SEOUL, Nov. 11 (Xinhua) — A state-run think tank on Tuesday revised up this year’s growth outlook for South Korea, reflecting the improvement in both export and consumption.
Real gross domestic product (GDP), adjusted for inflation, was forecast to rise 0.9 percent in 2025, according to the Korea Development Institute (KDI).
It was up from a growth of 0.8 percent estimated three months earlier. The real GDP expanded 2.0 percent in 2024.
The upward revision was attributed to a recovery in both exports and consumption, which led to a rebound in third-quarter GDP.
The seasonally-adjusted real GDP advanced 1.2 percent in the third quarter compared to the previous quarter after expanding 0.7 percent in the second quarter. The GDP contracted 0.2 percent in the first quarter.
In terms of volume, exports of goods were forecast to increase by 2.9 percent this year, up from the previous outlook of 1.2 percent.
Private consumption and facility investment were expected to mount 1.3 percent and 2.5 percent respectively, but the outlook for construction investment was set at a reduction of 9.1 percent this year.
The real GDP was projected to grow 1.8 percent in 2026 thanks to higher consumer spending offsetting the expected slower growth in outbound shipments.
Private consumption and goods export volume were predicted to climb 1.6 percent and 0.4 percent respectively next year.
Outlook for current account surplus was set at 115.9 billion U.S. dollars in 2025 and 103.7 billion dollars in 2026.
The forecast for the consumer price inflation was placed at 2.1 percent for 2025 and 2.0 percent for 2026.
The number of jobs was expected to go up by 170,000 this year and 150,000 next year.
