Consumer Sentiment Recovery Drives Q2 Card Approvals Up 7.6%... Largest Growth in 3 Years and 3 Months

Largest Quarterly Growth in Three Years and Three Months, Highest Second-Quarter Increase in Four Years


Transaction Volume Sees Biggest Jump Since Q2 2023 in Three Years


"Improvement in Consumption Conditions... Impact of Rising Pric

In the second quarter of this year, the total domestic credit card transaction amount increased by 7.6% compared to the second quarter of last year, marking the largest growth in three years and three months. This was due to a recovery in consumer sentiment and an improvement in corporate performance, which together enhanced the overall consumption environment. Additionally, rising prices and higher oil costs contributed to an increase in total payment amounts.

According to the “Analysis of Card Approval Performance for the Second Quarter of 2026” released by the Credit Finance Institute under the Credit Finance Association on July 30, the total card transaction amount in the second quarter was 336.9 trillion won, up 7.6% year on year. The quarterly growth rate was the highest since the first quarter of 2023 (11.5%), and for a second quarter, it was the highest since the second quarter of 2022 (14.8%).

The impact of rising prices was also reflected in the increased credit card transaction volume. The consumer price inflation rate rose from 2.6% in April to 3.2% in June. In the second quarter, the average prices of gasoline and diesel jumped by 21.9% and 32.4%, respectively, compared to the prior year. As prices rose, the amount paid for the same goods increased, which led in part to a rise in card transaction amounts.

The number of card transactions in the second quarter reached 7.96 billion, up 6.0% from the same quarter last year. This marks the highest growth rate in three years since the second quarter of 2023 (11.9%).

By card type, the transaction amount for individual cards was 273.7 trillion won, an increase of 7.4% year on year, and for corporate cards, it was 63.4 trillion won, an increase of 8.7%. The number of transactions increased by 6.3% for individual cards and 1.4% for corporate cards. By card category, credit card transactions totaled 262.2 trillion won, up 6.3%, while debit card transactions amounted to 68.8 trillion won, a rise of 8.3%.

By industry, credit card transaction amounts for wholesale and retail increased by 5.9%, while accommodation and food services grew by 6.8%. In contrast, the transport sector declined by 8.3%, which was attributed to higher fuel surcharges resulting from geopolitical tensions in the Middle East, coupled with a decrease in payments for airline tickets and travel products.

An official from the Credit Finance Institute explained, "The overall increase in card transaction performance was driven by improved consumption conditions, including growth in gross domestic income (GDI) due to expanding global semiconductor demand and better terms of trade, as well as strong corporate performance. In addition, government policies aimed at stabilizing prices and supporting livelihoods have partly mitigated domestic consumption burdens arising from international uncertainty."

This content was produced with the assistance of AI translation services.