South Korea: Inflation: percent change in the Consumer Price Index, 1960 - 2020:
For that indicator, we provide data for South Korea from 1960 to 2020. The average value for South Korea during that period was 7.8 percent with a minimum of 0.4 percent in 2019 and a maximum of 29.5 percent in 1964.
The latest value from 2020 is 0.5 percent. For comparison, the world average in 2020 based on 138
countries is 4.5 percent.
See the global rankings for that indicator or
use the country comparator to compare trends over time.
Inflation in South Korea and other countries is usually calculated as the percent change in the Consumer Price Index (CPI) from one year to the next. The CPI represents the prices paid by the average urban consumer in each respective country. Inflation can also be calculated with other price indexes such as the Produce Price Index or the so-called GDP deflator.
Most countries try to keep inflation somewhere around 2-3 percent per year. That is too low to cause any problems for the businesses and households. At the same time, it is comfortably away from negative inflation, i.e. from deflation. Of course, this target is often missed.
Definition: Inflation as measured by the consumer price index reflects the annual percentage change in the cost to the average consumer of acquiring a basket of goods and services that may be fixed or changed at specified intervals, such as yearly. The Laspeyres formula is generally used.