The unemployment rate in South Korea rose in September from a record low in August. At the same time, employment fell slightly, a sign that years of austerity and slowing exports are beginning to cool the economy.
The country’s unemployment rate rose again in September to 2.8% from 2.5% in August. This is the lowest level since data collection began in June 1999.
The employment rate adjusted for seasonal factors decreased by 0.1% to 62.2% in September compared with August.
The country’s central bank has raised its key interest rate by a total of 250 basis points since last August. This includes a 50% higher than usual rate hike on Wednesday in the fight against inflation.
The Bank of Korea governor said after Wednesday’s interest rate decision that Asia’s fourth-largest economy had weakened. However, economists expect further rate hikes in the coming months.