It’s time to spend: Korean shoppers loosen purse strings on luxuries, hotels

South Korea’s long-dormant consumer sector is showing signs of revival, as shoppers – once paralyzed by political uncertainty – return to stores, cinemas and hotels in increasing numbers.

Data from multiple sectors point to a marked rebound in domestic spending following the June 3 presidential election, supported by rising property asset prices and renewed government efforts to stimulate consumption.

Spending is rising across the retail sector, including consumer goods, suggesting that the protracted downturn in domestic demand is bottoming out.

According to the Korean alternative data platform KED Aicel on Wednesday, convenience store chain CU, operated by BGF Retail Co., saw consumer card spending jump 17.4% on-year to 167.5 billion won ($122 million) in the second week of June – the fastest pace since March 2024.