South Koreans’ overseas card spending reached $5.18 billion in the second quarter of this year, remaining steady compared to the previous quarter. This stability comes despite a drop in demand for overseas travel, which offset an increase in overseas direct purchases, according to data released by the Bank of Korea (BOK). The report shows that the amount spent by South Koreans using credit and debit cards overseas was identical to the $5.18 billion recorded in the January-March period. This figure represents an 11.6% increase compared to the $4.65 billion spent in the same period last year.
The decline in the number of South Koreans traveling abroad contributed to the stabilization in spending. The data reveals that outbound travelers fell by 11.1% from the previous quarter, totaling 6.59 million in the April-June period. However, this decrease in travel was balanced by a rise in overseas direct purchases made with credit cards, which grew by 6.2% to $1.47 billion. The growing trend of online shopping from international retailers continues to drive this increase.
Economic analysts suggest that while the reduction in travel expenses held back overall spending growth, the increasing preference for purchasing goods from abroad via e-commerce platforms is becoming a significant factor in overseas card expenditures. This pattern highlights the ongoing shift in consumer behavior, with South Koreans increasingly turning to online platforms for their purchasing needs, even as global travel remains an option. The BOK data underscores the mixed impact of fluctuating travel trends and growing online purchases on the overall overseas spending habits of South Korean consumers.