The Bank of Korea said on Thursday that the economy is estimated to have shrunk point-three percent in the first quarter on-quarter. 

The reading marks the lowest growth since the fourth quarter of 2008, when the economy contracted three-point-three percent from the previous quarter. It also marks the first contraction in five quarters.  

From the same period last year, the economy grew one-point-eight percent from January to March, which also marks the slowest growth since the third quarter of 2009. 

The growth figure fell to the lowest level in nearly ten years both from the previous quarter and a year earlier.  

The slow growth is attributed to a drop in capital investment and sluggish exports. 

The country's capital investment plunged ten-point-eight percent on-quarter, while its exports dropped two-point-six percent. Imports fell three-point-three percent over the cited period.