South Korea's credit card spending soared 21.1 percent in May from a year earlier mainly due to a rise in consumer prices and increased online shopping, a trade association said Friday.

   Purchases made with credit cards totaled 39 trillion won (US$36 billion) in May, which compares with 32.2 trillion won during the same month a year earlier, according to the Credit Finance Association (CFA).

   Compared with the previous month, credit card spending rose 7.5 percent as consumers spent more on culture and tourism during two major national holidays in May -- Children's Day and Buddha's birthday, the association said.

   The data includes spending by credit cards as well as debit and prepaid cards. Cash advances and overseas spending were not included.

   "The on-year growth, which is high compared with other years, came on rising consumer prices," the association said in an e-mailed statement. "Increased payments for online commerce and public utility fees also pushed up the May figure."

   South Korea's consumer prices rose 4.1 percent in May from the previous year, exceeding the 4 percent level for the fifth straight month. The government's annual inflation target stands at 3 percent.

Source: Yonhap News (June 10, 2011)