Posted on 27 Jun 2013
South Korea on Thursday raised its 2013 economic growth
outlook to 2.7 per cent from 2.3 per cent, citing payoffs from back-to-back
stimulus measures.
The last forecast predicting a 2.3 per cent GDP growth was
made in March.
"We expect to see our economic growth rate to rise by
0.4 percentage point from the previous forecast given the policy impact from
the extra budget, property-boosting measures and the interest rate cut,"
Choi Sang-Mok, the head of the finance ministry's economic policy bureau, told
journalists.
The government also predicted that the fourth largest
economy in Asia would expand four per cent next year.
Since President Park Geun-Hye took office in February, the
government has engaged in various stimulus efforts including a 17.3 trillion
won ($14.99 billion) supplementary budget alongside a set of policies aimed at
boosting the slumping property market and encouraging corporate investment.
Some analysts, however, have warned that the government has
set its bar too high, pointing out the latest volatility over a feared winding
down of the US stimulus programme.
