Bangkok:South Korea's economic growth could potentially surpass projections from international organizations, including the International Monetary Fund (IMF), According to country's finance minister. This optimistic outlook is based on strong export performance and facility investment data, assuming no unexpected external shocks occur.

According to Yonhap News Agency, Finance Minister Lee Hyoung-il expressed this assessment during a meeting with reporters in Bangkok. He was attending the Annual Meetings of the IMF and the World Bank Group, marking his first major international event since assuming office last month. The IMF recently increased its forecast for South Korea's economic growth to 3.3 percent this year, a 0.7 percentage point rise from its July projection, citing the global semiconductor supercycle.

Minister Lee noted that exports and facility investments were robust in the third quarter, suggesting that economic growth might exceed the IMF's 3.3 percent projection. He indicated that if current trends continue and no significant external economic disruptions occur, growth could potentially reach the mid-3 percent range, specifically between 3.4 percent to 3.6 percent.

Lee also mentioned that South Korea's economy grew by 1.8 percent in the first quarter and 0.6 percent in the second quarter. He emphasized that continued positive trends in the third quarter could lead to annual growth exceeding expectations. Furthermore, he suggested that the country's potential growth rate, which measures sustainable GDP growth without inflation, might soon reverse its downward trend and begin to rebound.

During his visit to Bangkok, Lee received positive feedback from officials, including credit rating agencies and multilateral development banks, on South Korea's economic performance, particularly its strong chip exports. He discussed the importance of addressing economic disparities to sustain growth, noting that this would require government focus on sectors like housing, jobs, and financial services for vulnerable groups.

Additionally, Lee is considering increasing the frequency of the government's economic forecasts from twice to three times a year, to better reflect the rapidly changing economic conditions. If this approach is adopted, the government may discontinue issuing a specific economic growth strategy report for the second half of the year starting next year.