SEOUL– 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. AFP