You can ask an economist about inflation. They'll give you the official Consumer Price Index, or CPI. But if you ask an office worker in Seoul? They'll just hold up their lunch receipt.
It’s a bit of a running joke here, but it's also completely true. The official economic numbers often just don't feel real.
That’s why we have our own measure. It’s informal, but it’s brutally honest. We call it the "Kimchi Jjigae Index."
So, What Is This Index, Anyway?
You won't find this index on a government website. It's more of a collective understanding, a ground-level indicator that the local news tracks and everyone just... knows.
It’s the average price of the most basic, affordable, everyday lunch items. Kimchi jjigae (kimchi stew), of course. But it also includes staples like gimbap and jajangmyeon (black bean noodles).
We're not talking about fancy meals. This is the floor. This is the food that’s supposed to be cheap, fast, and accessible to everyone, from a student to a CEO.
That's why the index is so powerful. When the price of these "budget" staples starts to climb, it means there's a deep, systemic problem. And they have been climbing.
Back in 2020, you could get a simple bowl of kimchi jjigae for around 6,700 won. As of 2025, that same bowl has hit an average of 8,500 won. That stings. And it's not just the stew. Nearly every popular lunch item is crossing these painful psychological price barriers.
The Gap: Why Our Lunches Get More Expensive Than Everything Else
This is the real heart of the problem. It’s why this index even exists.
Eating out, especially for lunch, is just getting expensive way faster than the official, general inflation rate.
The numbers are pretty shocking, honestly. Since 2020, the price index for dining out in South Korea has shot up by about 25 percent. The overall CPI in that same time? Only about 16 percent.
That nine-point gap... that's everything.
That’s the disconnect we all feel. The government might release a report saying inflation is "manageable," but our lunch receipts are screaming that it's not.
The Squeeze: When Your Paycheck Can't Buy You Lunch
This is where you really feel the squeeze. It’s not just that prices are high; it's that our paychecks aren't keeping up. Not even close.
Average monthly wages went up maybe 15 percent in the last few years. But the cost of eating out, as we saw, jumped 21 to 25 percent.
Any salary gains are immediately erased, and then some, by the simple act of buying a midday meal.
We have a huge psychological benchmark here: the 10,000 won bill (about 7.50 USD). For decades, that was your lunch money. You could get a hot meal and get some change back.
Today, in many parts of Seoul, that single "man-won" bill is no longer enough. It’s a tough pill to swallow.
How "Lunchflation" Changes Daily Life in Seoul
It's actually easy to see this pressure in action. Just stand in a major office district like Gwanghwamun or Yeouido at 11:50 AM. You'll see the behavioral shift.
The most visible one? The mass migration to convenience stores. You see office workers in sharp suits lining up for a 5,000-won dosirak, or pre-packaged lunch box. Let's be honest, it's not their first choice. It's a financial decision.
Company cafeterias, once seen as just a basic perk, are now a critical financial lifeline.
We even have a term for office workers who don't have access to a subsidized cafeteria: "lunch refugees" (jeomsim nanmin). You'll see them wandering the streets in groups, looking for anything they can afford.
This behavior isn't uniform, because prices aren't uniform. The index is different everywhere.
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In Gwanghwamun, the central business district, a bowl of kimchi jjigae can easily cost 10,000 won.
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But in an older area like Mapo, you might still find a beloved, decades-old restaurant serving it for 7,000 or 8,000 won.
So what happens? You see groups of office workers making that 10-minute walk, rain or shine. Just to save a couple of thousand won. It's the new normal.
What's Driving the Index So High?
So what gives? Why is this happening?
It’s not like the local restaurant owners are getting rich. They are probably suffering the most. They're just trapped in a total perfect storm of rising costs.
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Ingredient Prices: The cost of agricultural products is all over the place. Weird weather means cabbage (for kimchi) and other vegetable prices are volatile. Pork costs more.
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Labor Costs: The minimum wage has steadily increased. For a small, labor-intensive restaurant, that's a huge hit.
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Imported Goods: Korea imports a vast amount of its food, including flour, sugar, and cooking oil. A weak Korean Won against the dollar means all of these imported ingredients cost more.
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Delivery Fees: This is a big one. The rise of a massive delivery app culture has added another layer of cost, which gets baked into everything.
When you add all that up, the owner of that little "mom-and-pop" shop has no choice. They have to raise prices, or they have to close. It's that simple.
The Government's Response (And Why It's So Tricky)
This whole thing has gotten so big that the government had to step in.
You see, the Kimchi Jjigae Index is basically a political index now. If it gets too high, people get angry. So, the government is trying a bunch of things.
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Direct Subsidies: A pilot program called "Deundeunhan Jeomshim" (Hearty Lunch) was launched, offering monthly meal subsidies to some workers in high-cost areas.
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Price Monitoring: The government actively "convinces" major food franchises and companies to avoid "excessive" price hikes. The Fair Trade Commission has even launched investigations into price-fixing.
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Supply Chain: They are trying to stabilize the supply of key vegetables and reduce distribution costs.
It's clear they're taking this seriously. They know that "lunchflation" isn't just an economic data point. It’s a public mood problem.
The Kimchi Jjigae Index is more than just a clever name. It’s our real-time, on-the-ground truth. It reveals the massive gap between official statistics and what we're all actually living through. It’s how Seoul measures its affordability, one bowl of stew at a time.
Disclaimer: This article is for educational and informational purposes only and should not be considered as financial, investment, or trading advice; always conduct your own research and consult with a qualified financial advisor before making any investment decisions.
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