South Korea is considering lowering its 2023 economic growth forecast to reflect sluggish performance by the semiconductor industry, according to Yonhap News Agency.
(Bloomberg) — South Korea is considering lowering its 2023 economic growth forecast to reflect sluggish performance by the semiconductor industry, according to Yonhap News Agency.
The government may cut its projection to 1.4%-1.5% from 1.6%, Yonhap reported, citing finance ministry officials that it didn’t identify.
South Korea hasn’t decided when it will release its economic policy direction for the second half of the year or its detailed contents, the finance ministry said in an emailed statement about the Yonhap report. That usually includes growth forecasts.
The Bank of Korea revised down its forecast for the year to 1.4% in May from 1.6% in February. Governor Rhee Chang-yong cited a downturn in the chip industry, which he said would bottom out in the fourth quarter.
The Organization for Economic Cooperation and Development and the Korea Development Institute, a state-funded think tank, predict growth of 1.5% this year.
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