23.09.202600:55:22UTC+00ADB Raises South Korea's 2026 GDP Growth Forecast to 3.2%

The Asian Development Bank (ADB) on Wednesday raised its 2026 economic growth forecast for South Korea to 3.2%, up from 2.6% in July, citing strong exports and corporate earnings driven by the artificial intelligence boom. At the same time, the ADB cautioned that rising geopolitical tensions, heightened volatility in global financial markets, and the possibility of additional U.S. tariff hikes pose downside risks that could weigh on exports and investment.

The ADB also upgraded its 2027 growth outlook by 0.3 percentage point to 2.3%. It noted that expansionary fiscal policy, together with solid corporate profits, is supporting a gradual recovery in private consumption. On inflation, the ADB left its projections unchanged at 2.7% for 2026 and 2.2% for 2027.

Separately, South Korea’s Ministry of Finance and Economy recently raised its own GDP growth forecast by 1 percentage point to 3% in its second-half economic policy report.