Q4 2022 GDP falls 0.4 vs 0.3 fall in Reuters poll forecast
GDP falls for first time since Q2 2020, led by fall in exports
Finance minister vows strong support to exporters
Market prices in end of central bank tightening

SEOUL, Jan 26 Reuters South Korea39;s government promised strong support for exporters after the country posted on Thursday its first economic contraction in 212 years, due mainly to a crash in exports, and faced a possibility it was in recession.

Playing down the economic slowdown as part of a global trend and saying a return to growth in the current quarter is possible, Finance Minister Choo Kyungho pledged prompt support measures for exporters, such as tax breaks and administrative help.

Central bank estimates showed gross domestic product GDP shrank 0.4 in the OctoberDecember period from the previous quarter. Economists in a Reuters poll had expected a 0.3 fall.

The government will focus policy resources on reactivating exports and investment, such as pushing ahead with deregulation efforts and offering tax and financial support, Choo said at a meeting of officials that was open to reporters.

Leading the first GDP decline since the second quarter of 2020 were losses of 5.8 in exports and 0.4 in private consumption, whereas government spending posted a sharp 3.2 increase, according to the central bank39;s estimates, which were seasonally adjusted.

There are signs of continued weakness in the first quarter. A slump in the property market has…