Korea recently pulled through an economic storm that began in late 1997. This crisis, which roiled markets all across Asia, had threatened Korea's remarkable economic achievements. However, thanks to the faithful implementation of an IMF agreement the Korean government's strong resolve for reform, and successful negotiation of foreign debt restructuring with creditor banks the nation is currently on track to resume economic growth. Since the onset of the crisis, Korea has been rapidly integrating itself into the world economy. The goal of the nation is to overcome problems rooted in the past by creating an economic structure suitable for an advanced economy.

Korea, once known to be one of the world's poorest agrarian societies, has undertaken economic development in earnest since 1962. In less than four decades, it achieved what has become known as the "Miracle on the Hangang River" - an incredible process that dramatically transformed the Korean economy while marking a turning point in Korea's history.

Gross National Income		Per Capita GNI

An outward-oriented economic development strategy, which used exports as the engine of growth, contributed greatly to the radical economic transformation of Korea. Based on such a strategy, many successful development programs were implemented. As a result, from 1962 to 2005, Korea's Gross National Income (GNI) increased from US$2.3 billion to US$786.8 billion, with its per capita GNI soaring from $87 to about $16,291. These impressive figures clearly indicate the magnitude of success that these economic programs have brought about.

GNI and per capita GNI drastically dropped to $340.4 billion and $7,335 in 1998 due to the fluctuation in foreign exchange rates but these figures returned to the pre-economic crisis level in 2002.

Overall Exports and Imports

Korean imports have steadily increased thanks to the nation's liberalization policy and increasing per capita income levels. As one of the largest import markets in the world, the volume of Korea's imports exceeded those of China in 1995, and were comparable to the imports of Malaysia, Indonesia, and the Philippines combined. Major import items included industrial raw materials such as crude oil and natural minerals, general consumer products, foodstuffs and goods such as machinery, electronic equipment and transportation equipment.

Korea developed rapidly from the 1960s, fueled by high savings and investment rates, and a strong emphasis on education. The nation became the 29th member country of the Organization for Economic Cooperation and Development (OECD) in 1996.

With a history as one of the fastest growing economies in the world, Korea is working to become the focal point of a powerful Asian economic bloc during the 21st century. The Northeast Asian region commands a superior pool of essential resources that are the necessary ingredients for economic development. These include a population of 1.5 billion people, abundant natural resources, and large-scale consumer markets.