South Korean Business Sentiment Remains Low Amid Global Economic Slowdown

SEOUL – In South Korea, business sentiment for February continues to be subdued due to ongoing concerns about the global economic slowdown, as indicated by a recent poll.

According to Yonhap News Agency, the business survey index (BSI) for the country's top 600 companies by sales was recorded at 92.3 for February. This figure, up 1.2 points from the previous month, still suggests a predominance of pessimism in the business sector. A BSI reading below 100 indicates that pessimists outnumber optimists. Notably, the index has stayed below the 100 mark for 23 consecutive months.

The BSI for the manufacturing industry was reported at 91.7 for November, while the nonmanufacturing sector's index reached 92.9. The FKI, which represents South Korea's major family-controlled conglomerates, attributed the weak sentiment in February to factors such as sluggish sales, growing inventories among manufacturers, and resultant financial difficulties.

An FKI official emphasized the need for financial support measures for industries facing these challenges. The official also highlighted the importance of stimulating domestic spending and exports to rejuvenate the South Korean economy.

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