Seoul, July 30.- South Korea's industrial production rose 0.6 percent in June over the same month last year, a fact that raises expectations of economic recovery after apparent slowdown, reported today the Statistical Office of Seoul.
The indicator includes the production of manufacturing industries, mining and energy of Asiatic country progressed from May by 2.9 percent, the highest figure in nearly five years, which also marks the return to positive territory after falling the previous month.
The output of the services sector in South Korea in June recorded a growth of 2.2 percent over the same month of 2013 and rose 1.6 percent from May.
Progress in industrial production in the fourth largest economy in Asia responds to the rise of the manufacturing sector, which grew 3 percent annual.
Production of semiconductors and related parts in June grew 11.2 percent annual, while the metal processing industry grew by 5.9 percent.
On the other side, production of oil refineries fell 4.5 percent and machinery and equipment fell 2.6 percent.
Consumption, meanwhile, seems to recover timidly after suffering a sharp drop by widespread shock following the sinking of the ferry Sewol in April, which left 304 dead.
Thus, retail sales rose 0.3 percent in June compared to May.
The South Korean government last week introduced a special budget of 40.7 trillion won (29,390 million Euros, 39,550 million dollars) among the remainder of the year and 2015 to combat the apparent slowdown in the economy and encourage consumption.
The decision came after the Bank of Korea (BOK) cut its growth forecast for 2014 by a tenth to 3.7 percent. EFE
