South Korea business sentiment hits over 4-year high in October

Key facts

• Business sentiment in South Korea reached its highest level in over four years in October.
• The Composite Business Sentiment Index (CBSI) for all industries stood at 104.2 in October.
• Manufacturing sentiment climbed to 105.6, the highest since June 2022.
• Non-manufacturing sentiment reached 103.2, the highest since September 2022.
• A strengthening Korean won helped ease the financial burden of purchasing imported raw materials.

South Korea's business sentiment reached its highest level in over four years in October, driven by strong confidence in manufacturing and an improved outlook in nonmanufacturing sectors, according to a Bank of Korea survey. The Composite Business Sentiment Index (CBSI) for all industries rose 5.1 points from the previous month to 104.2, marking the highest reading since August 2022. Increased investment and production in key sectors like semiconductors, automobiles, and shipbuilding boosted related industries, while a strengthening Korean won helped ease the financial burden of importing raw materials.