The country posted a current account deficit in August due to soaring import prices of raw materials.

According to tentative data released by the Bank of Korea on Friday, the country's current account balance logged a deficit of three-point-05 billion U.S. dollars in August, a sharp reversal from a surplus of seven-point-44 billion dollars a year ago.

The August deficit is attributed to a sharp fall in the goods balance, which marked a shortfall of four-point-45 billion dollars, down more than ten billion dollars from a year earlier. Exports increased seven-point-seven percent, while imports spiked 30-point-nine percent on-year.

Raw material imports rose 36-point-one percent on-year in August. In particular, imports of coal and natural gas spiked over 130 percent and 110 percent, respectively.

The drop in the current account balance comes after three consecutive months of surplus since May, having only dipped into the red in April after posting a surplus for 23 straight months.

The central bank said the current account will likely return to the black in September.