The state-run Korea Development Institute is expected to cut its growth outlook for the nation,... in line with projections by major financial institutions for Korea to grow in the two-percent range this year.
Park Se-young has the details.
It's seems almost certain that Korea's growth this year will be in the two-percent range, amid worsening market conditions at home and abroad.
According to Seoul-based Yonhap News Agency, citing unnamed sources, the state-run Korea Development Institute could lower its growth outlook to that level sometime in the middle of the month.
The think tank usually announces its growth projections twice a year, in May and December.
In its December outlook, KDI cut its forecast from three-point-one percent to the current three percent, based on projections for the global economy to grow three-point-six percent this year.
Since then, however, global economic conditions have worsened.
The IMF lowered its global growth forecast from three-point-six percent in December to three-point-two percent in April.
It also slashed its growth outlook for Korea, which relies heavily on exports, to two-point-seven percent from two-point-nine percent.
Other institutes in Korea have already lowered their projections, with most expecting growth in the two-percent range.
The government's economic outlook for this year stands at three-point-one percent, but many say it, too, is likely to cut its projection when it releases its economy management plan late next month.
Park Se-young, Arirang News.
