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South Korean inflation slows in December

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South Korea's inflation rate hit its lowest point for 14 months in December, reflecting plunging oil prices, state data showed Wednesday.

[SEOUL] South Korea's inflation rate hit its lowest point for 14 months in December, reflecting plunging oil prices, state data showed Wednesday.

Consumer prices in December rose 0.8 per cent from a year ago, slowing from 1.0 per cent growth in November, according to state-run Statistics Korea.

This marked the lowest gain since October 2013 when consumer prices rose 0.9 per cent.

Consumer prices for the whole of 2014 rose 1.3 per cent after growing at the same pace in 2013.

Inflation has remained well under the central Bank of Korea's target of 2.5 to 3.5 per cent despite a cut in its key interest rate, sparking concern about deflation.

The core consumer price index, excluding volatile energy and food prices, rose 1.6 per cent in December, unchanged from a month earlier.

AFP