(LEAD) S. Korea logs current account surplus for 2nd month in Nov.

(LEAD) S. Korea logs current account surplus for 2nd month in Nov.
(ATTN: RECASTS lead, paras 2-4; UPDATES with economist's remarks in para 5; TRIMS
throughout)
By Kim Soo-yeon
SEOUL, Dec. 30 (Yonhap) -- South Korea posted a current account surplus for a
second month in November, the central bank said Tuesday, raising hopes it could
help ease downward pressure on the sliding local currency.

The current account surplus reached US$2.06 billion in November, down from a
revised record $4.75 billion surplus the previous month, the Bank of Korea (BOK)
said in a report. The surplus narrowed as a global economic slump dented exports.
In the first 11 months of this year, the country posted a current account
shortfall of $7.12 billion. The current account is the broadest measure of trade,
service and investment flows into and out of the country.
The surplus comes as the South Korean currency has declined about 28 percent to
the U.S. dollar so far this year. A cumulative shortfall of the current account,
coupled with rising overseas debt and sell-offs of local stocks by foreign
investors, has been putting downward pressure on the local currency.
"The narrowed surplus raised concerns over falling exports. A global recession
has spilled over into emerging markets and it may not be easy for South Korea to
post a large current account surplus next year as expected," said Jun Min-kyu, an
economist at Korea Investment & Securities Co.
The goods balance posted a surplus of $994.6 million in November, down from a
revised $2.63 billion surplus the previous month as exports sharply declined due
to the global recession while falling oil prices decreased imports.
Customs-cleared exports declined 19 percent year-on-year to $29 billion last
month and imports fell 14.9 percent to $28.9 billion.
The shortfall of the service account, which includes South Korean spending on
overseas trips, widened to $130 million in November, compared with a revised
$54.8 million a month earlier.
The capital account, which tracks cross-border investments, posted a net outflow
of $12.1 billion in November, down from a record net outflow of $24.8 billion a
month earlier.
The central bank said that the country is expected to log a current account
shortfall of $4.5 billion this year, marking the first annual shortfall in 11
years. But next year, the country's current account is expected to swing to the
black, reaching around $22 billion, it added.
sooyeon@yna.co.kr
(END)