S. Korea's economy expected to grow 3.2 pct in 2021: AMRO
SEJONG, March 18 (Yonhap) -- South Korea's economy is expected to grow 3.2 percent this year as the start of vaccinations raised hopes of a solid economic recovery from the COVID-19 pandemic, a regional macroeconomic research agency said Thursday.
The forecast by the ASEAN+3 Macroeconomic Research Office (AMRO) is slightly higher than the Bank of Korea's outlook of 3 percent growth for this year.
The AMRO also expected South Korea's economy to grow 3 percent next year.
But the AMRO warned that growth is uneven in some sectors because the service industry and local consumption remain sluggish due to tighter social distancing rules.
A massive increase in debts is likely to pose a threat to financial soundness in South Korea, the AMRO said.
The AMRO was established in 2011 to promote macroeconomic and financial stability in the Asian region, which covers the 10-member Association of Southeast Asian Nations (ASEAN) and its three Northeast Asian partners -- South Korea, China and Japan.
ASEAN comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Thailand, Singapore and Vietnam.
Every year, AMRO delegations visit South Korea to discuss the country's economic policies. But this year, the annual meeting was replaced by a conference call due to the COVID-19 pandemic.
South Korea's economy contracted 1 percent last year, marking the worst performance in over two decades, but it appears to have returned to a growth track on the back of a mild recovery in exports.
Exports rose 9.5 percent in February from a year earlier to extend their gains for the fourth consecutive month on robust shipments of chips.
Exports came to US$44.8 billion last month, compared with $40.9 billion a year earlier, according to the data compiled by the Ministry of Trade, Industry and Energy.
(END)
-
S. Korea marks 30th anniv. of Korean Pavilion at Venice Biennale with contemporary art
-
Artist Lee Bae captures ethereal Korean aesthetics at Venice Biennale
-
Ateez member Yunho throws first pitch at MLB match between Dodgers, Mets
-
Gov't likely to accept university chiefs' request to lower med school enrollment quota
-
S. Korea supports resolution backing U.N. membership of Palestine
-
Artist Lee Bae captures ethereal Korean aesthetics at Venice Biennale
-
S. Korea marks 30th anniv. of Korean Pavilion at Venice Biennale with contemporary art
-
Gov't likely to accept university chiefs' request to lower med school enrollment quota
-
Looming weekly closure of major hospitals feared to worsen medical service crisis
-
Yoon's approval rating sinks to lowest point since taking office
-
Author of ADOR's 'internal document' refutes allegations of spinoff plot
-
N.K. leader's sister slams joint S. Korea-U.S. military drills
-
U.S. will take steps for three-way engagement on nuclear deterrence with S. Korea, Japan: Campbell
-
Looming weekly closure of major hospitals feared to worsen medical service crisis
-
(LEAD) N. Korea sends economic delegation to Iran amid suspected military cooperation