Per capita income to recover to $20,000 this year

Korea’s per capita income this year is expected to recover to the level of 20,000 U.S. dollars for the first time since 2007 and reach a record high next year.

The Bank of Korea said Sunday that gross national income this year will exceed 1 trillion dollars and per capita income will reach 20,510 dollars. Per capita income was 21,695 dollars in 2007 but fell to 19,296 dollars in 2008 and 17,175 dollars last year, the lowest in five years, in the wake of the global financial crisis.

The central bank attributed the recovery of per capita income to higher growth of GDP led by robust exports and a stronger domestic currency.

Per capita income will likely reach a record high next year since GDP growth and the won’s rising value are expected to continue.

The bank said real GDP will grow 4.5 percent next year, while major domestic think tanks forecast the won-dollar rate will range from 1,060 to 1,100. Based on these projections, per capita income will likely average from 22,998 to 23,866 dollars next year.

achim@donga.com