflation Rate at 3-Month Low of 2.8%
South Korea’s annual inflation rate slowed to 2.8% in July 2026, marking the softest increase since April and down from 3.2% in the previous month, which was the fastest pace since December 2023. The latest reading was below market expectations of 3.0%, though it remained above the central bank’s 2% target. Transport inflation eased (7.7% vs 11.1% in June), as the impact of rises in diesel and gasoline prices started to fade. Food and non-alcoholic beverages inflation also moderated to a three-month low (0.9% vs 2.0%), as did alcoholic beverages and tobacco (0.2% vs 0.5%). By contrast, inflation accelerated for housing and utilities (1.8% vs 1.7%), clothing and footwear (2.8% vs 2.6%), recreation and culture (5.5% vs 5.4%), and restaurants and hotels (2.8% vs 2.7%). On a monthly basis, consumer prices unexpectedly fell 0.2%, compared with market forecasts of a 0.1% rise, marking the first monthly decline since November 2025, due to lower transport, food, and housing prices.
2026-08-03
South Korea Ramps Up Inflation Fight Amid Middle East Uncertainty
South Korea will step up efforts to rein in inflation as renewed Middle East tensions threaten to lift oil prices and disrupt supply chains. Finance Minister Koo Yun-cheol said authorities remain alert to external risks and aim to bring consumer inflation, which has held above 3% in recent months, back to the 2% range by July. Prices rose 3.2% yoy in June, the fastest pace since December 2023. Koo added that detailed measures to curb unfair market practices and bolster price-stabilization policies will be unveiled next month. Planned revisions to the Price Stabilization Act, expected in August, would toughen penalties for hoarding and allow earlier disposal of seized goods. The government also pledged to ensure expanded tariff-rate quota programs feed through to lower consumer prices in the second half, reinforcing efforts to ease inflationary pressures.
2026-07-24
South Korea Inflation Hits 30-Month High
South Korea’s annual inflation rate accelerated to 3.2% in June 2026, marking the fastest pace since December 2023 and up from 3.1% in the previous month. The latest reading was in line with market expectations and climbed further above the central bank’s 2% target, reflecting accumulated increases in raw-material costs and a weaker won that continue to feed through the economy. Transport costs led the price gains (11.1% vs 11.6% in May), driven by higher prices for petroleum products. Prices also increased for food and non-alcoholic beverages (2% vs 1.6% in May), alcoholic beverages and tobacco (0.5% vs 0.3%), and recreation and culture (5.4% vs 5%), while inflation remained steady for restaurants and hotels (at 2.7%). In contrast, inflation moderated for clothing and footwear (2.6% vs 2.8%) and housing and utilities (1.7% vs 1.8%). On a monthly basis, consumer prices edged up by 0.1%, matching estimates, marking the softest rise since April 2025 and slowing from a 0.5% gain in May.
2026-07-01