South Korea digital payments surge 12.8% in first half

Total electronic payment volume in the Republic of Korea increased by more than 12% during the first half of this year compared to the same period last year. This growth is attributed to rising individual adoption of contactless commercial transactions.

Daily transaction value and volume

Data from the Bank of Korea, reported by Yonhap News Agency, indicates that the average daily value of electronic financial transactions reached 1.72 trillion won ($1.24 billion) between January and June. This figure represents a 12.8% increase year-on-year.

The average number of daily electronic financial transactions also climbed 12.1% annually, totaling 36.75 million transactions during the specified period. These figures encompass all online payments, mobile phone payments, and purchases made using credit and debit cards.

Industrial output and trade reliance

Bank of Korea data reveals that the South Korean economy became more reliant on trade in 2024, supported by a strong recovery in the semiconductor industry. Total industrial transactions in the country rose 4.6% compared to the previous year, reaching $5.13 trillion in 2024.

This information comes from the central bank’s input-output analysis report. Domestic production accounted for 85% of total industrial transactions in 2024, a decrease of 0.1 percentage points from the prior year. Imports comprised 15%, an increase of 0.1 percentage points over the same timeframe.

External transactions, including exports and imports, made up 31.1% of the total, rising 1.5 percentage points from the previous year. This shift was driven by increased outbound shipments.

E-commerce sales trends

Separately, e-commerce sales in Korea grew 10% in May compared to the same month last year. The rise was primarily fueled by higher demand for food products and cosmetics.

According to Ministry of Data statistics, the value of e-commerce shopping hit 25 trillion won ($16 billion) in May. This marks an increase of 2.3 trillion won from the previous year.