Seoul: Major global investment banks have revised their outlook for South Korea's economic growth in 2026, highlighting strong export performance, a report revealed.

According to Yonhap News Agency, as of the end of October, eight leading global investment banks, including Barclays, Bank of America, and Citi, have adjusted their projections for Asia's fourth-largest economy. They now anticipate a 1.9 percent expansion next year, marking an increase of 0.1 percentage point from the median forecast released a month earlier, based on the report by the Korea Center for International Finance (KCIF).

This updated forecast surpasses the Bank of Korea's (BOK) current projection of 1.6 percent growth for 2026. The central bank is expected to publish a revised forecast later this month.

Among the institutions, Citi has notably increased its forecast from 1.6 percent to 2.2 percent. Similarly, JP Morgan and Goldman Sachs predict a 2.2 percent growth for South Korea's economy next year. Nomura has projected a 1.9 percent expansion, followed by UBS with 1.8 percent, Barclays with 1.7 percent, and Bank of America with 1.6 percent, as reported by the KCIF.

The investment banks anticipate that South Korea's exports will remain stable next year, continuing to support economic growth following this year's performance. Additionally, these institutions have raised their forecast for the ratio of the country's current account surplus to gross domestic product (GDP) in 2026 to 5.3 percent, up from their previous projection of 4.7 percent, according to the report.