ID :
203409
Thu, 08/25/2011 - 07:36
Auther :
Shortlink :
https://oananews.org//node/203409
The shortlink copeid
Finance minister voices concern on faster price hikes
SEOUL, Aug. 25 (Yonhap) -- South Korea's consumer prices are expected to grow at a faster-than-expected pace in August as heavy rains caused price hikes of vegetables and other farm products, the nation's top economic policymaker said Thursday.
"Vegetable prices remain high in the wake of typhoons and prolonged heavy rains and gold prices are also on the rise," Finance Minister Bahk Jae-wan told a price stabilization meeting held in central Seoul. "It is worrisome that consumer prices for August will likely grow higher than expected."
South Korea's consumer prices, a major gauge of inflation, jumped 4.7 percent in July from a year earlier, quickening from the previous month's 4.4 percent gain.
This marked the seventh straight month that consumer prices have grown over the government's annual inflation target of 4 percent for this year.
Prices are likely to increase further in the run-up to Chuseok, one of the nation's biggest traditional holidays as demand for food will grow as people prepare special foods and buy presents for friends and relatives. Chuseok falls on Sept. 12 this year.
Last week, the finance minister unveiled a set of prices stabilization measures that mostly aim to expand the supply of 15 major foods as part of efforts to meet rising demand.
Bahk said that the government needs to make more efforts to stabilize the livelihood of low- and mid-income people ahead of the holiday.
Meanwhile, Bahk said that the government will revamp the nation's consumer price index system to better reflect the latest consumption trends and provide a more accurate inflation indicator.
"We will reflect changed consumption trends due to ongoing urbanization, economic and social changes and technological development," Bahk said. The new index system will be unveiled within this year, he added.
kokobj@yna.co.kr
(END)
"Vegetable prices remain high in the wake of typhoons and prolonged heavy rains and gold prices are also on the rise," Finance Minister Bahk Jae-wan told a price stabilization meeting held in central Seoul. "It is worrisome that consumer prices for August will likely grow higher than expected."
South Korea's consumer prices, a major gauge of inflation, jumped 4.7 percent in July from a year earlier, quickening from the previous month's 4.4 percent gain.
This marked the seventh straight month that consumer prices have grown over the government's annual inflation target of 4 percent for this year.
Prices are likely to increase further in the run-up to Chuseok, one of the nation's biggest traditional holidays as demand for food will grow as people prepare special foods and buy presents for friends and relatives. Chuseok falls on Sept. 12 this year.
Last week, the finance minister unveiled a set of prices stabilization measures that mostly aim to expand the supply of 15 major foods as part of efforts to meet rising demand.
Bahk said that the government needs to make more efforts to stabilize the livelihood of low- and mid-income people ahead of the holiday.
Meanwhile, Bahk said that the government will revamp the nation's consumer price index system to better reflect the latest consumption trends and provide a more accurate inflation indicator.
"We will reflect changed consumption trends due to ongoing urbanization, economic and social changes and technological development," Bahk said. The new index system will be unveiled within this year, he added.
kokobj@yna.co.kr
(END)
