Photo : KBS News
South Korea’s public account deficit contracted by more than 12 trillion won, or around nine billion U.S. dollars, to some 46 trillion won in 2023 from a year earlier.
According to preliminary data from the Bank of Korea on Tuesday, the deficit came to 46-point-four trillion won last year, down 12-point-three trillion won year over year.
The shortfall in the public sector continued for the fourth straight year due to reduced tax revenue amid worsening economic conditions at home and abroad.
While total income fell one percent year over year to one-point-106 quadrillion won, total spending dropped two percent to one-thousand-153 quadrillion won, reflecting a decline in COVID-19 subsidies and expenditures by public companies.
Meanwhile, the general public account deficit, for the central and local governments combined, increased from 200 billion won in 2022 to 17 trillion won in 2023.
Municipal governments saw their total income plunge from a 37-point-one-trillion won surplus to a 300-billion won deficit.