Economy of South Korea

South Korea has a highly developed mixed economy. By nominal GDP, the economy was worth ₩2.56 quadrillion (US$1.87 trillion). It has the 4th largest economy in Asia and the 13th largest in the world as of 2025. South Korea is notable for its rapid economic development from an underdeveloped nation to a developed, high-income country in a few decades. This economic growth has been described as the Miracle on the Han River, which has allowed it to join the OECD and the G20. It is included in the group of Next Eleven countries as having the potential to play a dominant role in the global economy by the middle of the 21st century. Among OECD members, South Korea has a highly efficient and strong social security system; social expenditure stood at roughly 15.5% of GDP. South Korea spends around 4.93% of GDP on advanced research and development across various sectors of the economy.

South Korea's education system and the establishment of a motivated and educated populace were largely responsible for spurring the country's high technology boom and economic development. South Korea began to adapt an export-oriented economic strategy in the 1960s to fuel its economy. In 2022, South Korea was the ninth largest exporter and ninth largest importer in the world. The Bank of Korea and the Korea Development Institute periodically release major economic indicators and economic trends of the economy of South Korea.

Renowned financial organisations, such as the International Monetary Fund, note the resilience of the South Korean economy against various economic crises. They cite the country's economic advantages as reasons for this resilience, including low state debt and high fiscal reserves that can quickly be mobilised to address any expected financial emergencies. South Korea was one of the few developed countries that was able to avoid a recession during the Great Recession. Despite the South Korean economy's high growth and structural stability, South Korea is experiencing damage to its credit rating in the stock market due to North Korea in times of military crises. The recurring conflict affects the financial markets of its economy. The South Korean economy faces challenges due to a declining and ageing population, with a fertility rate among the lowest in the world.