South Korea’s producer prices posted a fifth month of decline in December as global oil prices continued to slide, falling to the lowest level in four years, central bank data showed Monday.

The producer price index, a barometer of future consumer inflation, reached 103.23 in December, slumping 2 percent from the previous year, according to the preliminary data from the Bank of Korea.

It marks the lowest level since 102.71 in December 2010. It also marks the fastest on-year decline since May 2013 when the index tumbled 2.6 percent from a year earlier.

The December data was largely attributed to a sharp drop in oil prices. Prices of coal and petroleum products dropped 28.8 percent on-year last month, quickening from a 17.3 percent fall in November, according to the data.

The index that covers agricultural goods such as vegetables rose 4.6 percent on-year last month, while that of utility fees gained 1.9 percent over the period.

The data comes a day after the BOK sharply cut its inflation outlook for this year, citing weakening oil prices. The central bank estimated inflation to reach 1.9 percent this year, down from an earlier forecast of 2.4 percent made in October. (Yonhap)