[Weekly Outlook] Government Announces Fiscal Rules... Focus on Economic Trends and International Balance of Payments

[Asia Economy Sejong=Reporter Kwon Haeyoung] This week, a new fiscal rule for sound fiscal management will be announced.

According to the government on the 4th, the fiscal rule is scheduled to be announced this week. The fiscal rule is a norm that manages fiscal soundness indicators so that they do not exceed a certain level. The new government is preparing a fiscal rule that manages the deficit ratio of the management fiscal balance to GDP within 3%, and limits the deficit ratio of the management fiscal balance to within 2% when the national debt ratio to GDP exceeds 60%.

On the 7th, the Korea Development Institute (KDI) will announce the September economic trends. In last month's economic trends, KDI diagnosed that the Korean economy continued a moderate recovery but downside risks are increasing. The analysis points to high inflation and economic slowdowns in major countries such as the U.S. and China as risk factors, making the national research institute's economic assessment noteworthy.

The Bank of Korea will also announce the 'July Balance of Payments' on the same day. In June, the current account recorded a surplus of 5.61 billion dollars, but the surplus decreased by 3.22 billion dollars compared to a year ago due to rising import prices of raw materials and others. In particular, the goods account surplus was only 3.59 billion dollars, 3.96 billion dollars less than the same period last year.

On the 8th, the Bank of Korea will disclose the 'August Financial Market Trends.' In July, influenced by rising interest rates, household loans in the banking sector decreased for the first time in four months, and deposits increased by more than 10 trillion won, and it is estimated that this trend continued in August as well.

This content was produced with the assistance of AI translation services.