South Korea's consumer prices rose 2.4 percent year-on-year in November, exceeding the Bank of Korea's 2 percent target for the third consecutive month. The increase was driven by sharp rises in agricultural, livestock, fishery products and petroleum prices, with core inflation climbing to 2.9 percent. The central bank pledged to closely monitor price trends amid rising living costs.
According to data from the Ministry of Data and Statistics, South Korea's consumer prices increased 2.4 percent from a year earlier in November 2025. This marks the third consecutive month above the Bank of Korea's 2 percent target, following rises in September and October. Earlier in the year, inflation stayed above 2 percent for four months through April, slowed to 1.9 percent in May, rose again in June and July, dipped to 1.7 percent in August, and climbed back over 2 percent in September and October.
The ministry attributed the November surge mainly to a 5.6 percent jump in agricultural, livestock, and fishery product prices, which added 0.42 percentage points to overall inflation. Petroleum product prices rose 5.9 percent, exerting further upward pressure despite declining global oil prices, due to reduced fuel tax cuts and a strong U.S. dollar. Industrial goods prices increased 2.3 percent, while electricity, gas, and water rates went up 0.4 percent. Processed food prices jumped 3.3 percent, continuing to burden prices tied to daily livelihoods.
Core inflation, excluding volatile food and energy, rose 2.9 percent year-on-year, the highest since July 2024 when it hit 3 percent. Bank of Korea Deputy Governor Kim Woong stated, "November's price increase was driven by higher petroleum product prices due to the weak currency and a sharp rise in prices of agricultural, livestock and fishery products. But core inflation eased amid falling service prices." He added that the bank would maintain heightened vigilance on inflation trends, particularly the impact of the won-dollar exchange rate, as living costs have risen. The Korean won has traded below the key 1,450-won level against the dollar recently, influenced by local investors' U.S. stock purchases and foreign equity selling.