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South Korea's Overseas Spending Hits Record High Amid Travel Boom

South Koreans set a new record for overseas card spending last quarter. The surge was driven by increased travel during the summer vacation period. Interestingly, overseas online shopping remained relatively stable while physical travel spending soared. This trend reflects growing consumer confidence and pent-up travel demand post-pandemic.

Key Points: South Korea Overseas Card Spending Hits Record Q3 High

  • Overseas card spending reached $5.93 billion, up 7.3% from previous quarter
  • Outbound travelers increased 4.8% to 7.09 million in third quarter
  • Overseas online shopping edged down 1.2% to $1.53 billion
  • Credit and debit card spending both increased over 7% during cited period
2 min read

Overseas card spending in S. Korea hits record high in Q3 on rising travel demand

South Koreans spent record $5.93 billion overseas in Q3 2024, driven by summer travel demand while online shopping remained stable, BOK data shows.

"The increase was mainly attributable to higher demand for overseas travel during the summer vacation period - BOK Official"

Seoul, Nov 25

South Koreans' overseas card spending reached an all-time high in the third quarter, driven by increased overseas travel during the summer holiday period, data showed on Tuesday.

Overseas credit and debit card spending reached a record $5.93 billion in the July-September period, up 7.3 per cent from the previous quarter, according to data from the Bank of Korea (BOK), reports Yonhap news agency.

The previous record was $5.71 billion in the third quarter of 2024.

"The increase was mainly attributable to higher demand for overseas travel during the summer vacation period, while transactions from overseas online shopping remained at a similar level to the previous quarter," a BOK official said.

Government data showed that the number of outbound travelers rose 4.8 per cent on-quarter to 7.09 million in the third quarter, while overseas online shopping made with credit cards edged down 1.2 per cent to $1.53 billion.

By card type, spending with credit cards and debit cards increased 7.4 per cent and 7.3 per cent on-quarter, respectively, during the cited period.

Meanwhile, non-residents' card spending in South Korea reached $3.76 billion in the third quarter, slightly below the $3.79 billion posted in the second quarter when the figure hit a record high.

Meanwhile, South Korean stocks traded higher late Tuesday morning as investors were boosted by revived hopes for a rate cut in the United States.

The benchmark Korea Composite Stock Price Index (KOSPI) had added 36.91 points, or 0.96 per cent, to 3,882.97 as of 11:20 a.m.

Overnight, some dovish comments from Fed members and eased concerns over inflated AI valuation pushed up major U.S. stocks.

The Dow Jones Industrial Average rose 0.44 per cent, and the Nasdaq Composite jumped 2.69 per cent.

In Seoul, tech and defense shares led the upbeat mode.

- IANS

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Reader Comments

R
Rohit P
$5.93 billion in just one quarter! That's massive spending. Makes me wonder how much Indians spend abroad during holiday seasons. Our tourism numbers have been growing too.
A
Arjun K
Good to see travel recovering globally. After COVID, people are making up for lost time. Hope our Indian travelers are also enjoying safe and memorable trips abroad.
S
Sarah B
While international travel is great, I wish more people would explore our own incredible country. India has so much to offer - from Kashmir to Kanyakumari! 🇮🇳
V
Vikram M
The economic implications are interesting. When Indians travel abroad, we're spending foreign exchange. But tourism within India helps our own economy. Balance is key.
M
Michael C
Summer vacations driving this trend makes sense. Similar pattern in India - people love traveling during school breaks. The travel industry must be booming!

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