For that indicator, we provide data for South Korea from 1960 to 2021. The average value for South Korea during that period was 30.27 percent with a minimum of 10.52 percent in 1960 and a maximum of 41.23 percent in 1991.
The latest value from 2021 is 32.09 percent. For comparison, the world average in 2021 based on 153
countries is 24.18 percent.
See the global rankings for that indicator or
use the country comparator to compare trends over time.
The capital investment in South Korea and other countries is calculated as the purchases of new plant and equipment by firms, as percent of GDP. A high number is good for long-term economic growth as current investment leads to greater future production.
Definition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation.