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Title Status of inbound visitors to Korea and outbound Korean travelers in 2006

□   The number of inbound visitors to Korea: 6,155,000

   (a 2.2% year-on-year increase )

 - In the first quarter of the year, the number of Japanese visitors showed a drastic decrease
under the impact of the bitter political situation between the two countries, compared to early 2005, when the boom for the Korean pop culture was prevalent among Asians. Thus, the overall number of foreigner visitors to Korea decreased by 4.3%.

 - In the second quarter of the year, the number of Japanese visitors showed regained a double-digit growth. The number of Chinese visitors, the second largest group, also showed a continued growth (7~8%). Overall, the number of foreigner visitors increased by 8.2%.

 - In the third quarter of the year, the number of Japanese visitors showed a decreasing trend again due to unfavorable factors, such as North Korea’s missile test, concentrated downpour, a terror accident in the U.K. and coup d’etat in Thailand, showing an overall increase by 4.2%.

- In the fourth quarter, the number showed a clear slowdown (to a 0.9% increase) due to the impact of North Korea’s missile test, outbreak of avian flu, and the won’s appreciation.

 - By region, those from Asian countries posted a 2.6% increase (i.e. a 4.1% decrease in the case of Japanese and a 10.7% increase in the case of non-Japanese Asians). Those from Americas, Europe and Oceania posted a 5.2%, 5,1% and 7.4% increase, respectively. The overall trend is a slowdown in the number of those from nearby countries, such as Japan, Taiwan and Hong Kong.

- By gender, the number male visitors showed a 2.0% increase, compared to a 0.8% decrease in the case of their female counterparts. By purpose of visit, about 70% of the visitors were for sightseeing, showing a 0.4% increase. Those visiting for business showed a 14% increase.

□  The number of outbound Korean travelers in 2006: 11,610,000 (a 15.2% year-on-year increase)

  - The number of outbound Korean travelers showed a steady increase throughout the year under the impact of the won’s appreciation and the five-day work week system. Especially, the monthly number came to more than one million during the holiday season (i.e. July, August and December).

- The number showed the highest in the third quarter of the year, while the highest year-on-year growth rate was recorded in the fourth quarter (23.3%) due to the slowdown in the same period of the preceding year.

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