South Korea has seen its semiconductor exports reach an all-time high due to the soaring global demand for artificial intelligence, prompting the government to significantly increase its economic growth forecasts.
According to the Ministry of Economy and Finance's statement on Wednesday, the government predicts that the country's gross domestic product will grow by 2.6% this year, which is 0.4 percentage points higher than the previous forecast. Meanwhile, the inflation rate remains unchanged at 2.6%. This projection is 0.1 percentage points higher than that of the Bank of Korea, reflecting an optimistic outlook on South Korea's rapid economic growth.
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The optimistic sentiment about the economic outlook is also reflected in the export data. On Monday, the South Korean government announced that the number of semiconductor exports in June this year reached a historic high, driving the country's trade surplus to $8 billion, the highest level since 2020.
Despite the interest rates remaining at a high level, the South Korean government remains optimistic about economic growth. Currently, it is expected that the country's current account surplus will reach $63 billion this year, $30 billion higher than the previous forecast of $50 billion. This figure will also show a significant increase from last year's $35.5 billion. However, the government remains concerned about the pace of recovery in private consumption and the continued existence of credit risks in the construction industry. It is expected that facility investments related to export-related fields will rebound, but the financing situation in the construction industry may still be weak.
Key Points:
📌 The South Korean government has raised its economic growth forecast from 2.2% to 2.6% due to the surging global demand for artificial intelligence.
📌 South Korea's semiconductor exports have reached a historic high, driving the country's trade surplus to $8 billion.
📌 South Korea expects its current account surplus to reach $63 billion this year, showing a significant increase from last year.