An International Monetary Fund (IMF) mission, led by Mr. Hoe Ee Khor, visited Seoul during May 30 – June 12 to conduct the 2012 Article IV consultation discussions. At the conclusion of the mission, the team issued the following statement:
“After a strong rebound in 2010, the Korean economy moderated in 2011 and into 2012 in line with global developments. Reflecting the weakening global economic outlook, Korea’s growth is likely to be weaker than the 3.5 percent in our baseline forecast and we expect growth for this year to be reduced by about ¼ percentage point. Activity in the second half of 2012 is expected to expand at a moderate pace supported by Korea’s competitive export sector and the recently concluded EU and US free-trade agreements. On the domestic side, facilities investment is expected to recover, while consumption should be boosted by stronger wage growth.
