Korea’s economy will likely grow 4.3 percent this year, falling short of a 5 percent expansion forecast earlier by the government due to external uncertainties, a poll showed Monday.
According to the survey of 32 experts by the Federation of Korean Industries, the economy will likely expand 4.4 percent in the second half of this year, with 38 percent of those surveyed citing global economic uncertainties such as the financial crisis in Europe as the key negative factor.
FKI’s growth forecast is lower than predictions by most other institutions, including the Organization for Economic Cooperation and Development, which revised its outlook for the South Korean economy last week from a 4.3 percent gain to a 4.6 percent growth.
“In the second half of the year, inflationary pressures will likely build up, with economic uncertainties in both advanced and newly emerging economies expected to linger,” said the FKI, Korea’s largest business lobby.
