South Korea Inflation Rate Tempered in December, and in 2025

South Korea's inflation rate continue to moderate in December, and for 2025 as a whole, the Ministry of Data and Statistics (MDS) reported on Wednesday.

The nation's consumer price index (CPI) in December rose 2.3% from year earlier, and gained 0.3% from November, the MDS reported.

For the full year 2025, the CPI logged up 2.1% on year, after a 2.3% on-year rise in 2024.

South Korea's consumer price trend has been on a long-term disinflationary pathway. In 2022, in the pandemic era, South Korea's CPI rose 5.1% on year, but in each year since inflation has cooled.

South Korea's CPI-core index, which strips out volatile food and energy bills, rose 2% on year in December, and 0.2% from November, according to the MDS.

The Bank of Korea, like many other central banks, has a 2% annual target on the nation's CPI.

In December, South Korean consumers still faced rising food and non-alcoholic beverage price gains, which rose 3.6% on year. Somewhat in contrast, health care bills rose only 1% on year in December, according to official figures.

In mid-December, the Bank of Korea forecast the nation would experience a 2.1% consumer inflation rate in 2026, essentially a replay of the 2025 price picture.