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Korea reports $7.4B fiscal surplus in January on increased tax revenue

Published: 12 Mar. 2026, 12:28

The Ministry of Planning and Budget's office at the government complex in Sejong is pictured on Jan. 6. [YONHAP]

Korea posted a fiscal surplus of more than 11 trillion won ($7.43 billion) in January due to increased tax revenue despite more expenditures compared with a year ago, the budget ministry said Thursday.

The managed fiscal balance, a key gauge of fiscal health calculated on stricter terms, recorded a surplus of 11.3 trillion won during the period, according to the Ministry of Planning and Budget.

The figure was down by 200 billion won from a year earlier but still marked the fourth-largest surplus for the month.

Tax revenue reached 52.9 trillion won in January, up 6.2 trillion won from a year earlier, led by increases in income tax, value-added tax and securities transaction tax, the ministry said.

Total expenditures came to 60.5 trillion won in the month, up 7.7 trillion won from a year earlier. The rise was partly due to a base effect, as government spending had declined in January last year because of the Lunar New Year holiday, along with increased welfare payments this year.

Yonhap