Consumer sentiment in South Korea has been severely dented as the country reels from the shock of its deadliest ever air disaster and ongoing political turmoil, with many residents saying they chose to ring in the New Year in a quieter fashion amid the difficult circumstances.
The political chaos caused by the short-lived martial law imposition in early December had already cast a cloud of uncertainty over the country, while Sunday's tragic Jeju Air plane crash which claimed 179 lives, making it South Korea's worst aviation disaster in nearly three decades, has led to a period of national grief.
A memorial altar for the victims of the Jeju Air plane crash accident was set up in front of Seoul City Hall on Tuesday. The altar will be operational for five days until the seven-day national mourning period concludes on Jan 4. Many citizens came to pay their respects to the victims, offer the chrysanthemums, and take a moment of silence, on the last day of 2024.
"We are also parents, so we share the grief of losing family members in this tragic accident. We are here to pray for the deceased, hoping they can rest in peace. We are saddened that such a serious accident happened just as everyone was ready to usher in the new year," said a local resident.
Shopping malls in South Korea's major business districts would typically be bustling with customers at the end of the year. However, this time, the streets of the famous Hongdae business district in Seoul are notably more deserted compared with the vibrant atmosphere seen on previous New Year's Eves. Many citizens have expressed that this is not an appropriate time for recreational activities.
"This year, I'd like to spend a quiet New Year's Eve, and we also plan to reduce our consumption. Unlike previous years, I will be at home with my family and welcome the New Year in a simple and quiet manner," said a citizen.
"I have no ideas for New Year's Eve this year. Actually, I don't have any party plans at all," said another citizen.
In the week following the declaration of martial law, the credit card spending of South Korea's eight major credit card companies plummeted by around 26 percent compared with the previous week. Data from the Bank of Korea indicated that South Korea’s consumer confidence suffered the biggest plunge since 2008.
In the first 23 days of December, more than 1.1 million performance bookings were canceled. To make things worse, many stores have received reservation cancellations in recent days after the air disaster.
Consumer sentiment dented in S Korea as nation grieves over air disaster over new year
