SEOUL, May 26 (Xinhua) -- Confidence among South Korean consumers over economic conditions rebounded as the new government was launched through a presidential by-election, central bank data showed Friday.
The composite consumer sentiment index (CCSI) stood at 108.0 in May, up 6.8 points, from a month earlier, Bank of Korea (BOK) data showed. It marked the highest in over three years.
The election of President Moon Jae-in on the May 9 election eliminated the absence of an economic control tower, which was caused by the impeachment of Moon's predecessor over corruption scandal.
Expectations were running high for Moon's new economic policy. On his campaign trail, Moon pledged to reduce the number of irregular workers and launch an income-based growth by creating jobs and expanding welfare benefits especially for the elderly voters.
The consumer confidence data was based on a survey of 2,042 households conducted from May 12 to May 19.
Exports, which account for about half of the economy, posted a double-digit increase in recent months, helping bolster the consumer confidence.
The BOK froze its benchmark interest rate at an all-time low of 1.25 percent Thursday, saying this year's economic growth rate would surpass the bank's outlook, which was announced in April. It propped up the spreading rosy picture over the South Korean economy.
Inflation expectations, which reflect consumer price inflation outlook among consumers, came in at 2.5 percent in May, down 0.1 percentage point from a month earlier.
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