South Korea’s economy is deteriorating, squeezed by political instability and a weakening currency. The won has lost over 12% of its value against the dollar in 2024, making it Asia’s worst-performing currency.

Political turmoil over impeached President Yoon Suk Yeol, who failed a martial law attempt in December, and sluggish domestic demand weighed on Asia’s fourth-largest economy.

South Korea's economy barely grew in the fourth quarter of 2024, as the country's worst political crisis in decades hurts already weakened domestic demand and threatens to further sap growth in a year of rising external risks under a second Trump presidency.

South Korea’s economy continued to sputter last quarter, after President Yoon Suk Yeol’s short-lived declaration of martial law battered consumer confidence at a time when export growth is slowing.

South Korea's economy barely grew in the fourth quarter of 2024, missing market expectations, as domestic demand was hurt in part by the country's worst political crisis in decades, raising bets for more fiscal and monetary support to revive growth.

The South Korean economy posted weaker-than-expected growth last year amid slowing export growth, sagging domestic demand and a political crisis, central bank data showed Thursday. The country's real gross domestic product -- a key measure of economic growth -- increased 2 percent in 2024,