Bank of Korea Holds 2026 Q2 National Income (Provisional) Briefing
The Bank of Korea announced on September 8 that South Korea’s per capita Gross National Income (GNI) is highly likely to reach 40,000 dollars this year, thanks to robust economic performance driven by strong semiconductor exports and currency stabilization.
Kim Hwayong, Director of the National Income Statistics Division 2 at the Bank of Korea, stated at the “2026 Q2 National Income (Provisional) Briefing” that the possibility of achieving a per capita GNI of 40,000 dollars this year has increased significantly. He explained, “If the annual nominal GNI growth rate maintains its current level and the exchange rate remains stable, the per capita GNI is highly likely to exceed 40,000 dollars this year.”
Per capita GNI, which represents the total income earned by the nation both domestically and abroad divided by the population, surpassed 30,000 dollars in 2014 and has remained in the 30,000-dollar range for 12 consecutive years.
According to the “2026 Q2 National Income (Provisional)” report published by the Bank of Korea on the same day, the nominal GNI growth rate in the first half of this year stood at 21.8% compared to the same period last year.
Increases in export volumes and prices for key items such as semiconductors contributed to a surge in corporate operating profits, boosting both nominal Gross Domestic Product (GDP) and nominal GNI growth.
The nominal GDP growth rate for the second quarter was 26.4% year-on-year, marking the highest level in 47 years since the third quarter of 1979 (27.7%). This was due to a sharp jump in the GDP deflator, which rose from 12.9% in the first quarter to 21.9% in the second quarter, driven primarily by semiconductor exports.
Kim noted, “The expansion of nominal GDP growth is reflected in the increase in gross operating surplus and is expected to lead to higher government and household incomes. From the second half of the year, distributions from corporate income to government and households—such as interim corporate tax prepayments and Samsung Electronics’ cash dividends—are expected to become increasingly visible. As household income continues to rise, this is expected to translate into increased private consumption with a time lag.”
The total savings rate in the second quarter reached 45.6%, an increase of 3.9 percentage points from the previous quarter, setting an all-time high since the statistics began to be compiled in 1970. This was driven by a higher increase in gross national disposable income (up 8.9%) compared to the growth in final consumption expenditure (up 1.6%).
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Kim added, “Although corporate income is expected to continue increasing going forward, as household incomes rise and accumulated savings are used, consumption is likely to expand further, serving as an additional driver of demand.”
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