According to Jin10, Citi economist Kim Jin-wook said South Korea's economy is expected to grow faster than previously forecast despite a temporary slowdown in industrial production in August. He raised South Korea's 2026 GDP growth forecast by 0.1 percentage point to 3.8% and lifted the 2027 forecast by 0.2 percentage point to 3.3%, citing a recovery in the auto industry and strong overall manufacturing performance driven by a semiconductor boom. Citi expects South Korea's chip-led economic expansion to continue through 2028.
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Citi Raises South Korea Growth Forecast as Chip Boom Seen Supporting Expansion Through 2028
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