SEOUL– Moody’s Investors Service on Tuesday lowered its outlook for South Korea’s economic growth for next year to 2 percent from the previous 2.4 percent.

The credit ratings agency said the revision came as South Korea is facing multiple external risks from China’s slowdown, global inflationary pressure and aggressive monetary tightening by major economies.

It also pointed to the country’s rising household and corporate debts as one of major reasons for liquidity shortage to hamper investment.

But Moody’s maintained a “stable” outlook for the country’s credit rating.

The Bank of Korea recently lowered its 2023 growth outlook to 1.7 percent from 2.1 percent predicted three months earlier.

Source: Yonhap News Agency