A new report finds that households in Korea save less money than those of any other member of the Organization for Economic Cooperation and Development (OECD).

The Washington Post quoted an OECD report as saying Friday that the household savings rate in South Korea will have plummeted from a world-beating 25 percent in 1988 to a projected world low of three-point-two percent in 2010.

The report said an obsessive pursuit of educational achievement is one of the driving forces behind the low savings rate.

The daily added that competitive spending --- on tutors, apartments, imported whiskey and designer handbags --- is also a significant factor in the decline of saving in South Korea.

The paper said consequences of South Korea's collapsed savings rate are beginning to register in the country's slowing rate of growth, citing that growth slowed to about four-and-a-half percent after 2000, when the savings rate dipped below ten percent.