Seoul – South Korea has recorded its second-largest fiscal deficit since 2020 in the first nine months of 2025, according to the Ministry of Finance. The deficit exceeds 102 trillion won (approximately $70 billion USD).
The budget deficit, considered a key indicator of financial health, reached 102.4 trillion won ($70.7 billion USD). This figure marks the highest deficit since September 2020, when it reached 108.4 trillion won.
Total revenue increased to 480.7 trillion won ($331.7 billion USD), representing a rise of 41.4 trillion won ($28.6 billion USD) compared to the same period last year. Of this, 289.6 trillion won ($199.8 billion USD) was attributed to tax revenue.
Overall expenditures totaled 544.2 trillion won ($375.5 billion USD), an increase of 51.9 trillion won ($35.8 billion USD). The government anticipates that the deficit will align with its annual target of approximately 111.6 trillion won ($76 billion USD) by year-end.
DZWatch will continue to monitor this developing economic situation in South Korea.
