South Korea recorded a travel account surplus of $220.5 million in May, marking the third straight month in positive territory as overseas visitor numbers continued to rise. The surplus followed a deficit of $820.2 million in the same month last year, according to the Korea Tourism Organization.
The country has maintained a surplus since March, ending a deficit streak that had lasted since March 2020. In May, travel income reached $2.58 billion, exceeding travel spending of $2.36 billion. Foreign visitors spent an average of $1,324 each in South Korea, while South Koreans traveling abroad spent an average of $1,007 per person.
Government data showed 1.95 million international visitors arrived in May, a 19.4% increase from a year earlier, while outbound travel by South Koreans declined 2.1% to 2.34 million. A tourism expert attributed the trend to the global popularity of Korean culture and a weaker won attracting visitors, while higher airfares linked to the Middle East conflict reduced overseas travel by South Koreans.
Separately, pension funds led by the National Pension Service became net buyers of South Korean stocks in July for the first time this year. Through July 24, they purchased a net 68.4 billion won (US$46.8 million) in KOSPI-listed shares after six consecutive months of net selling. During the first 17 trading sessions of July, the funds were net buyers on 11 days.