ADB raises growth outlook for S Korea

• Source: Xinhua
• [15:50 September 22 2009]
• Comments

 The Asian Development Bank (ADB) said on Tuesday that South Korea's economy is likely to post a 2 percent minus growth in 2009, raising its earlier projection that the economy would shrink 3 percent.

The South Korean economy, in addition, is expected to mark a sharp upturn next year, rebounding 4 percent, the bank said in its report.

ADB also cast forecasts on the nation's consumer prices and current account surplus, which will rise 2.5 percent this year and take up 5 percent of the nation's gross domestic product, respectively.

The report followed South Korea's state-run think tank Korea Development Institute (KDI)'s adjustment in its growth outlook, from a 2.3-percent decline to a 0.7 percent shrinkage.

Amid the improved views on the South Korean economy, Fitch Ratings, global leading credit appraiser, also recently upgraded its credit outlook for South Korea to "stable" from "negative."

Meanwhile, the bank's outlook for the Chinese economy was also pulled up to an expansion of 8.2 percent.

The bank also revised up its growth projection for the whole Asian region this year to 3.9 percent from a 3.4 percent advance predicted in March.