Choo Kyung-ho "Next Year's Economy Will Be More Difficult... Growth Rate Expected in the Mid to High 1% Range" (Update)

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho is presiding over the Emergency Macroeconomic and Financial Meeting held at the Bankers' Hall in Jung-gu, Seoul on the 15th. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Sejong=Reporter Son Seon-hee] Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho said on the 15th, "The economy next year seems to be worse than this year," adding, "Major institutions are forecasting next year's (Korean economy) growth rate to be in the mid-to-late 1% range."

At the '1st National Task Review Meeting' held at the Blue House State Guest House, presided over by President Yoon Seok-yeol, Deputy Prime Minister Choo said, "Considerable difficulties are expected for a considerable period going forward."

Deputy Prime Minister Choo said, "Our economy achieved 3% growth up to the third quarter this year, but recently, the economy is rapidly declining in major advanced countries, and our economy is no exception," adding, "To overcome the crisis, we will do our best to manage the macroeconomy stably and promote exports, prices, employment, and livelihood stability."

Deputy Prime Minister Choo expressed concern, saying, "It seems that this year, in terms of export scale, we will rise to the 6th place worldwide, but the trade balance has been in deficit for seven consecutive months, and next year, global trade volume will decrease, especially semiconductors, which are our mainstay, will not be very good." He emphasized, "Since export conditions will be difficult next year, high-intensity government policies for export and investment are required."

Regarding the inflation outlook, he said, "After peaking in July, fortunately, international oil prices have fallen and due to policy effects, prices are showing a downward trend, but still remain at a high level," and predicted, "Stable inflation at around 3% is expected only around the latter half of next year."

However, Deputy Prime Minister Choo said about next year's employment situation, "Compared to this year, indicators will be relatively worse, but the actual situation is expected not to be as bad as the indicators."

Deputy Prime Minister Choo said, "Overall, the economy next year is expected to be difficult," adding, "We will push forward with reforms in pensions, labor, and education, and steadily prepare for the future by responding to population and climate crises."

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