South Korea has raised its 2026 economic growth forecast to a five-year high of 3.0%, driven by a global semiconductor boom. The finance ministry projected this year’s economic growth at 3.0%, the strongest since 2021, up from the previous forecast of 2.0% and last year’s 1.1% pace.
Economic Growth
The ministry said it would push policies aimed at lifting the economy’s potential growth rate to 3% from an estimated level below 2%. As part of that effort, the government will fast-track three ‘mega projects’ covering semiconductor, AI data centre, and physical AI investments.
The government also set targets of making South Korea one of the world’s four largest exporters and raising gross national income per capita to $50,000, from an expected $40,000 this year. Inflation was forecast at 2.6% for 2026, up from the previous 2.1% seen in January, amid high oil prices.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
