S. Korean economy grows 0.5 pct in Q3

SEOUL, Dec. 2 (Yonhap) -- The South Korean economy expanded slower than earlier estimated in the third quarter, as exports remained brisk amid sluggish domestic demand, the central bank said Tuesday.

The country's gross domestic product (GDP) expanded a revised 0.5 percent
on-quarter in the July-September period, slightly lower than an earlier 0.6
percent estimate, according to a report by the Bank of Korea (BOK).
Compared with a year earlier, Asia's fourth-largest economy grew a revised 3.8
percent, also lower than an earlier 3.9 percent estimate, the bank said.
GDP, the broadest measure of an economy's performance, is the total value of
goods and services produced within the economy in a given period.
Exports of goods, which account for more than half of the country's GDP, fell 2.1
percent on-quarter. Private spending, one of the main growth engines of the South
Korean economy, edged up 0.1 percent from the preceding quarter.
Facility investment gained 2.1 percent from the previous quarter, according to
the central bank.
Economists said the weak growth readings could provide room for the BOK to reduce
its key rates next week's rate-setting meeting.
Asia's fourth-largest economy is faltering as the global recession reduces its
overseas sales. South Korea is pumping funds into its financial system, cutting
taxes, boosting public spending and slashing interest rates to support its $970
billion economy as overseas shipments falter.
Exports fell by the most in almost seven years in November, a government report
showed on Monday. Shipments to China, the nation's biggest overseas market,
tumbled 27.8 percent.