Spending on living necessities grows fastest in 2-years

SEOUL, Nov. 1 (Yonhap) -- South Koreans' spending on basic living necessities
grew at the fastest pace in nearly two years in September as a
better-than-expected economic recovery encouraged consumers to open wallets, data
showed Sunday.
According to the data by the Ministry of Strategy and Finance, and Statistics
Korea, the local consumption of foods, clothing, and housing increased 6.7
percent in September from a year earlier, the fastest clip since October in 2007.

The September reading marked a sharp turnaround from December last year when the
consumption data posted a 7 percent on-year decline, the worst contraction since
1997, the data showed.
The consumption rebound in September came as the ongoing economic recovery eased
shoppers' jitters over income decline and unemployment.
"People's confidence on spending is seen to be gaining ground since the second
quarter as an economic recovery gained traction," a ministry official said.
The South Korean economy expanded 2.9 percent in the July-September period from
three months earlier, the fastest pace in more than seven years.
The Bank of Korea's index for consumer confidence soared to the highest level in
more than seven years in October after upbeat economic data at home and abroad
boosted recovery optimism.
pbr@yna.co.kr
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